UK Profits from Iphone ?
In the US, I'm sure that such a mark up is achievable, but in the UK I think O2 and Apple maybe be far less confident of the BIG iphone rush.
The problem is that last year all the mobile companies sprung the 18 month contract trap and there are loads of techno and fashion junkies locked into these.
The 18 month contract is now know for what it is...a set of handcuffs.
The fact that we have to also pay some £260 for the privilege of buying into this iphone contract as well, really doesn't sit well with me and several others.
So will Apple be doing the same level of business with the iphone in the UK...I doubt it. The only thing that might help the iphone is the fact that neither Nokia, SE or Samsung have anything like it. So for novelty value, the punters might think about buying into the iphone dream...that is until they realise that they have to pay £260 to buy into an 18 month contract with a mediocre phone with few apps and a flash interface.
I will no doubt by an iphone one day, but not this time around and not until it's more of a real phone and not just a fashion accessory.
Next year folks, next year, just about the time that most of the first tranche have woken up to the fact that they still have 6-8months to go on their first contracts.