'I need an iphone mom...", this are the usual words spoken by a teenage boy. It can be due to the Virgin Mobile, who is launching iphone at a very low cost.
Virgin Mobile, a wireless communications brand used by eight independent brand licensees worldwide; branded the wireless communications services that are currently available in Australia, Canada, Chili, France, India and many other countries, declared on Thursday , it will start selling the iPhone from June 29 worldwide, charging $549 for a primary model of iphone.
And the high price of the phone comes with an upside. The service will start at $30 per month.
It means that the phone along with two years of service will cost $1,269, excluding taxes which are nearly $800 less than a subscriber who would pay for the same phone, an iPhone 4 with 8 gigabytes of memory, if buying it under the Sprint Nextel Corp. brand. Sprint charges $100 for the phone and $80 per month for service, excluding taxes on contrary.
Recently restricted to contract-based plans, the floodgates appear open for the phone to enter the prepaid, no-contract market. It is aimed at people with low incomes and poor credit. However, the high initial cost of the phone is likely to be an obstacle. Virgin Mobile sells other smart phones for as little as $80.
Previously in the last week, the Leap Wireless International Inc., the parent of the Cricket prepaid service, said it would start selling the phone from June 22, starting at $400 and $55 per month. Leap's CEO affirmed that, the phone would likely account for about 10 percent of the phones it sells over the next few years.
In addition to the iPhone 4, Virgin Mobile USA will sell the iPhone 4S, the model launched last year, for $649 with 16 gigabytes of memory.
Virgin Mobile's cheapest plan cost $35 per month, with a $5 discount possible for buyers who set up automatic monthly payment with a credit card, debit card or PayPal account.
It provides 300 minutes of calling per month, unlimited message service, unlimited data usage. But it will slow drastically after the customer has used 2.5 gigabytes since the start of the billing cycle. iPhones with Sprint service have true unlimited data.