FryUp: An i-poisoned chalice?

Why carriers ain't happy about the Jesusphone and a look at the salary bottom line

— An i-poisoned chalice?

— Build it and they will pay

Notta lotta people know this…

Roy Budd: Get Carter theme

Wikipedia: Roy Budd

An i-poisoned chalice?

Aintcha sick of the 3G iPhone yet? We are, and you can bet your bottom dollar that the telcos having to sell it are too, because they’re having to dance to Apple’s tune and not vice-versa.

While it looks like providers won’t have to profit-share with Apple as was the case with the 2G model, Cupertino has handed them a deal that’s tough to digest nevertheless.

The main factor causing indigestion for the likes of Vodafone is the low retail price set by Steve Jobs: in a move that has potential customers drooling and providers groaning, the cheapest 3G iPhone is US$199, globally, with the 16GB model going for US$299.

That should mean NZ$265-ish, or let’s say $299 on a two-year contract for the lowest-price model. But, that’s not how much Apple charges providers. While the exact figure is a deep secret, estimates are that AT&T is subsidising the US$199 iPhone by US$200, meaning the wholesale cost for providers could be around twice the retail price.

Obviously, providers have to make up for that somehow. It looks like the iPhone in NZ will be available on-account only, and that you have to sign up for a two-year contract.

However, what about the associated charges? Well, reading Gizmodo, that seems to be how AT&T proposes to make up for having to flog the iPhone at a loss. If Gizmodo is correct, the new 3G iPhone will end up costing customers more than the previous model, as AT&T has rejigged the pricing plans. This of course doesn’t apply to NZ where we didn’t get the 2G iPhone, but it’s a warning that you shouldn’t look at the retail cost of the 3G model alone.

NZ forecast: 174,000 iPhone sales over five years

It’s a tricky business: 3G iPhone likely to blunt AT&T’s earnings

iPhone 3G’s true price compared

Build it and they will pay

It pays to be an IT drone currently, despite the economy in general looking a bit green around the gills. That’s because businesses cannot afford to be inept when it comes to technology any more. With the cost of oil and other items heading skywards, it’s even more important to have efficient and effective business IT solutions; it’s no surprise then to see that the people building such things are now getting their just remunerations.

But why are salaries higher in Wellington than in Auckland? It was suggested to me that Wellington employers have to pay more since nobody wants to move down there and the IT labour pool is correspondingly smaller. It must be tiny then in Australia, where Hays Recruitment notes that IT jobs pay a big fat wodge of cash over and above NZ salaries.

Architects to fore as IT salaries surge

Hays Recruitment 2008 Salary Survey

XKCD

Cartoon: www.xkcd.com

Robert X Cringely

Top five myths about Steve Jobs

In case you've been living in a cave, today marks the first day of the Apple Worldwide Developer's Conference and Steve Jobs' keynote, which Apple watchers have declared will be the venue where Jobs unveils iPhone 2.0 -- a 3G broadband, GPS-enabled model of the Jesus Phone -- along with some groovy third-party iPhone apps. And if he doesn't, well, we'll hear the caterwauling of Apple fanboys from Cupertino to Khartoum. I don't think I could take it. So let's hope that happens. Rather than speculate what the announcement will or won't contain, however, I'd like to explode some common myths about Steve Jobs. Myth #1: Steve Jobs walks on water. This is obviously not true. Jobs is just as subject to the forces of fluid dynamics as mere mortals. However, he can water ski without a boat, propelled by his own innate charisma. Myth #2: Steve Jobs only owns one outfit. This is also not true, though if Jobs doesn't show up today in his trademark black turtleneck and jeans, I'll eat my fedora. (I keep a special licorice one for just such occasions.) What most people don't realize, however, is that the alleged black turtleneck is no turtleneck at all — it's an extremely intricate tattoo. So when Steve appears on stage today, he will as always be shirtless. Myth #3: Steve Jobs hates Bill Gates. It's true there's no love lost between the two tech legends. They don't go bowling together much. Yet Jobs realises that he needs Gates, much as Batman needed The Penguin. Without Gates, Jobs might come off as, well, a bit of a nerd. But when Gates is in the room everybody else looks cool. Myth #4. Steve Jobs' first words were "one more thing".  It was years before Jobs uttered that immortal phrase. However, as he popped out of his mother's womb Jobs did offer a blistering critique of the OBGYN's birthing techniques. Myth #5. There is no fake Steve Jobs. They laugh alike, they talk alike, sometimes they even walk alike, but the Real Steve Jobs (RSJ) and the Fake Steve Jobs (FSJ) are two separate entities. What most people don't realise is that the FSJ is an exact clone, created from RSJ's stem cells by Apple's board back when Steve had that cancer scare. He's been waiting in the wings for his chance to take the reins. And there's more where he came from. Macs and iPhones will come and go, but Jobs will be with us for all eternity — a thought that's probably comforting to some and terrifying to everyone else.

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