Apple Retail Preparing for iPhone 3G Activation Procedures

[MacRumors]

MobileToday.co.uk reports that Apple is actively working with O2 to allow customers to buy the 3G iPhone and sign up for service at Apple Retail stores in the UK.

With the adoption of the subsidized pricing, iPhone 3G customers will be required to sign up for service at the time of purchasing. MobileToday notes that Apple's retail staff is unfamiliar with the process of signing up customers onto subscription contracts and also have no means to run credit checks. O2 is said to be working closely with Apple to allow them to perform these tasks.

Meanwhile O2 confirmed that "prepay iPhones" are also to be sold at Apple retail, O2 and Carphone Warehouse. The unsubsidized prepay iPhones will not require a contract but are expected to cost around £350. The cost for a subsidized iPhone 3G from O2 ranges from free to £99 for the 8GB model and from free to £159 for the 16GB model depending on the service plan chosen. For reference, the original iPhone was priced at £269.



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[BigD58]

Phew....It is going to be one crazy day on July 11th....in the apple retail stores. especially

[arn]

not sure if you can draw any conclusions from this, but the unsubsidized price is expected to be higher than the previous iPhone cost.

If this holds true in the U.S. the unsubsidized 8GB iPhone price here would be more than $399.

arn

[pkr]

Any info on the prepay plans ? I'd love to be able to use my unlocked iPhone during my UK visits.

[Clive At Five]

Originally Posted by arn

not sure if you can draw any conclusions from this, but the unsubsidized price is expected to be higher than the previous iPhone cost.

If this holds true in the U.S. the unsubsidized 8GB iPhone price here would be more than $399.

arn

And do you think Apple will sell an unsubsidized/unlocked iPhone? Are there any laws mandating it in the U.S.?

-Clive

[jabooth]

If they can provide a sensible pay and go price plan similar to what they provide for other phones (including the free O2 calls and texts as long as you top up a certain amount) along with unlimited data, I'm sold.

I hate contracts with a passion, would much rather pay £400 upfront and £15 on MY terms thereafter than sign an 18 month contract!

[Willis]

Originally Posted by jabooth

If they can provide a sensible pay and go price plan similar to what they provide for other phones (including the free O2 calls and texts as long as you top up a certain amount) along with unlimited data, I'm sold.

I hate contracts with a passion, would much rather pay £400 upfront and £15 on MY terms thereafter than sign an 18 month contract!

I'm on contract now and I will happily take one out for an iPhone, but... if the PAYG option has a good bundle along with internet, I think I would rather go with that.

What are the chances of stating 20 a week minimum to get free calls and texts?

[MacMalv]

£350 for the pay as you go phone, is not too bad, if you do not spend too much time speaking to people or texting. i hope they allow bolt ons for unlimited data, because then it will definatly be worth it for me.

[arn]

Originally Posted by Clive At Five

And do you think Apple will sell an unsubsidized/unlocked iPhone? Are there any laws mandating it in the U.S.?

-Clive

No, they won't sell an unlocked one. There are no laws. But AT&T has said there will be an unsubsidized price for people who don't qualify for the subsidized price.

There is no reason to get an unlocked iPhone 3G in the U.S. There is no other carrier that supports both voice and data on the iPhone 3G. AT&T is your only choice (in the U.S.).

arn

[gkarris]

Originally Posted by Clive At Five

And do you think Apple will sell an unsubsidized/unlocked iPhone? Are there any laws mandating it in the U.S.?

-Clive

No, US cell carriers are allowed to sell locked phones. There may be a "rule" that they have to unlock it when you leave the carrier, but I think that's heresay...

[Abstract]

And like Arn said, who else is going to offer you what AT&T offers, even if your phone is unlocked? There isn't much point in the US unless you only plan on using voice. However, if you're only interested in using voice, you're just getting it for the point of getting it, so who cares how much they milk you for? If you don't really use it, you'll just have to pay the luxury goods price hike.

[fastbite]

I'm getting more and more confused every day... Can I get an iPhone 3G on day one? Already on contract with 02. Can i only get it online? etc, etc etc... It may be that I'm rather moronic but i just do not understand.

[iDrinkKoolAid]

i'm from the states studying here in the uk.

i am interested in the PAYG plan for the 3g iphone. someone mentioned that with a minimum monthly top-up, i may be able to get free o2-to-o2 calls and unlimited data? i'm not at all familiar how PAYG works here. any other tips?

£350 sounds steep up front, but it would be nice not being tethered to an 18-month commitment.

[abrooks]

Interesting story as Apple isn't directly selling the iPhone in the UK. Presumably it intends to.

[guitarman777]

I'd like to see the US Apple retail stores do in-store activation...

[abrooks]

Originally Posted by MacRumors

Meanwhile O2 confirmed that "prepay iPhones" are also to be sold at Apple retail, O2 and Carphone warehouse.

Source for this? O2's website still says:

You'll be able to purchase the iPhone 3G online at o2.co.uk, in one or our O2 high street stores or by calling O2. It will also be available at The Carphone Warehouse.

[kresh]

If Apple is going to be doing the activations and maintaining the inventory, will they collect fees similar to the fees paid to authorized dealers for AT&T?

There are as many authorized dealers in the US as there are company stores, RadioShack alone operates over 800 Sprint Kiosks in US malls (Kiosk Operations, Inc.). They make pretty good money selling phones and service.

This makes me wonder if Apple is replacing some of the lost revenue sharing income from AT&T with these fees (commission) paid to dealers.

[Clive At Five]

Originally Posted by arn

There is no reason to get an unlocked iPhone 3G in the U.S. There is no other carrier that supports both voice and data on the iPhone 3G. AT&T is your only choice (in the U.S.).

Not quite true. T Mobile is unraveling 3G as we speak. I wouldn't be unlocking for T Mobile, though.

I spend 95% of my time in WiFi hotspots. If I were to get an iPhone, I would just use it with my cheap-as-dirt family plan. "Then why not get a used iPhone on eBay?" That's an option... but if I were to want a future 32GB iPhone someday...

-Clive

[/dev/toaster]

I am upgrading my phone and porting my GFs phone from T-Mobile to AT&T. Orginally, she was going to get my old phone when the 3G version came out. However, since its only $199 I am going to be picking up 2 of them.

I know my upgrade will be easy and out the door. But, doing a new activation is going to suck.

I _really_ hope they allow some sort of pre-authorization. I want to be able to call a few days before hand, get my credit and what not taking care of. Then go into the store and quickly take care of the port.

[/dev/toaster]

Originally Posted by Clive At Five

Not quite true. T Mobile is unraveling 3G as we speak. I wouldn't be unlocking for T Mobile, though.

I spend 95% of my time in WiFi hotspots. If I were to get an iPhone, I would just use it with my cheap-as-dirt family plan. "Then why not get a used iPhone on eBay?" That's an option... but if I were to want a future 32GB iPhone someday...

-Clive

Everything I have read suggests the 3G iPhone won't be able to use 3G for T-Mobiles network. Calls will work, but no data.

At that point, it would be better to stick with a used EDGE iPhone.

[Some_Big_Spoon]

I predict that this in-store signup will turn into a fiasco. This is completely the opposite experience people have come to expect with Apple Stores (short lines / no lines / easy check out). This is going to be hours of waiting, angry people when their credit is denied, system overruns with too many credit checks.

You're looking at the makings of a real meltdown here. But, it will still be a success, and they'll sell 10's of millions of them, because people will just suffer through it, and Apple (and AT&T) knows it. Mark my words through, opening day, and the following days, you may want to hang back till the fires and rioting cease.

[MacMalv]

Originally Posted by iDrinkKoolAid

350 sounds steep up front, but it would be nice not being tethered to an 18-month commitment.

I agree that it might be a bit too much, if you look at the N95 its £220 for PAYG. but i think apple dont want to undercut the touch.

[allymac]

I'm confused. So this PAYG iPhone - if it's on O2 then every O2 phone I've had has been carrier unlocked ie you can use whatever network you like. Will this be the case with the iPhone?

[carfac]

Originally Posted by arn

No, they won't sell an unlocked one. There are no laws. But AT&T has said there will be an unsubsidized price for people who don't qualify for the subsidized price.

So will you be able to buy the unsubsidized phone w/o being strong-armed into a contract?

Originally Posted by arn

There is no reason to get an unlocked iPhone 3G in the U.S. There is no other carrier that supports both voice and data on the iPhone 3G. AT&T is your only choice (in the U.S.).

Sure, it's your only choice if you want to run at 3G. But ATT is NOT your only choice. What if:

1) You go overseas a lot, and want to use 3G when you go overseas and are content with EDGE in the US?

2) You never bought the 1rst Gen and want an iPhone (and don't care about 3G)?

3) The price of the 3G plus breaking the contract is less than 1rst Gen sell for on eBay?

There are a few reasons for getting a 3G even if TMo does not support the 3G part.... it is like the 1rst Gen not having Visual Voicemail... it may not have that feature, but it still will work for others...

[yogamonkey]

I would be so surprised if Apple Stores didn't stock the iPhone. It's a great way to get people through the doors, looking at the rest of the merchandise on offer. Missed opportunity if you can only get the iPhone from o2.