Telstra Miss Out On New 3G iPhone

Telstra have missed out to Optus and Vodaphone on getting the new Apple 3G iphone iPhone despite the company having the fastest 3G network in the world. The phone due in Australia on July 11 is expected to sell for less than $250.In July last year in what one Telstra executive has described as not his “finest” hour, Telstra’s operations chief Greg Winn, said that the iPhone may meet some significant operational challenges when it makes its market debut.

This is what he said at the time. “There’s an old saying - stick to your knitting - and Apple is not a mobile phone manufacturer, that’s not their knitting,” Mr Winn said at the time.

“You can pretty much be assured that Nokia, Motorola, Samsung, Sony Ericsson and ZTE and others will be coming out with devices that have similar functionality.”

In addition to mobile calling, music portability and email capability, the iPhone boasts a vastly enhanced design that significantly challenges most mobiles’ current approaches to user interface.

The phone’s touchscreen is also considered a significant drawcard but it’s technology Mr Winn does not believe makes the device truly revolutionary.

“I think people overreacted to it - there was not a lot of tremendously new stuff if you think about it,” he said.

“It was maybe kind of cool on the touchscreen technology but touchscreen technology is another domain, so it’s only a matter of time before it went to the device.”

His comments were all the more surprising given that Telstra was originally  touted as being hot favourite to cut a deal with Apple.

The iPhone uses a GSM wireless technology called EDGE, which is widely known as “2.5G”. It is not clear why Apple did not decide to support faster 3G technologies, although this has not been ruled out of product revisions.

In Australia, only Telstra uses EDGE, making its network the only one that the iPhone could be used on - based on the device’s current specifications.

Mr. Winn said from a marketing perspective, Apple had committed a number of oversights, including its name, which provoked a corporate slanging match with enterprise systems group Cisco, which had previously registered “iPhone” as one of its own trademarks.

Apple’s exclusive carrier arrangement with US mobile carrier Cingular was also puzzling.

“They did an exclusive with Cingular and they talked about a global rollout - well, Cingular is not a global company,” he said.

The non-replaceable battery may also be a sticking point with consumers, as it has been with the iPod.

But while the phone will probably leave a mark in mobile design, its commercial success is less certain.

“I am absolutely sure that device will be successful initially,” Mr Winn said.

“What I’m not sure of is how much money are they willing to devote to all of the life cycle management and upgrades.”

It won’t be available to Australians until July, but US consumers will be able to buy it for US$99 for the 8GB model and US$299 for the 16GB model.

Article source: www.smarthouse.com.au

Deals from the Apple Store can be found at Discount Electronics Australia