O2 Releases iPhone 3G S Pricing for UK, Yeah

With AT&T US and Rogers Canada having already weighed in, TUAW now brings word on what the chaps across the pond can expect for the iPhone 3G S, and it's, well... a lot of numbers, innit?
Check out their full post for all the details on Monthly (opens in new tab) and Pay & Go (opens in new tab) Plans, but highlights include:
32GB iPhone 3G S will range between £274.23 (~$444US) and £96.89 (~$158US) for an 18-month contract and £175.19 (~$283) and £0 for a 24-month contract. Contract prices range between £29.38 (~$48US) and £73.41 (~$120US) for 18-month terms and £34.26 (~$55US) and £73.41 (~$120US) for 24-month terms. All plans include unlimited UK data and WiFi.
So, who's for a bit of a line up on Regent Street June 19 then?
(And yeah, old school LoTR graphic still alive!)
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Rene Ritchie is one of the most respected Apple analysts in the business, reaching a combined audience of over 40 million readers a month. His YouTube channel, Vector, has over 90 thousand subscribers and 14 million views and his podcasts, including Debug, have been downloaded over 20 million times. He also regularly co-hosts MacBreak Weekly for the TWiT network and co-hosted CES Live! and Talk Mobile. Based in Montreal, Rene is a former director of product marketing, web developer, and graphic designer. He's authored several books and appeared on numerous television and radio segments to discuss Apple and the technology industry. When not working, he likes to cook, grapple, and spend time with his friends and family.
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LOTR FTW!!!
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They key problem with the UK pricing is that the new 16GB handset has replaced the old 3G 16GB model (actually approx £25 more expensive) and a new higher price point has been created for the 32GB model. Whereas in the apple keynote the $199/299 price points where kept the same for US customers.
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O2 in the UK are not letting current iPhone customers upgrade to the new phone if their contract has not expired. They will let you buy your way out of the contract by paying the monthly charge x the number of months remaining. This in my view is fair enough its what happens in all other cases here when you want to upgrade before the contract as ended. However last year iPhone 2G customers who had paid for the handset in full at the time of purchase were permitted an early upgrade to the iPhone 3G. Now a large number of iPhone 3G customers want the same early upgrade and don't seam to be able to understand why o2 should not give it to them.
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It's the combination of price and buyout that has most people annoyed. In 2008, a US$199 iPhone cost GBP£99, in 2009 a US$199 costs GBP£174. How can O2 justify this?
@Alex
I can understand exactly why O2 is not allowing customers who bought subsidised 3G phones to break their contracts - the cost of that phone is bourne out over the length of the contract.
But what about those of us who paid £330 for an unsubsidised 2G handset and are still on that contract? A month ago, I could have broken that contract and bought a subsidised handset. Now I can neither break it, nor buy a subsidised handset. -
The prices are good but are not the problem. At the moment my contract has till early next year to run, like alot of Brits. The problem is do we pay daft amounts of money to upgrade now or wait untill the contract is up for renewal. Reading many posts on here i see alot of people agree with neither to upgrading thair 3G to a 3GS. Simply put the phone doesn't have enough to tie us down for another 18 months, missing the main attraction, next years release. It was a wide spread rumour that a 2009 iPhone was to be a stepping stone through to 2010 due to people tied up in existing contracts.
In my oppinion this device is a perfect upgade for people on the orriganal 2G iPhone or the pool that have been waiting to jump on the band wagon for the first time.
Paying to end my contract early and then an additional £100+ to upgrade to a somewhat faster phone does'nt appeal. Myself as others have a jailbroken 3G, so have had camcorder/cut & paste/mms for awhile. I doubt it will be long befor the 3G has voice dialing and other capabilities of the 3GS. Granted,on hardware for the compass never. Juice pack airs cover the battery so that to me leaves a faster iphone, which is not worth the prices above. -
@lordzod01
I wouldn't bet against O2 doing exactly the same thing again next June as they did last June, and effectively offering 3GS users a subsidised upgrade to the next gen handset. If the 3GS is largely unsubsidised, it will make business sense for them to do this. -
@GJD
Good point. What i meant was Apple will most likely release a much improved version next year, OLED screens and other such rumours. Although it is speculation now, i don't want to tie myself down to a version of a phone i already own with only slightly better specs. I like others would rather wait till next year, and upgrade to the 4th gen from my iPhone 3G skipping the 3GS. I agree it is unlikely for O2 to act the same next year, this is why i say an upgade from 3G to 3GS is a regretable move at these prices and contract terms.
Brits and Americans who have contracts ending on an iPhone 3G early next year are more likely to keep theirs untill a new release 3-4 extra months down the line. -
I dont think the p[rices are unreasonable, and as an o2 select customer you can upgrade 3 months early anyway, (select being, you got your phone direct from o2, i believe) but its just not worth being tied down to a 3GS for 18 months. Back when I was a Sony Ericsson P-series fanboy I would have 2 and a half year wait for a new model, I can wait a lil longer for the 4G, especially with software updates between now and then. :-D
Talking of, I was impressed with O2 last night though, upgraded to 3.0 from the torrents that are floating around, and picture messaging was activated and working halfway through the restore, not bad for 3am :-D -
Pricing is disgusting and is far more expensive than what people in US have to pay. Disgraceful.
@Rene, thanks for some O2 news ;) -
Do you know how much the payg one will cost?
Cheers -
Thats expensive than nowadays at pay and go.
iPhone 3G 8GB - £342.50
iPhone 3G S 16GB - £440.40
iPhone 3G S 32GB - £538.30 -
There seems to be more and more rumblings and talk of it being opened up for other networks to sell. IF and when that happens it will make a huge difference because suddenly cometitive pricing will start and consequently pricess will tumble.