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Rumour: O2 plans free iPhone 3G upgrade and pay-as-you-go
Macworld learns some of the details of O2's iPhone launch plans

Jonny Evans, Macworld staff

O2 is planning to hatch a series of attractive propositions to boost 3G iPhone sales in the UK, according to Macworld UK's sources.

Macworld sources claim the device will cost £100 and be sold with an 18-month contract, but Apple's UK network partner may harbour deeper plans for the launch of the device. Including free upgrades, free phones for high-tariff users and pay-as-you-go deals.

We have heard that O2 may sell the iPhone in the UK on a pay-as-you-go basis, offering the device contract-free at the same price as the preceding model, £269.

It is also rumoured that the iPhone will be offered for free to new customers signing-up to the most expensive tariff. That's currently the £75 per month tariff that offers 3,000 minutes of calling and 500 texts.

And, in natural Apple style, there's one more thing: Existing iPhone customers will be offered the chance to upgrade their mobile to the new model without charge - though they will be obliged to sign-up to another 18-month contract.

Some users may prefer not to do this, instead choosing to Jailbreak their older iPhone for use on other networks, handing on to friends or relatives or even selling the device on eBay.

Sounds good, but wouldn't mind giving my old one to my wife.. just hope I can legitimatly unlock it!!
 
WHAT????? But I assume ill still have to trade my old one to get it free.. My local 02 better have them in stock. Imagine reading the text feed on macrumors then gettin 3g iPhone before the end of the night.
 
Pay as you go will be a major selling point for me. Hopefully this part is true.
 
A PAYG option would be pretty good for my other half, but at the same time the iPhone really is a data centric device. That isnt going to play so well with a PAYG tariff as data is very very expensive.
 
A PAYG option would be pretty good for my other half, but at the same time the iPhone really is a data centric device. That isnt going to play so well with a PAYG tariff as data is very very expensive.

i've been using my iphone on o2 pay and go pretty effectively. they have a data bolt on which costs £7.50 per month and gives up to 200MB (which i never exceeded despite heavy use)
 
i've been using my iphone on o2 pay and go pretty effectively. they have a data bolt on which costs £7.50 per month and gives up to 200MB (which i never exceeded despite heavy use)

Thats good though that you know about how to go about it. In general, the majority of people are really really dumb and dont have the foggiest of an idea what data even is on a mobile device. People on the forum are generally a bit more in the know with all this stuff.

Anyway to get back to my point I was having a detailed look through the O2 website. It took a while to find but this page shed some light on the data charges:

O2 Costs

Pay & Go customers
Browsing costs £3 per MB. If you intend on using a lot of data we recommend you take the O2 Web Bolt On for £7.50 per month.

Now you have shown a bit of common sense and obviously have that as part of your Pay & Go setup. There are going to be a massive number of other people on the other hand, who lets face it are dumbo's when it comes to this.

At £3 per MB thats going to be a killer shock to their balance. For example racking up 10MB is easy even on GPRS, thats £30 already, imagine what the effect would be doing this on a 3G enabled iPhone. Yea, you got it, your balance being wiped out very quickly.
 
If this comes to pass I'll quite happily accept my free iPhone 3G and sell on my existing iPhone - a nice little cash injection!
But I doubt it'd be free - upgrading now to a phone that is fresh out usually costs something (depending on the tariff though) but then if it is around the £100 mark I'd still be happy as I'm sure I'll get that at least for my current iPhone.

I'd just like to know when I can get my mits on the new model... roll on the 9th!
 
There are going to be a massive number of other people on the other hand, who lets face it are dumbo's when it comes to this.

At £3 per MB thats going to be a killer shock to their balance. For example racking up 10MB is easy even on GPRS, thats £30 already, imagine what the effect would be doing this on a 3G enabled iPhone. Yea, you got it, your balance being wiped out very quickly.

yes, that is true.
 
If this comes to pass I'll quite happily accept my free iPhone 3G and sell on my existing iPhone - a nice little cash injection!
But I doubt it'd be free - upgrading now to a phone that is fresh out usually costs something (depending on the tariff though) but then if it is around the £100 mark I'd still be happy as I'm sure I'll get that at least for my current iPhone.

I'd just like to know when I can get my mits on the new model... roll on the 9th!

Im thinking otherwise. Upgrading at a subside will add another 18 months onto the contract, your then in for basically another 2 and a half years!!

I think im just going to buy the new 3G iPhone outright from the Apple shop and continue my current contract on it. Thats what I hope I can do anyway!!!
 
Two things

As a 1st gen iphone owner, I would need two things:

  1. To be able to not have to trade in old phone. I own it. Its mine
  2. To be able to keep and unlock old phone. Would be very nice to be able to use if for travelling and international SIM cards.

If not, No deal. Wouldn't object to new contract. Old one is only two months old.
 
If this is true that means contract activation in the store. Otherwise you could walk out with a free iphone and just jailbreak it.
 
I've got some money set aside for an upgrade but hopefully we won't have to pay the full price.

£99 plus renewing the 18 months is perfectly reasonable.
 
Free upgrades? £100/£0 for a new handset? This sounds too good to be true, so it probably isn't.

Also, what would happen to sales in the Apple stores? How much would the handset be there? I can't see them selling any at full price if O2 are subsidising heavily, but I can't see Apple Store employees signing you up for an O2 account instore either (which they would have to if they are being given away free, as noted above).
 
Free upgrades? £100/£0 for a new handset? This sounds too good to be true, so it probably isn't.

Also, what would happen to sales in the Apple stores? How much would the handset be there? I can't see them selling any at full price if O2 are subsidising heavily, but I can't see Apple Store employees signing you up for an O2 account instore either (which they would have to if they are being given away free, as noted above).

Full price, then when you sign up for the contract on iTunes it credits your account.
 
Any thoughts on whether you'll be able to walk into an Apple store, buy a 3G iPhone contract-free, jailbreak/unlock it when you get it home and then put your Three simcard in and use with an existing Three contract?
 
A PAYG option would be pretty good for my other half, but at the same time the iPhone really is a data centric device. That isnt going to play so well with a PAYG tariff as data is very very expensive.

People like me are lost down a hole between the iPod Touch and the iPhone. The iPod Touch would be good enough most of the time thanks to Wi-Fi but there are times when I'll need email out and about. One day a month or a few weeks every year - not worth £35. But PAYG I'd buy an iPhone tomorrow, secure in the knowledge I could pull down email even when there's no WiFi. With VOIP (e.g. Skype) I'd also make it my business line.
 
Any thoughts on whether you'll be able to walk into an Apple store, buy a 3G iPhone contract-free, jailbreak/unlock it when you get it home and then put your Three simcard in and use with an existing Three contract?
Would like to know that too, because I'm from Denmark :p

£3 per MB :eek: I pay £0,1 per MB, and don't pay fees or anything.
 
Please let this be true!

A 3G iPhone on Pay-As-You-Go, with the Data Bolt-On is exactly what I want. If I can't have that, a £20 per month contract would suffice.
 
please let it be not true.. i prefer the elitist status of being a mac snob, rather than having the same phone as everyone else...

people will buy it, not even realise it does email, etc. and (maybe) complain about the poor quality photos...

maybe it is just me, but an iphone on a PAYG isn't a good idea at all..
 
Im thinking otherwise. Upgrading at a subside will add another 18 months onto the contract, your then in for basically another 2 and a half years!!

I think im just going to buy the new 3G iPhone outright from the Apple shop and continue my current contract on it. Thats what I hope I can do anyway!!!

What, 18 months in addition to the full current contract? Hmmm. Never heard of that happening. It's usually a case (as with most upgrades) that the 18 months starts from when you agree to take the new phone. Still, if that is the case it's not a dealbreaker for me as I like my tariff...
 
What, 18 months in addition to the full current contract? Hmmm. Never heard of that happening. It's usually a case (as with most upgrades) that the 18 months starts from when you agree to take the new phone. Still, if that is the case it's not a dealbreaker for me as I like my tariff...

Dont quote me on it, ha ha ha, quite ironic. That is what I have heard. Really the whole thing is up in the air until the 9th and even after that probably until the 10th minimum for O2 to get thier staff up to date with what is going to be the deal.

Word of advice, phone the O2 iPhone call centre, from my experience the people in the O2 shop have exactly no clue at all!!
 
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