Apple (NSDQ: AAPL) has chosen O2 (TEF.MC) to be its mobile operator for the UK launch of its iPhone and will use the retail chain Carphone Warehouse as an additional point of sale. The device will go on sale on November 9 for 269 pounds ($536) and will be sold through Apple, O2 and Carphone Warehouse (all three will sell it online and in retail shops: these will total about 1,300 locations). The price compares unfavorably with the price point set in the U.S., especially in light of recent discounting to $399. In defense of this, Steve Jobs, who spoke at the London press conference this morning, says that the U.S. price doesn’t include sales tax (the UK price includes VAT of 17.9 percent), “and then there’s a little bit more because it’s a little more expensive to do business here. We try to be as aggressive as we can.” Unlike most other devices for sale on the UK market, the iPhone price will not be subsidized by O2. (And if reports of the super-high revenue share of 40 percent given to Apple on all service revenues are true, it’s no wonder...) More details at sister site paidContent:UK.
release | link to Guardian blog (informal transcript of event)