As we all know the Apple iPhone 3GS launches in just 5 days. And in my opinion it has already flopped before a single unit has been sold.
The reason being that the phone has been available for pre-orders on at Carphone Warehouse for 3 days now. When the iPhone 3G went on sale for pre order on both CPW and O2′s websites it sold out in a matter of hours. However 3 days on CPW are showing no signs of running out of stock.
Now of course that could simply down to Apple making much more stock available to cover the demand. However I think it’s more likely that the device simply isn’t selling. O2 have over priced it to new customers and alienated their existing customer base by failing to provide a reasonably priced upgrade path. The only people likely to be pre ordering a device which is basically the same as the 3G but a tad faster and with an extremely useful built in compass are the most die hard of Apple fanatics who must have the latest hardware as soon as its released.
Most normal people will simply have realised that it isn’t worth the price tag O2 have placed on it and it certainly isn’t worth locking yourself into a 2 year contract which in all likliness will result in you missing the next iPhone release from Apple which in all likliness will be a much bigger step up in spec than the 3GS is
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O2 still showing no sign of budging on the iPhone 3GS upgrade saga. In fact when I rang up before to merely enquire about my priority list status (which is the lowest level despite having two contracts and o2 broadband so no early upgrade for me) the CS then proceeded to spend 5 minutes dissuading me from the 3GS and singing the virtues of software 3.0 on the normal iPhone 3G (I didn’t mention that I’ve been running that software since Tuesday).
So with no sign of victory on either side I’ve been thinking about the whole having to buy your contract out to upgrade early thing and wondering, did it always used to be this way. And the answer is no.
Many moons ago some of the networks, most notably orange, used to charge a fee to upgrade rather than simply charging for the remainder of the contract. The fee would vary depending on monthly spend and how long of the contract was left but was generally less than the remainder of the contract and meant that if you had the money you could upgrade as often as you liked.
Now surely a system like this would be better for not just iPhone users but any contract customers as it would mean they could upgrade as often as they choose with the networks not losing out as they recovered the subsidy and other losses from the upgrade fee. Win win situation as far as I can see.
One has to wonder why the networks abandoned this system of upgrading!
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Carphone warehouse are now taking pre orders for the iPhone 3GS. Due to O2′s stupid upgrade strategy only new customers or people taking additional contracts (which I have to say I am considering) will be able to pre order.
LINKY
Update 12/06/09 11:29 – CPW are still taking pre-orders and just e-mailed me to inform me they were (I already knew of course). Oddly pre-ordering has been open for a day now. The iPhone 3G sold out on pre-orders on CPW and O2 online in hours. Can’t imagine why this new model isn’t having the same impact
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