iPhone 3G to be available in Singapore later this year
By Rachel Kelly, Channel NewsAsia | Posted: 10 June 2008 1105 hrs

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SINGAPORE: Apple has finally unveiled its much-anticipated 3G iPhone. The gadget is set to outpace its predecessor, because it has twice the download speed and new features like GPS tracking.

SingTel, which has an exclusive agreement - for now - to bring the phone into Singapore, is keeping mum on its pricing and release date.

But analysts said the new phone is likely to face stiff competition from its rivals soon.

To drive sales, Apple has priced the new iPhone as low as US$199 for the entry-level model, half the price of its predecessor.

Analysts said it's also possible that telcos may subsidise the cost of the handsets to ensure attractive prices.

The iPhone is expected to be sold in 70 countries this year, starting with 22 markets including the United States and Australia in mid-July.

In Singapore, SingTel will be the only telco selling the device for now, under an exclusive agreement with Apple.

Quek Peck Leng, SingTel's Executive Vice President of Consumer, said: “We're working with them on a launch date, and when that happens we'll have a nice surprise for the market."

But SingTel would not reveal what the surprise is, for now. It also declined to commit to a precise launch date in Singapore, although analysts have speculated it could be as early as September.

Experts said it is still early to forecast the market share that the iPhone may have, given the increasing competition in the market for smart phones.

Aloysius Choong, IDC's research manager, said: "I think the other operators, M1 and StarHub, will be heartened by the fact that a lot of adverse competitors have been coming out with very strong models as well. So even without the exclusivity of having the iPhone, StarHub and M1 will be looking at products like the HTC Diamond."

But SingTel appears to be positioning for the competition, especially in light of mobile number portability taking effect this Friday.

The telco recently invested S$220 million to enhance its mobile network, and the iPhone may yet be part of its ammunition of new products and services to retain customers. - CNA/vm