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O2 updates tariffs to make iPhone more appealing

by Parm Mann on 30 January 2008, 11:25

Tags: iPhone, Apple (NASDAQ:AAPL)

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iPhone now with triple the inclusive minutes

Just last week we reported that UK iPhone sales were lower than already low expectations. Proving the point in no uncertain words, UK mobile operator O2, who exclusively sells Apple's iPhone, has moved to make its tariffs more appealing.

The lowest priced £35 monthly tariff now offers users 600 inclusive minutes, triple the previous 200 minutes. On previous tariffs, a £55 plan had offered 1200 minutes, that plan has now been replaced by a £45 subscription offering the same number of minutes. The new high-end subscription, costing a whopping £75 per month will give users 3000 inclusive minutes.

All plans now come complete with 500 inclusive text messages, up from the previous 300. Though clearly more appealing, the plans are still expensive and with a minimum 18 month contract, the total cost of the cheapest subscription remains at £630. The iPhone handset itself hasn't yet dropped in price so you'll still be adding a further £269 to your total cost.

O2's new iPhone tariffs

The new tariffs will be available for new customers as of February 1st. Existing iPhone owners will be receiving text notifications by February 7th, with O2 advising of the following changes set to take place by mid-March:

  • Existing £35 iPhone customers
    We will be automatically upgrading you to the new £35 iPhone tariff which offers you 600 anytime minutes and 500 anytime texts a month. You will also continue to receive unlimited* UK data. All of this will be done for you without you having to do a thing and we'll text you to let you know when it's been done. Thank you for being an O2 customer.
  • Existing £45 iPhone customers
    We will be automatically upgrading you to the new £45 iPhone tariff which offers you 1,200 anytime minutes and 500 anytime texts a month. You will also continue to receive unlimited* UK data. All of this will be done for you without you having to do a thing and we'll text you to let you know when it's been done. Thank you for being an O2 customer.
  • Existing £55 iPhone customers
    We will be reducing the price of your 1,200 anytime minute iPhone tariff from £55 to £45. You will continue to get 500 anytime texts and unlimited* UK data at this new price. All of this will be done for you without you having to do a thing and we'll text you to let you know when it's been done. Thank you for being an O2 customer.

Though poor sales are widely believed to be a primary reason for O2's change in tariffs, O2 spokesman, Steve Alder states that "This is not a reaction to anything we're concerned about. We're very happy with the kind of customers, and the number of customers that we're getting."

Official website: O2.co.uk - iPhone tariffs



HEXUS Forums :: 6 Comments

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More like it's there to combat the threat of people going getting the phone, taking it home and unlocking it and using another networks sim in it as well.

18 month contract with 35 quid minimum charge is still a bit excessive really and I reckon people will still go and get the phone and unlock it.

Apple should just release it to all on ALL networks. This way they will be able to increase their revenue :)
O2 spokesman, Steve Alder states that “This is not a reaction to anything we're concerned about. We're very happy with the kind of customers, and the number of customers that we're getting.”

Did Steve say that with a straight face? :lol:
I still wouldnt touch it with a barge pole
Meh, still not that appealing is it?
Lee @ SCAN;1324491
Apple should just release it to all on ALL networks. This way they will be able to increase their revenue :)
Well, that depends how much AT&T / O2 / etc are paying Apple for the exclusive rights :p