perspective from southeast asia
I'll be very interested to see how Apple plays this in Asia.
Around here, most people buy unlocked phones. Contract phones aren't much cheaper - 20% discount at most, reflecting the fact that you can get them unlocked in the shadowy upper levels of any electronics mall, so the only way the carriers can "enforce" the contract is to send you bills and hope.
People are also much more internationally mobile than in the USA; I don't know any middle-class person who hasn't left the country at least once last year, and most of my peers go on at least a half-dozen international trips annually between business and leisure.
In Europe, Vodafone's about as close as you get to a continent-wide network, but it's still far from comprehensive. In Asia there's nothing. Nobody has the market reach of a Verizon or a Cingular. A phone that's locked to one carrier that may or may not have good reciprocal roaming arrangements is a non-starter.
So, if as people are saying, Cingular is subsidising 50% or more of the phone's actual retail price, it just won't work. The number of people who will pay US$1200 for a phone is tiny.
Actually, given the price premium for Apple products over here, it's likely to be more like $1500.
I'll be very interested to see how Apple plays this in Asia.
Around here, most people buy unlocked phones. Contract phones aren't much cheaper - 20% discount at most, reflecting the fact that you can get them unlocked in the shadowy upper levels of any electronics mall, so the only way the carriers can "enforce" the contract is to send you bills and hope.
People are also much more internationally mobile than in the USA; I don't know any middle-class person who hasn't left the country at least once last year, and most of my peers go on at least a half-dozen international trips annually between business and leisure.
In Europe, Vodafone's about as close as you get to a continent-wide network, but it's still far from comprehensive. In Asia there's nothing. Nobody has the market reach of a Verizon or a Cingular. A phone that's locked to one carrier that may or may not have good reciprocal roaming arrangements is a non-starter.
So, if as people are saying, Cingular is subsidising 50% or more of the phone's actual retail price, it just won't work. The number of people who will pay US$1200 for a phone is tiny.
Actually, given the price premium for Apple products over here, it's likely to be more like $1500.