iPhone 3G on Pay As You Go: September 16th
September 1st, 2008

photo: William Hook
In July, I wrote about the iPhone 3G on Pay As You Go. O2 have just released details on the iPhone 3G Pay As You Go release and it differs slightly from the previously leaked information.
From the O2 Website:
Pay & Go customers can now enjoy the iPhone 3G without a monthly contract. The new iPhone 3G 8GB for Pay & Go will be available for £349.99 and the 16GB version for £399.99.
This also includes unlimited browsing and Wi-Fi for the first 12 months after you activate your iPhone 3G*. At the end of the 12 months you can continue to receive unlimited browsing and Wi-Fi for just £10 per month.
So the 8GB model costs £50 more and the 16GB model costs an additional £40 compared to the previously leaked prices. However, you’re now getting an additional 6 months of data for free (worth £60).
It still looks very attractive to me. The total cost of ownership over 2 years on PAYG is £470 (£19.60 per month) assuming no spend on calls and texts. I’ve made this assumption because O2 will give you 300 free texts or 500 free minutes every month when you spend £10.
The cheapest contract is £30 and you’ll still fork out £100 for your phone. The total cost of ownership on contract over 2 years is £820.
The iPhone PAYG will make the iPhone 3G affordable for many more people. But £350 is still a lot of money to pay for a phone – probably £250 more than what you’d pay for any other phone. But It is a premium I’d consider paying because the iPhone is such a fantastic platform.
About the Author: Ken is a technology geek who spends too much time with mobile phones. Contact Me.


