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Network operators : Europe : O2 hikes high-end phone prices
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jcwhite_uk Posts: > 500

Nokia N95, Sony Ericsson C902 and Samsung Tocco available for 'free' on GBP 75 per month deals, instead of standard GBP 35 priceplans

O2 has dramatically hiked the price of high-end handsets.

The likes of Nokia's N95, Sony Ericsson's C902 and Samsung's Tocco handsets are now only available for 'free' on £75 contracts.

Previously, they were available on £35 per month deals.

The move is the first by a UK network operator to slash handset subsidies. But, so far, the handsets remain on lower value monthly contracts via other networks.

The 8GB Nokia N95 is available on £35 deals from Vodafone and £50 contracts from T-Mobile. The Sony Ericsson C902 is free on £30 priceplans from Orange and Vodafone.

Carphone Warehouse offers it for free on O2 and T-Mobile contracts of £25 per month and over, and T-Mobile stores offer it free on £35 per month deals.

It is available from 3 on £22 per month tariffs.

Source
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Posted: 2008-08-01 13:37:46
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Miss UK Posts: > 500

02 have gone downhill since late 2007 im glad im not one of there mugs anymore, Vodafone to me have the bumps but are a better service to 02. 02 are going like 0range in a way blue cheese to me lmao.
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Posted: 2008-08-01 14:44:00
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JiSm Posts: 404

This still isnt as dramatic as the subsidy slashes in New Zealand. In order to be pay monthly, you have to be on a contract. So, if you choose a K850 and want some free minutes, you pay full price for the phone and sign a minimum term contract simply because you are pay monthly! If thats not theft, I dont know what is. This doesnt apply to all phones though. If you go on a 24 month contract, they will give you a Samsung E250 for free. In english money? £30 worth. Thanks Vodafone.
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Posted: 2008-08-01 15:52:54
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Daedalus85 Posts: > 500

*sigh*


Everyone thinks it's just O2 being mad, but there's a reason for the price hike, and it's not permanent.....

When the iPhone 3G launched, it crashed O2's credit check system for a couple of days, meaning we had to give the phones, not just iPhones but any phone, to people regardless if they were going to pass the credit check or not.

As a result, O2 lost a small fortune in phones as they'd given them to customers who then when they tried to connect later on, got declined and they got away scot-free with a new phone worth several hundred pounds.


The price hike is simply to recover some of that lost cost. It will not be forever, and they've picked the highest value phones that are also the most popular to change the prices.



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Posted: 2008-08-01 16:51:54
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masseur Posts: > 500

*sigh* (and hola! from Barcelona!)

so the person that works for O2 supports this position?

if this is truly the reason then surely O2 should simply accept their mistake and not make others pay for their problems!
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Posted: 2008-08-01 17:03:39
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nicv27 Posts: > 500

I have two lines with o2 and I am about to call o2 to get my upgrade to a n95 8gb. i have a 12 month contract which i pay £40 per month for and a web bolt on. Speaking to o2 today o2 want to charge me £99 for the handset.
Think i might wait a bit
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Posted: 2008-08-01 17:07:44
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Superluminova Posts: > 500

Sounds like a daft idea if you ask me.

So they've lost thousands due to the iphone crashing the credit checking system?

Ok so people who would normally have been declined got a legally binding contract, which they have to pay. Ok some people won't pay, but that can happen with people that pass credit checks.

So they decided to more than double the price on three of the best selling phones.

Hmm... aren't they going to lose business by doing that?

I really can't understand the logic in this... Oh wait a minute there hoping that the increase in customer from iPhone sales will offset the lost customer from these price increases.

Well i hate to break it to you Mr. o2 not everyone wants an iPhone!


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Posted: 2008-08-01 17:50:08
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Mr Miyagi Posts: > 500

i would say 99% of the population wants an iphone (not me though since no mms support lol). NO wonder it is the highest mobile in demand in the world at the moment, and apple cannot keep the supply of the phone going into the market.



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Posted: 2008-08-01 17:58:06
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Daedalus85 Posts: > 500

On the other hand, I do think that it's a stupid idea. In our store it's currently easier to say we are out of stock of those phones than try and explain the whole thing.

I agree, it's dumb and they should sort it out, but for now, not alot you can do really lol.
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Posted: 2008-08-01 18:03:13
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jcwhite_uk Posts: > 500

Surely that would mean a loss of cutomers to other cheaper networks and a greater revenue loss.
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Posted: 2008-08-01 19:13:38
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