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T-Mobile cuts price of iPhone in Germany to spur sales

By Nate Mook, BetaNews

April 4, 2008, 11:18 AM

While the iPhone may be in short supply in the United States amidst rumors of a forthcoming 3G model, the iconic device doesn't appear to be selling as well in Germany. In turn, Deutsche Telekom's T-Mobile arm is lowering the price to just 99 euros ($122 USD) for two months.

The promotion runs from April 7 to June 30, and is a sharp discount from the iPhone's suggested retail price of 399 euros. The 99 euro offer is for the 8GB model only. In the United States, the sells for $399, although for a time, buyers could pick up the discontinued 4GB model for $299.

However, there is a catch to T-Mobile's deal: customers must agree to a monthly calling contract that costs at least 89 euros per month. Those opting for a new "starter" iPhone contract that runs 29 euros per month can purchase the phone for 249 euros during the two month period.

Germany appears to be the first country where Apple and its carrier partners have been willing to waver on the price of the iPhone since its introduction nearly a year ago.

Piper Jaffray analyst Gene Munster said in a research note this week that many Apple stores have sold out of the device and suggests there is an 80 percent chance a new iPhone model will arrive soon. He expects that a 3G version will retain the same $399 price point in order to keep sales up. But customers will still be forced to pay more, as a 3G data plan from AT&T runs $50 per month compared to the current iPhone's $20 per month EDGE plan.

Add a Comment (11 Comments)

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By sachxn

edited Apr 7, 2008 - 4:37 AM

3G is SURE on the way!

Score: 0

By WeezulDK

posted Apr 4, 2008 - 1:39 PM

The Reality Distortion Field loses something in the German translation.

Score: 0

By Bogunch

posted Apr 4, 2008 - 11:28 AM

It's obvious! The Germans are smarter than the sheep in the USofA!

Score: 0

By xyzcb1

posted Apr 4, 2008 - 3:54 PM

Or maybe they just have better phone selection than we do. All the phones we have here are just plain disgusting.

Score: 0

By lfmmoura

edited Apr 7, 2008 - 12:54 AM

Or maybe T-Mobile Germany has already gotten inside info that a new iPhone is around the corner, and needs to get rid of its stock quickly. If the new iPhone, as expected, has 3G support, and if 3G is widespread in Germany, then who would want to buy the older version? (And don't get me wrong, I'm not anti-iPhone - I have one, and love it - but lack of 3G support is my biggest complaint)

Score: 0

By Paradise-FH-

posted Apr 4, 2008 - 12:47 PM

if only they could apply that squishy brain power you speak of to fixing the crippling unemployment. or was it all used up taking down a wall?

Score: 0

By mooks1

posted Apr 4, 2008 - 7:56 PM

your country has heaps of crime, violence, drugs, gangs, hookers & homeless people which you dont find in germany cause we look after our people. there isnt crippling unemployment thanks our economy is doing far better than yours which is in recession. You should look at applying all your countrys brain power in getting the world to like & respect americans hahaha

Score: 0

By ortloffa

edited Apr 5, 2008 - 1:55 AM

Actually German unemployment is 8.4% while unemployment in the US during this recession is at 5.1%. If you can believe it, 8.4% is considered great for Germany which saw 12% percent a couple years ago at a time when US unemployment was as low as 4.9%.