Wednesday, January 5, 2011
iPAD SUBSIDIES FAILING IN UK
As rumors of iPad subsidies becoming available from U.S. carriers this year gain momentum, The Times reports that similar strategies in the U.K. do not appear to be paying off in the short term. Orange, T-Mobile and Three each recently began offering discounts on the iPad Wi-Fi + 3G when purchased alongside a new service contract. The 16 GB iPad model, which typically costs £529 in the U.K., is available for just £199 when purchased with a £25-per-month data plan. While sales performance at T-Mobile and Three is still a bit of a mystery, The Times reports that Orange sold just 1,000 subsidized iPads during the first week of availability. The sales figure has not been confirmed by Orange, but if it is anywhere near accurate it could indicate that customers don’t have much interest in signing up for yet another data contract — especially one tied to a device that is anything but a commodity at this point. [BGR]
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