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Japanese iPhone provider reduces its data plan fees

By Michael Hatamoto, BetaNews

August 5, 2008, 5:17 PM

The third largest mobile phone operator in Japan, Softbank Mobile, announced it will reduce the data subscription rate for its Apple iPhone service later this month to as low as ¥2,990 ($27) per month from ¥7,280 ($67) per month.

At the minimum rate, prices for data packages will then be staggered depending how much data a user sends and receives, though Softbank will make sure subscribers cannot pass the $67 maximum data cap.

It seems rather curious that a mobile phone operator would cut prices just one month after the international launch of the iPhone 3G. No other phone operators supporting the iPhone have made a similar price cut for data usage.

Due to extremely high demand of the mobile phone, Japanese retailers are still quickly selling out of 3G iPhones, with many stores offering vouchers to customers. Current iPhone owners in Japan will see the data plan price drop begin later this month.

The decision to reduce data rates was made after Softbank engineers checked to make sure the company's network will be able to withstand the wireless usage.

The news comes at the same time Softbank company officials announced its record operating profits for its last fiscal quarter, at just over \85 billion, though net income fell 23% in the same quarter due to staggering corporate tax increases.

Softbank Mobile is the only Japanese provider selling the iPhone.

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By khammo01

edited Aug 19, 2008 - 6:58 AM

I got an iPhone on the Softbank plan before the news was announced. I'm a heavy user so I won't save any money with this plan unless I go into hibernation or something. Last month, my data bill on my iPhone would have been USD3500 without the cap.

According to my calculations, you would only get about 2.5MB worth of data for the minimum data rate. Anyone who has configured the phone for email or uses the browser will easily exceed the minimum in a matter of days or even hours.

In my opinion, this new plan was implemented for a few reasons:
1. All other consumer mobile devices in Japan come with a sliding plan like this. The iPhone looked expensive by comparison.
2. The iPhone tends to suck the bandwidth compared to other phones. Once users experience the convenience, they will come to accept the higher fee (still not guaranteed to go above 7280 yen per month). Softbank would not have offered this low fee unless their projections showed that they would be able to convert a big chunk of the users to the higher monthly fees.
3. Even at 5800 per month fixed data, it's more than most other mobile phones which top out at around 4700 yen per month. But this is a bargain considering that iPhone users will use more bandwidth than regular mobile phone users.

Note - users have to pay 315 additional yen for the privilege of using visual voice mail. (They get regular dial-in voice mail if they don't pay the extra)

Score: 0

By kbuntu

posted Aug 7, 2008 - 2:54 PM

In this day and age you would think those phone companies would have unlimited data plans for an reasonable monthly charge. $29 for 300MB is pretty much a rip off. WOW.

Cheap iPhones at http://www.iphonevortex.com

Score: 0

By WeezulDK

posted Aug 6, 2008 - 12:22 PM

Data plans that aren't unlimited for 20 bucks or less a month are a total ripoff to begin with. Good to see some consumers in Japan are getting treated better than they are here in the US.

Score: 0

By Danno

posted Aug 6, 2008 - 2:27 PM

both being treated better than Rogers in Canada with the Iphone. Yet fools still purchase from the because of the iphone.

Score: 0

By bsf

posted Aug 6, 2008 - 1:48 AM

Well, the thing is it STARTS at $29, and if you use its wireless functions at all, usually the data it transfers will push it up to the upper limit fee, $79.

The thing is iPhone works soso in Tokyo, and Osaka, but signal sucks everywhere consider Softbank is 2nd to smallest phone provider in Japan.

Score: 0

By Tenoq

edited Aug 5, 2008 - 9:49 PM

"No other phone operators supporting the iPhone have made a similar price cut for data usage."

Wrong.... unless you were talking about Japan specifically. Telstra (Australia) just changed their mobile data pricing - $29 now buys 300MB instead of 80MB.