Vodafone responds swiftly, but modestly, to iPhone 3G pricing silliness in India
By Chris Ziegler 
posted Aug 23rd 2008 5:03PM
posted Aug 23rd 2008 5:03PM
If there's one way to throw a wet blanket on an iPhone launch, it's by pricing the bad boy right out of reach for an overwhelming majority of the locale's denizens. That's pretty much what went down in India, where Vodafone and Airtel kicked off iPhone 3G sales at a numbing Rs 31,000 for the 8GB model -- something like $715 -- thanks in no small part to the fact that the phones are unsubsidized. Perhaps sensing a launch fervor yesterday that wasn't quite living up to expectations, Voda was quick to act by dropping prices by Rs 2,000 (about $46) across the board. Is it enough to ignite iPhone fever down there? The cut doesn't seem deep enough to make much of a difference at the register, but maybe -- just maybe -- Voda's marketing wizards know something we don't.
$50 off of $715 ain't gonna do much.
Having people buy a phone for full price while the carrier has several other phones far cheaper that comes with a silly 2-year contract? Most people would pick the cheaper phones with the contract than paying such a high price
lol are they expecting to sell iphone's in india? cuz at that price no one will except die hard geeks with cash.
Mate, what is your impression about India? Get your facts right, India is no more a poor country and people can afford such gadgets. It's just a question of the gadget being worth the price, which the iPhone isn't.
lol what? India is still one of the poorest countries in the world. Sure, there is an elite that has a crap load of money, but the majority of Indians are extremely poor.
@Shreevardhan
are you mentally ill ?
not even most americans can afford a $700 dollor phone, let alone india, where millions of your people still live in poverty, dont call me stupid when i seem to know more than you and i am merely 18 years of age. get your facts strait
@Shreevardhan
sorry for another post but i just still cant get over how stupid you are hahaha
I think it does not make any sense on debating about residents of which country can afford what? Every country has its Pros as well as Cons and this will be a never ending debate. So rather than abusing each other further, please discuss the main topic.
I honestly feel that price of iPhone is not justifiable (as per TOC - Total Cost of Ownership) considering No A2DP for Stereo Bluetooth, lacking in basic functionality like forwarding SMS, Operator locked, 2MP camera (for the price a consumer has to pay) and NO 3G (at least as of now in India).
I would prefer to go for N96 if I have to spend such an amount. What you say folks?
but it sucks... why buy it??
im so confused
Before people starts complaining about India's iPhone price, check out the price of the phone in the Philippines under Globe Telecom. Apparently, it sells for around (or even more than) $1000.
Apparently, die hard geeks even Apple Fanboys (who own 2G) have said that they won't be buying it coz 31k is not worth the price considering the other issues the 3G version has (keyboard lags, cracking plastic and lack of 3G in India). The funnier part is that during the launch event they were using Windows based laptops to activate the iPhones and those buying it were from the affluent ones who had Sony Vaio laptop bags. There was not a single Mac anywhere to be seen at the whole launch event!
@montusama You don't need a contract to buy a cheap phone in India. We don't have carriers locking consumers into contracts here.
A cheap phone starts from as little as $20. (you read that right)
The iPhone was never meant for the masses at least not in India... so Jesse... your point no matter how valid seems out of place here. The same principle of people having a crap load of money holds true even in the west!
Getting back to the iPhone, it is a high priced toy at best! Sure it can do a few things better than a normal phone... but you have a long way to go before you can actually start challenging a Nokia or a Sony Ericsson. Also it is priced too obscenely!
The concept of carriers subsidizing the cost of the phone is still new in India, one that will take a long time to develop. I personally hope it never does! especially when you know what carriers do to the software of the phone!
I don't think people understand it yet, but India's mobile phone market is flooded with Nokia products. In addition to that, people are more interested in HTC and ASUS phones than the iPhone. The lack of 3G makes the iPhone a deadweight for 3G data services, which is one of the reasons it is selling like hotcakes in other countries. Apple has no name/brand recognition(in India), making a $700 USD price point in India nonsensical for sales.
For the feature iPhone offers,it is not even worth 200$..given many functionalities missing will anyone pay 700$ except snobs..gimmickry won't last long..
lmfao
I agree the pricing is absurd, I wanted to be one of the first to pick one up. (Being a Apple fanboy owning a iMac, Macbook Black, iPod Touch, iPod and even the old iPhone. I was really disappointed. Furthermore the execs arent sure that is it provider locked or not. Because I think its stupid to pay so much for a locked phone, if it has a lock it should be subsidized but it isnt. I am looking at grey market options for now. And if the pricing doesnt drop by atleast 10,000 from the orignal I would rather buy a grey or not buy one at all.
Indian markets are a highly price sensitive market - but even if you price it high and skim the market, the sheer number is good enough to assure you your money back.
Like someone had said, there is large "show off" segment in India ( which has a "schizophrenic economy") - a country which hold over 30% of the world's poor has sunch a high degree mobile penetration that there are more mobile connections here than land lines. The call rates are the cheapest in the world - mobile technology India happens to be so cheap that people would not be too surprised if it were made free.
and the iPhone being marketted at $715 does not really sell a good story.