Why do iPhones cost $199 in the USA and $799 in Australia?

Discussion in 'iPhone' started by conch575, Jun 7, 2009.

  1. conch575 macrumors 6502

    conch575

    Joined:
    May 29, 2009
    Location:
    Sydney, Australia
    #1
    Why is there such a big price difference in the 8GB and the 16GB (AUD$899)? I converted the price of the American one and it was $239 AUD and the Australian one $637 USD.. I don't get how it's different!!
    If I bought an iPhone from the U.S. would it work in Australia? Coz I think that price difference is ridiculous!
     
  2. Drewsky87 macrumors 6502

    Drewsky87

    Joined:
    Dec 5, 2008
    Location:
    MD
    #2
    I'm assuming that your phones aren't subsidized and you're not bound by a contract with your carrier then. That's why ours are cheap, if we get them without a contract then we pay that much too.
     
  3. dukebound85 macrumors P6

    dukebound85

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    Location:
    5045 feet above sea level
    #4
    funny, im forced to pay at minimum

    300+80+175 if use ETF = 555 min

    or

    300 +80*24= 2120 if i dont break my contract
     
  4. Krafty macrumors 601

    Krafty

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    La La Land
  5. sammich macrumors 601

    sammich

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    Location:
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    #6
    Have you looked up the post paid pricing structure? I got mine on a $39 dollar plan from Optus, paid $215 upfront iirc.

    Hasn't been that way for a decade, if i'm not mistaken. Although we took a dive not long ago, and it did almost get back that low. We were almost up to parity not long ago (1USD = 1AUD).
     
  6. bigchief macrumors 6502a

    Joined:
    Feb 26, 2009
    #7
    Probablly because you pay for yours up front and we in the US pay for part of it in payments though a 2 year contract. Like making payments on a car.
     
  7. Chundles macrumors G4

    Chundles

    Joined:
    Jul 4, 2005
    #8
    They cost US$199 in the US when tied to a 2 year contract.

    They cost nothing in Australia when tied to some 2 year contracts.

    They cost A$800ish when bought outright without any contract.

    You cannot buy the iPhone outright in the US, you can get it without a contract at around US$500 or more but it's still locked to the AT&T network.
     
  8. sammich macrumors 601

    sammich

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    Location:
    Sarcasmville.
    #9
    If you do buy the iPhone in Australia without a post-paid contract, the phone is still locked to the carrier you bought it from. Which is the case for just about every phone, right down to the $30 ones from the post office.
     
  9. Krafty macrumors 601

    Krafty

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    #10
    Tried google & yahoo answers and got different answers, so I wasn't sure.
     
  10. Chundles macrumors G4

    Chundles

    Joined:
    Jul 4, 2005
    #11
    Yeah that's true but you can get it unlocked, unlike in the US. After 6 months it's free to unlock on some networks.
     
  11. sammich macrumors 601

    sammich

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    Location:
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    #12
    Took me a while to find this, but there you go! I should've imported some :apple: gear when it was up that high :D
     

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  12. Krafty macrumors 601

    Krafty

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    La La Land
    #13
    Thanks for the info.
     
  13. TheSpecialist08 macrumors member

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    Jan 17, 2009
    Location:
    Sacramento, CA
    #14
    It's about $.79 per USD, still crazy expensive though.
     
  14. Chundles macrumors G4

    Chundles

    Joined:
    Jul 4, 2005
    #15
    It's coming back though, we've staved off the recession (by a bee's d*ck) so far.

    The phone doesn't cost US$199 in the US, that's just the upfront payment, the phone is heavily subsidised by AT&T just as it is here where you can get it for free on a lot of 2 year contracts.

    I can't find it at the moment but I thought the unsubsidised price of the iPhone was around US$599 (plus taxes) but still locked to the AT&T network.

    US$599 translates to about A$750 but the US price doesn't include sales taxes so it would be a bit higher, maybe around A$800ish.

    So we'd pay a bit more but not A$600 more, it's closer to A$100 and we have the option of unlocking it and using it with any network and plan we like.
     

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  15. stezza333 macrumors regular

    Joined:
    May 12, 2009
    #16
    lol @ Thread.

    It's AUD$799 outright! No contract and no other fees. If you want to unlock it however it will cost you an extra $80 I believe. On a contract, an unlock costs $0 I think.
     
  16. Chundles macrumors G4

    Chundles

    Joined:
    Jul 4, 2005
    #17
    Yep, that's the genera gist.
     
  17. peteryan7hao macrumors regular

    peteryan7hao

    Joined:
    Jun 20, 2008
    Location:
    melbourne
    #18
    funny thread.

    But the real question should be:

    Why do MacBooks cost $999 and $1299 in the US and $1327 & $1690 in Australia ?

    Why do MacBook Pros cost $1999 in the US and $2575 in Australia?

    (Prices are all in US dollars)
     
  18. Chundles macrumors G4

    Chundles

    Joined:
    Jul 4, 2005
    #19
    Yep. We were close when they came out and the dollar was at US$0.60 but it's gone up 20 cents since then - a full one third yet the prices haven't moved except for the new white one which is a whopping A$50 cheaper...
     
  19. sammich macrumors 601

    sammich

    Joined:
    Sep 26, 2006
    Location:
    Sarcasmville.
    #20
    Yeah, the unlock on a contract is free...after the 2 years of your contract. Otherwise you could pay the contract termination fee, which I'm having trouble finding.
     
  20. Chundles macrumors G4

    Chundles

    Joined:
    Jul 4, 2005
    #21
    No, it's free after six months. You stay on your contract but you're no longer locked to that network.

    If you buy it outright and unlocked you can do what you like.
     
  21. richard.mac macrumors 603

    richard.mac

    Joined:
    Feb 2, 2007
    Location:
    51.50024, -0.12662
    #22
    so Apple just locks in the price of new products at the market price at the time, cant it be dynamic and reflect the current market price?

    i was a bit confused by the US and AUS price of iPhones at first. now i just look at the total price in the contract and look at all the extra fees which i hope is more observant than the customers the telcos are targeting at.
     
  22. Chundles macrumors G4

    Chundles

    Joined:
    Jul 4, 2005
    #23
    Yeah, they generally don't change the prices until the products change.

    The price of a 16GB iPhone without contract in the US is US$699 which translates to A$881. The no-contract price of a 16GB iPhone in Australia is $899. The US price doesn't include applicable taxes so the price difference is negligible.

    Of course, in Australia when you own the phone without an attached contract you can pay the carrier to unlock the phone so you can pick and choose your network and type of payments. You can't get AT&T to unlock your phone in the US and even if you could you don't have much of a choice for networks.

    Our plans are pretty poor value in many instances but I have mine on a pre-pay option, I pay $50 upfront a month and get more than enough credit for calls and text and enough monthly data for my uses. I am not on a contract and can swap networks as I please. Just grab a new SIM card, pop it in and away I go.
     
  23. ebika macrumors 6502

    Joined:
    Nov 17, 2008
    #24
    I never considered using the stock app for currency rates. That's cool.
     
  24. spookme macrumors member

    Joined:
    Apr 29, 2009
    #25
    Its pretty much the same every place tbh.

    In the UK you can either by the phone as Pay Go - last time I checked you were looking at £350.00 - 8GB, £400 - 16GB or go on contract.

    18 month contract 8GB - 600 mins talk time, 500 text, unlimited data - £35.00
    18 month contract 8GB - 1200 mins, 500 text, unlimited data - £45.00
    18 month contract 16GB - 600 min, 500 text - unlimited data - £35.00 + £100 for the device............. and so on.

    Although as for why the price difference, its likley to be down to a number of factors including, local Tax, exchange rate, blah blah blah, we see it all the time in the UK, its known locally as "rip of britain" things can be a lot cheaper in Europe than they are in the UK and it all gets explained away through Tax being higher here blah blah blah

    As frustrating as it is, unfortunately its just one of them things.

    Best option, by a device from a country that you can get a great deal from and then unlock, afterall we all appear to have the tinterweb!!!! Globalisation - but thats a whole other thread and probably not a mac rumours one.
     

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