Vox Populi -- iPhone 3G

Techtree News Staff, Aug 21, 2008 0945 hrs IST

Our readers speak out in the wake of the iPhone 3G's price announcement

A while back we ran a piece on everything that is wrong with the iPhone. Back then, little did we realize that the number one item on that list would be the iPhone 3G's price.

Yesterday, the iPhone's price was revealed to be a staggering Rs. 31,000 for the 8GB version, and an even more mind-boggling Rs. 36,100 for the 16GB version. Incidentally, just what do you think made them add the Rs. 100 to the 36,000 label? Bizarre.

Our contact at Bharti Airtel suggested that the price will drop after six months -- a too-obvious a fact. The person also suggested that the markup on the iPhone will be used to upgrade the carrier's network capabilities. What exactly that meant, was not clarified. So are we essentially looking at a six-month tax to pave the way to a better network?

We want it, but can't afford it

We ran a few polls to gauge and chart our reader interest over the iPhone 3G. Back in June, we asked "Which of the upcoming phones would you like to own?" Needless to say the iPhone 3G took an overwhelming lead over other contenders, the HTC Touch Diamond and Samsung i900 Omnia: over 50% of our readers wanted to pick up the iPhone 3G. And who could fault them over that decision? When the iPhone 3G was announced by Apple, everyone felt a rising optimism as it became clear that this iPhone will see international skies; followed by elation over the Vodafone and Airtel announcements.

On the 19th of August, we asked our readers how much they would pay for the iPhone 3G. This time, the majority put their ideal price at Rs. 11,000 to Rs. 15,000 (46% of the votes cast), with an additional 32% only willing to pay between Rs. 8,000 and Rs. 10,000. Thus, an overwhelming majority of our readers wanted the iPhone 3G, and an equally overwhelming majority did not want to pay a paisa beyond Rs. 15,000 to own one. One wonders whether such an analysis was even made by those that priced the iPhone 3G.

As an aside, even our reviewer concluded that he would not have hesitated to pick up the iPhone, without 3G though it currently is, at half its asking price -- an opinion that dovetails into what our readers think its price ought to have been.

That very few would buy the iPhone 3G at over Rs. 30,000 is also borne by the results of the poll currently running on our website. Only 5% of the voters showed interest in buying the iPhone at its revealed price.

Price reactions

The reactions over the price have been very emotional, to say the least. Some felt betrayal over the move, like Arunava from Kolkata: "We had great faith on Apple and Vodafone till date. But the current pricing strategy seems to be a slap on our face." Future from Delhi seemed to sum up our reader's feelings when he commented, "NO one's gonna buy this thing for that price. It would be completely foolish to do such a thing." Others were less generous in their comments: "iPhone is going to be flop as soon as it is launched", said Ugander from Hyderabad. "Does Vodafone + Airtel really think that Indian customers are stupid?" asked Ankan Bhowmick from New Delhi, and reflecting upon the market research the price must have entailed Deep Kamal Sing from Indore suggested that "...it seems vodaphone India's marketing analyst have done very awesome research sitting inside their cozy AC cabins... many marketing researches are going to be fired soon..."

Some suggested a boycott, while others advised waiting for the price to drop; yet others suggested alternatives -- popular among them being the Nokia N96 and the HTC Diamond.

It seems that Apple, Vodafone and Airtel have squandered a good opportunity here.

Some will buy it anyway

We reported earlier that Bharti Airtel received over 2.5 million inquiries for the Apple iPhone 3G and expects a 30% conversion rate. If our own readers are to be used as a yardstick for popular opinion -- then not more than 5% of them are interested in picking up the iPhone 3G at its asking price. Which would still make it a relatively impressive 125,000 units sold. Note that this is just for Airtel. Early adopters will still snap up the product, it is after all an attention-grabber, if not quite a status symbol yet.

What do you think will bring the iPhone's price down? Will it take the usual 6-month cycle? Or will a lack of traction force the carriers and Apple to reduce pricing quicker? Would the price see greater sales in the gray-market? Would unlocked phones carry the day? It would be very interesting to see how the market reacts with the older iPhone's pricing: the original sells for around Rs. 20,000 in the gray market -- will its price see a hike to meet demand triggered but unsatiated due to price? How many of you are willing to import it, now that the official prices are known?

Drop us a note and share your thoughts.

USER COMMENTS

Both Airtel and Vodafone have screwed up on the price tag..They are forgetting the hype and the mile long queues were not only because it was a great phone to own (despite the end number of things it can't do) but coz of the reasonable price tag of $199 along with the "commitment contract" of the carrier. They have priced it beyond reasonable imagination and too in a "LIFETIME ? LOCKED" version with a hidden commitment....Cheers to the fools

by Capt Rohit Sinh, Lucknow, on Aug 22, 2008 08:37 PM, Report abuse Reply

All Indian's, Welcome to the hullah and the Marketing gimmics of all American companies. 30K for a iphone, which is neither a Complete Business Phone or comprises of some of the Basic features of a mobile Phone is really disgusting. For all of your eyes only, the BOM costing on an iPhone is under US$150 for a 16GB Model, for which Apple has the audecity to charge US$700+, thats something which probbaly an All American company can do. I failt to undesrtand what is the Marketing and the Planning team of Apple India during out here, looks like they only know to follow Orders and not act or Suggest something Creative. Utter Nonsense and just Patehtic

by Anonymous, Bangalore, INDIA, on Aug 22, 2008 12:32 PM, Report abuse Reply

Just a week back , i was looking forward to book an iPhone as soon as it is launched, already being an Airtel customer, and quite not-regretfully being in many disputes with them throughout, i booked it on vodafone. but now they all seems like a bunch of crooks with Apple joinig the bandwagon. i hope this launch big Big FLOP...and it'll be.

by Tajinder, Bangalore, on Aug 22, 2008 12:20 PM, Report abuse Reply

If Iphone 3g wants to capture the whole indian market it has to sell at Rs.12 k to rs.13k

by Rajesh, Chennai, on Aug 22, 2008 09:50 AM, Report abuse Reply

1) iPhone can be a hit in mobile technology wise backward countries like US, but not in India or any part of Asia. In US, even today people pay for incoming sms and calls. They also have rigid operator lock-ins for a variety of phones. 2) All asians thrive on SMSes. We also need to forward the received jokes. Crap we cant do it on iPhone. 3) 2 MP Camera?? Is this some Rs. 7000 phone??? 4) Only mono-bluetooth supported.....you need apple provided "wires" for listening to music. No data transfer using bluetooth....are we living in 2001?? 5) Operator lock-in !!! When Reliance threatened to move to GSM, even Qualcomm allowed use of SIM based phones.....Are we going to see stupid new monopolies??? I think TRAI should ban all such phone or network or system that try to deploy any monopoly!!! We Indians will manage with cracked iPhones.. 6) You use iTunes for all operations with the phone..... so apple can track all your activities...!! 7) Apple has become the world's biggest DRM freak... Move on Apple..improve the iPhone.. ...let MPAA and RIAA hassle with DRM 8) 16 GB Hard-disc on phone..vow!!! You can't use it like a USB drive.....and all data has to be transferred using ITunes. :( Nevertheless, I still love the iPhone just for 2 reasons 1) Sleek Design 2) The best multi-touch interface

by Tapan Shah, Ahmedabad, on Aug 22, 2008 01:20 AM, Report abuse Reply

spot on. its ridiculous. lets see how iphone thrives in india. its wannabe factor is in an order of magnitude lesser. there are very few mac fans here. ipod was one thing - but indians do a lot more with thier phones than in the US. indians are known to be the best and most economical users and also people who pay the most for cell phones. they want the cheapest service and best phones. but iphone does not allow a LOT of things we do - funny combination, i want the rich buggers to try it out first and then see how they react! they will complain for sure, moan at the lack of lot of things that youve mentioned!

by ashok pai, bangalore, on Aug 22, 2008 09:18 AM, Report abuse

rich wannabes have money to throw at to be ahead of the pack, airtel, vodafone and apple know exactly this. that the phone will cost beyond 30k was expected. its a tad ludicrous - 100 bucks slapped onto an already 36k priced phone. i cant help but laugh from the sidelines looking at all the rich kids throwing all that spare cash that they have at the iphone, who equally are enjoying it. in fact it made the decision all too easy for everyone else to NOT buy the phone. had it been around 15-20k mark, everyone and me would have been in a bind! im happy they priced it that way!

by ashok pai, bangalore, on Aug 22, 2008 09:14 AM, Report abuse Reply

stupid people.stupid stupid people. u wanna know what exactly were they toking when they decided on the price. ppl everywhere are looking for volumes . apple couldve made double that amt of money they'd "lose" thru strategic product and service placements .. i think they keep forgetting that ppl like us today are going to be working tomorrow ( or actually are right now , and hoping for a better offer smwhere ) and once we do that then apple will be just another buy for us .. no emotions involved , no peer pressure , nothing other than pure hard economics. compared to brand loyalty over long term, 10K is small change. I think apple better be talkin with airtel right now or theyll end up a fringe player in the faster emerging mobile telephony market there is. And that'd be a real shame.

by ytumamatambien, thessaloniki, on Aug 22, 2008 07:18 AM, Report abuse Reply

Both Airtel and Vodafone have screwed up on the price tag..They are forgetting the hype and the mile long queues were not only because it was a great phone to own (despite the end number of things it can't do) but coz of the reasonable price tag of $199 along with the "commitment contract" of the carrier. They have priced it beyond reasonable imagination and too in a "LOCKED" version with a hidden commitment....Cheers to the fools

by Capt Rohit Sinh, Lucknow, on Aug 22, 2008 07:13 AM, Report abuse Reply

I am totally speechless over the ridiculous price tag of the iPhone. Its like the big Indian dream..shattered!People with high hopes of using the iPhone in India should have known Apple better. Apple is company that would sell you a phone with a couple of new features minus a 100 essential features for a price which is 3 times more than any phone offering twice the features. Hope I am getting across to you all. Bottom line - Apple is trying to churn over profits from we Indians. Please do not fool yourselves by buying the phone and prove Apple right. I was never a fan of the iPhone, but now I simply hate it! Curse be on the iPhone!!!

by Naeem Shaikh, Nasik, on Aug 22, 2008 06:10 AM, Report abuse Reply

Well first of all people were going to think about buying iphone anyway but now they have got a reason for not thinking at all... Its a no contest... Bye bye apple... U lost many a supporters(customers) at least in india...

by Anant Bhushan, Roorkee, on Aug 22, 2008 12:40 AM, Report abuse Reply

Looking for SonyEricsson X1

by HaRMaN, Chandigarh, on Aug 22, 2008 12:21 AM, Report abuse Reply

What a Fucckking price of Iphone 3g. it is not valuable price of iphone 3g. why we have to pay 30k for a phone has no video rec. mms, fm, etc. there is better option like N81, N95. Now my wait is really finished I am going to choose another phone instead iphone3g.

by anand, ludhiana, on Aug 21, 2008 11:18 PM, Report abuse Reply

The pricing of iphone in india seems ridiculous as the upfront asking price is pretty high. However, even in the us, the actual price of the iphone - including the two year contract - works out pretty high. now the indian prices would have been jjustifiable only if the iphones were unlocked and sold by apple.

by chandan, mumbai, on Aug 21, 2008 11:06 PM, Report abuse Reply

do they really think us indians are stupid to go for this.

by Imran, mumbai, on Aug 21, 2008 08:58 PM, Report abuse Reply

boycott Congress....ahem

by beeejaypeeing, grr, on Aug 21, 2008 08:42 PM, Report abuse Reply

I dont know who is behind this price? Either Apple or Airtel/Vodafone is responsible.. Now assuming contract system in US(which gives apple more money than assumed) , u cant expect iPhone to be arround 10K but 31K this is unreal man and even after paying in full we will get locked carrier?????? i read this as comment on pcworld(Not authentic) apple takes $175 to unlock phone .. if that is inclded with 8% tax cost goes to $500 still not more that 25K but 31 is too much who is gaining profit from it then?????? Airtel/vodafone u shattered my dream of iPhone You wont live long!!!!!_Sandy

by Sandeep, Pune, on Aug 21, 2008 07:00 PM, Report abuse Reply

31000/- for Iphone is Pathetic... I have a Ipod Touch which can do just about anything Iphone can Do except calling.... for that i'll settle with my SE phone. I get to save battery too that way.. and those cribbing about 3G already know the so called ALMOST THERE FOREVER status of it in India.. I'll place my bets on Nokia Tube..

by Gadget Guy, Hyderabad, on Aug 21, 2008 05:31 PM, Report abuse Reply

Iphone with the usual Apple's premium price tag could be priced at Rs. 15000. When you have a marvellous Nokia N73M available at less than Rs.13000 no one ought to touch an iPhone. I own an Apple Macbook and the latest 80GB Classic iPod.

by Yesdee, Chennai, on Aug 21, 2008 05:25 PM, Report abuse Reply

Are you f******* kidding me??? In my opinion, the IPhone / IPhone 3G etc. is cut-rate technology components disguised and assembled as cool eye-candy for unsuspecting rich fools or apple fanatics who want to own the latest and greatest even though a couple of weeks later the prices drop. What are they charging a premium for? Touch screen? 8/16GB? No FM radio? No Wi-fi? 2MP piece of shit camera without flash or webcam capabilities? WTF....!!! There are 5 comparable handsets from competing brands and I daresay all of them have better technology starting at half the price (in India at least... since the IPhone is ridiculously high priced here). Don't buy the IPhone... unless ALL the Indian buyers unite and resist this idiotic pricing. Buy a competing brand for half or 3/4th the price and enjoy newer technology without requiring that your phone be locked to a single service provider. This sucks... being treated like pariahs in the world market !!! Apple... Thanks to your mishandling of the IPhone international pricing as well as your stubbornness in not launching ITunes in India, you can go stuff your IPhones up your a** !!! I am really disappointed...

by James, Gurgaon, on Aug 21, 2008 05:08 PM, Report abuse Reply

No question of going for an iPhone with any price tag higher than 15,000. I will still give a upper hand to HTC Touch pro Diamond, or even Nokia N96. iPhone really dissapointed Indians. It's worth less to buy today latest product after 1 year when it will be a crap old piece.

by Abhishek Mitra, Kolkata, on Aug 21, 2008 05:06 PM, Report abuse Reply

I phone comes at a price of laptop ...... who goona but it....still normal multi media phone with all majorly used fetaures like camera , music comes at aprice of 10k around.. who gonna spend 3 times for the features which will not be used that much in India and by general people...... rather buy a 30 GB ipod , one multimedia phone with 5 MP camera... and still money will be left...

by chandan, kolkata, on Aug 21, 2008 05:05 PM, Report abuse Reply

Definitely won't be going in for the iPhone at these ridiculous prices. I would is it cost half the announced price - 15- 18k. In certain places in europe, apple is selling the iphone 3g @ ~ INR 33k. But this is without any contract whatsoever, since it is against the law to offer contracts on phones in those locations. Why do people in india have to pay the same price, with a 2 year jail bond free with it. I don't see how these two providers can seemingly fleece the cell-savvy indian population with these prices, and get away with it. Boycott!!

by Vivek, Mumbai, on Aug 21, 2008 04:41 PM, Report abuse Reply

I prefer any other phone compared to iPhone when it comes to cost and facilities factor, also as 3G is not available in India, it makes iPhone 3G practically worse than the previous releases in terms of cost. I would think 100 times before buying the iPhone at 30K cost label better to stick to my nokia for now.

by Viru, New Delhi, on Aug 21, 2008 04:23 PM, Report abuse Reply

This is just dumb. Why the hell you would want to pay so much money for the iPhone. Airtel and Vodafone are only encouraging the grey market. They can now just buy the iPhone in the US and sell for 20k. people will flock to them like bees to honey

by Blogger, Mumbai, on Aug 21, 2008 04:22 PM, Report abuse Reply

iPhone: bad camera, no video recording, no SMS forwarding, no A2DP Bluetooth....31K just for your interface, screen size and all the hype....SORRY APPLE...I wanted to be one of the first ones to own an iPhone in India, but not now..

by Gaurav, Bangalore, on Aug 21, 2008 02:32 PM, Report abuse Reply

Forgot to add: No MAPS either...

by Gaurav, Bangalore, on Aug 21, 2008 02:36 PM, Report abuse

Well the Iphone is an expensive devise - when jobs probably launched it as twice as fast but half the price - it was mainly for the US market. Contracts and locked phones are a norm in the US and UK / Europe. I guess when they sell u the phone for 9000 (199$) u pay close to 3.5 k per month for 2 yrs (ofcourse with 3G internet unlimited). ATnT i guess either subsidies the actual cost of the Iphone or has a profit share with Apple and they get it cheap. I also want to note - Apple makes a load of money from tunes , videos and apps from its PAY itunes SHOP. I guess that , if the economics work , it might, in the future be a FREE Delivery mechanism for Apple to hand one out free with gas ..... You see where im going .... India is untested ... itunes is not up yet ... revenues per user is a question mark hence the best way to do it is - cover costs and pay duties. Once people start buying music (when apple makes it available) , apps, TV and videos and keeps a 30% margin for any delivery ... TRUST ME they will make it cheap. Im in anyway !

by Mazher R, Mumbai, on Aug 21, 2008 02:22 PM, Report abuse Reply

what the APPLE said about i-phone"twice as fast,half the price" But what the hell is this 30000INR, i think that APPLE should have to say now that "half as fast,triple the price" Sorry apple i am going to my beloved NOKIA for My New N95 8GB or N96,and may be For NOKIA Tube..

by mandeep, moga punjab, on Aug 21, 2008 01:44 PM, Report abuse Reply

Well I will be getting my iPhone from the U.S.A. The price out there is really low!!!(16 gb for 10000 bucks approx). Jailbreaking is done with and unlocking will be done very soon!!!

by Aditya, Mumbai, on Aug 21, 2008 01:35 PM, Report abuse Reply

Even though I love the I-Phone despite all its flaws, I would consider buying it only if it's priced affordably. The price needs to come down by at least 50% less than what it's currently at.

by Lavin Mansukhan, Pune, on Aug 21, 2008 01:17 PM, Report abuse Reply

Dont know why the prices are very high in India wherever its sold at 199 dollar all over world. Its clear like petrol is very cheap in other countries but very high in India due to certain taxes, the same case could be with IPhone.

by Sunil, Chandigarh, on Aug 21, 2008 01:10 PM, Report abuse Reply

i could understand if vodafone and airtel selling iphone without future commitments and contracts at this steep price. But now it seems still after giving HUGE price to airtel and vodafone we have still rely on them.. i think airtel and vodafone have killed golden egg laying hen by pricing...

by Anuj nandwani, panipat, on Aug 21, 2008 12:46 PM, Report abuse Reply

not going to buy this, if it went for half the price they are launching it at. then and only then would i even consider it. now i am just crossing my fingers and hoping the SE XPERIA X1 does not cost that much. and will pick that up and forget about the iphone

by shake, pune, on Aug 21, 2008 11:17 AM, Report abuse Reply

Thanks for the excellent writeup and also quoting my comment. It actually sums up our feelings. Maybe, I am a bit emotional about Apple products, which prompted to write such a comment. But while doing so, I forgot one basic point, Apple iPhone in India is not for people who really love it and cannot afford it. Its meant for those, who sits in cozy ac cabins and shows it off to others, without using half its features. Thanks to Apple, Vodafone and Airtel for bringing such a untouchable star device in India.

by Arunava, Kolkata, on Aug 21, 2008 10:59 AM, Report abuse Reply

Though many think that the price is too much, there are people ready to buy it for this rate also. The network carriers will happily sell the phones to those people who are ready to buy it for the rates mentioned. If no one buys this phone, then obviously the rates will come down in some weeks also, but will that be the case ??

by Lakshman, chennai, on Aug 21, 2008 10:42 AM, Report abuse Reply

I am a fan of iPhone. But at the greediness of Airtel & Vodafone, I request all to BOYCOTT iphone so that they understand the values of Indian consumers. They are simply cheating us.

by Arnab, Kolkata, on Aug 21, 2008 10:41 AM, Report abuse Reply

Rs 31000 & 36100 is too much price for the phone where the phone itself has some limitations plus the plans also has not been declared too thta makes like searcing a pin in dark .Idealy price shud have been in range of 10000 - 15000 thats affordable .How was the price decided ??? i think only this phone has been targeted @ higher class people

by Salil Rane, mumbai, on Aug 21, 2008 10:40 AM, Report abuse Reply

It is utterly waste to buy a phone which doesn't have good camera, Fm. In INDIA, 3G is not introduced. So y should v waste 31-36K for that dumb phone. I vl go for SE or Nokia N95 or N95 8GB or wait for N96.

by Rajanna, Bengaluru, on Aug 21, 2008 10:36 AM, Report abuse Reply

I deeply mourn on the sad demise of my dream to buy an I-Phone on 22nd Aug midnight. Stupid pricing. This gonna be down soon.

by Sourav, Kolkata, on Aug 21, 2008 10:23 AM, Report abuse Reply

This is going to utterly flop show, no 3g in india, u want to shell out 30 k for a phone, which doesn't have video recording. Go to Hell

by Anil, Bangalore, on Aug 21, 2008 10:18 AM, Report abuse Reply

I would like to import it. But a price drop is certain after a few months. Remember how they reduced the price in the US and also offered a rebate.

by Rocky, mumbai, on Aug 21, 2008 10:17 AM, Report abuse Reply

highly deppressed after a long wait for iphone..... guess on 22nd aug it starts selling 16gb at 25 k... i will be the first to buy but not at 36k.... stupid price....

by su khan, bangalore, on Aug 21, 2008 10:02 AM, Report abuse Reply