Austrian Wireless Carrier Preparing to Offer Subsidized iPad

[MacRumors]

TamsIJungle reports (via Engadget) that it received word from wireless carrier Hutchison Austria that the company is planning to offer subsidized iPads for users willing to commit to a two-year data contract with the company. According to Hutchison Austria CEO Berthold Thoma:

Hutchison Austria will be the first Austrian carrier to bundle the iPad. We will do so via our long-established laptop bundle, which offers customers a 333euro rebate if they agree to a 2yr contract offering 5GB of data for 29.90euro.

Thoma also noted that, because the initial supply of iPad models will be Wi-Fi-only, the company will bundle the iPad with a Wi-Fi-based 3G modem for connectivity. Thoma's comments do not necessarily suggest that the carrier has worked with Apple on the subsidized pricing, however, as it would appear simple enough for the carrier to purchase iPad units on its own prior to bundling them for sale to its customers.

Questionable early reports had claimed that Apple was looking to pursue arrangements with Verizon for subsidized tablet pricing in exchange for customer data contracts, although later rumors were relatively silent on the possibility. The only announced carrier offering for the iPad so far comes from AT&T in the United States, which will offer contract-free monthly 3G access plans for $14.99 (250 MB) and $29.99 (unlimited).

Article Link: Austrian Wireless Carrier Preparing to Offer Subsidized iPad

 

[GeekLawyer]

"Thoma also noted that, because the initial supply of iPad models will be Wi-Fi-only, the company will bundle the iPad with a Wi-Fi-based 3G modem for connectivity."

That's the part I don't understand. Aside from the MiFi (and similar), I don't know what kind of 3G modem Mr. Thoma thinks can interact with a wi-fi-only iPad. Am I missing something?

 

[sbrhwkp3]

And the iPad becomes even more appealing.

Also, if apple will be making a CDMA iPad, what would discourage them from making a CDMA capable iPhone?

I'd love to have an iPhone through Sprint.

 

[Emulsion]

Having options is good.

 

[NeuralControl]

I can only hope similar deals start popping up in the US. This would be especially nice if the WiFi iPad came bundled with mifi-type devices that enables more than one device to get the signal. However, that may just be wishful thinking.

 

[Emulsion]

"Thoma also noted that, because the initial supply of iPad models will be Wi-Fi-only, the company will bundle the iPad with a Wi-Fi-based 3G modem for connectivity."

That's the part I don't understand. Aside from the MiFi (and similar), I don't know what kind of 3G modem Mr. Thoma thinks can interact with a wi-fi-only iPad. Am I missing something?

Its a unit that converts 3G signal to Wi-Fi.

 

[manu chao]

"Thoma also noted that, because the initial supply of iPad models will be Wi-Fi-only, the company will bundle the iPad with a Wi-Fi-based 3G modem for connectivity."

That's the part I don't understand. Aside from the MiFi (and similar), I don't know what kind of 3G modem Mr. Thoma thinks can interact with a wi-fi-only iPad. Am I missing something?

Well, maybe they intent to bundle exactly that, the MiFi (even though a MiFi is more expensive than the traditional 3G USB modems).

 

[2992]

"Thoma also noted that, because the initial supply of iPad models will be Wi-Fi-only, the company will bundle the iPad with a Wi-Fi-based 3G modem for connectivity."

That's the part I don't understand. Aside from the MiFi (and similar), I don't know what kind of 3G modem Mr. Thoma thinks can interact with a wi-fi-only iPad. Am I missing something?

Yes: A (portable) 3G/HSPA modem/terminal which creates a small local WiFi hotspot around.

 

[Becordial]

Looks like they've got both types there already. I was thinking if they dont use the MIFI type on the bottom lift they might be able to include an adapter that means the USB one can be plugged into it (the same way Apple is offering a SD card reader accesory)

 

[NoComment]

no real "subsidization"

You can buy ANY laptop that partnering retailers offer, and you simple pay €333 less of the notebook's price if you sign the contract with 3 at the retailer's store.

So no subsidization at all. No contracts with Apple.

 

[NoComment]

Looks like they've got both types there already. I was thinking if they dont use the MIFI type on the bottom lift they might be able to include an adapter that means the USB one can be plugged into it (the same way Apple is offering a SD card reader accesory)

What they do is offering a small box with WLAN and a built in UMTS/GPRS modem. As those devices draw a lot of electricity I doubt this would be a battery-driven device.

 

[lord patton]

if nothing else, this implies that the carrier (probably) knows the wholesale price, and that they will be able to stock and sell it.

Correct me if I'm wrong, but Apple hasn't revealed its distribution model for the iPad. Amazon, Best Buy, wireless partners, Radio Shack... will any authorized Apple reseller be able to sell this? If they're smart, Apple will put a whole bunch of these up for sale at Costco. $500 is very nearly an impulse purchase there.

 

[Ja Di ksw]

Now that I live in Austria, this would be a great deal. I'd want to have the 5GB anyway, so a 2 year plan doesn't really matter to me. And this way I'd be getting an iPad for almost nothing! I will seriously consider getting this if it comes out.

 

[aaarrrgggh]

They can't SIM-lock, so it is hard to believe that a subsidy would work.

 

[Becordial]

if nothing else, this implies that the carrier (probably) knows the wholesale price, and that they will be able to stock and sell it.

Correct me if I'm wrong, but Apple hasn't revealed its distribution model for the iPad. Amazon, Best Buy, wireless partners, Radio Shack... will any authorized Apple reseller be able to sell this? If they're smart, Apple will put a whole bunch of these up for sale at Costco. $500 is very nearly an impulse purchase there.

I agree with you - they should put them everywhere. I was just on my local major electronics retailer site which is a bit like RadioShack/BestBuy that you guys in the US have and notice that they've got a banner up saying its coming to them soon.

 

[Shuttleworth]

Three UK do a MiFi deal with an 8Gb iPod touch, 2 years contract at £23 a month for 5Gb of downloads. Probably more use if you have a laptop as well, as it would be hard for teh average guy to download 5 gig.

It sounds like this will be a common sort of deal for the iPad too.

 

[tys]

Come on AT&T

I hope AT&T decides to do the same thing. That would solve my 3g vs wifi indecision. The Mifi option sounds good too, maybe even better if it works with multiple devices.

 

[goosnarrggh]

They can't SIM-lock, so it is hard to believe that a subsidy would work.

As long as they've got your signature on a piece of paper (or the digital equivalent thereof) saying that you've contractually agreed to purchase service from them for the next 24 months, they've got everything they need to extract their money from you one way or the other.

The SIM lock is a smokescreen. Always has been.

[edit]
lol... aaarrrgggh and goosarrggh...

 

[Habakuk]

TamsIJungle reports … that it received word from wireless carrier Hutchison Austria that the company is planning to offer subsidized iPads for users willing to commit to a two-year data contract with the company.

According to Hutchison Austria CEO Berthold Thoma…

They are citing Thoma in German language—and call it "the original announcement"—but he didn't say anything about two years according to the blog.

 

[tatonka]

They are citing Thoma in German language—and call it "the original announcement"—but he didn't say anything about two years according to the blog.

I suppose that is in the fine print of the data plan .. as said earlier, that exists for all kinds of other device/laptops as well. 2yr contract would be a usually timespan to receive a subsidized device.

T.

 

[jamest71]

I would sign up to AT&T for 2 years (250MB plan) if they offered it.
I would only use it on vacations and taking to my gf's mothers because she doesn't have the internet.

 

[coldplaysucks.]

I'm not sure if the trade off is worth it? I mean, I guess if you're going to keep a data plan for two years it couldn't hurt to sign on for a cheap iPad, but I know in Canada the providers suck, and the choice to sign on to a new, better provider might come along in six months.

I just wouldn't want to be chained down (to anyone but )

 

[christian_k]

They can't SIM-lock, so it is hard to believe that a subsidy would work.

It does work. Here in Germany you get a mobile phone (or a NetBook with 3G) nearly for free (often just 1 Euro) if you sign 2 yr contract. These devices are always unlocked. There are very few devices that are sold with a contract that have SimLock (iPhone).
Even if you use the device with another operator you still have to pay for the rest of the 2 years so there will be no loss for the operator.

SimLock is only common with cheap (subsidized) prepaid devices.

I think sim locking was easily introduced in countries like the US where people were used to devices that did not or do not have SIM cards at all. In Germany Sim lock is not accepted by many people and many do refuse to buy iPhones because of Sim lock (or import it from other countries). That is because in Germany even "C-Tel" (1980s analog service) had customer cards that were similar to SIM cards and could be easily interchanged between phones.

I am sure that we will have many subsidized offers of unlocked iPads in Germany sold by the 4 network operators and the (many) resellers an virtual operators with contracts. I think you will spend 100 Euro up front and 29 Euro per monts or so (there are similar deals for NetBooks with 5 GB per month data plans).

Christian

 

[MorphingDragon]

Also, if apple will be making a CDMA iPad, what would discourage them from making a CDMA capable iPhone?

The fact that it they would be spending millions in wasted resources and time writing the OS to support a dead technology.

I'd love to have an iPhone through Sprint.

Ill eat an entire Haggis.