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iPhone debuts in China, sells a mere 5,000 handsets

Tuesday, November 3rd, 2009

Well,apple-iphone-3g-white.jpg Turns out the after all the delays and mounting tension surrounding the recent iPhone release in China, subscribers weren’t really all that interested.
Reuters reported that a mere 5,000 units sold the opening weekend, something that seems to have shocked many reporters and bloggers here in the States.
Personally, I don’t see why everyone is so surprised:

1. It is too expensive. The premium that Unicom is charging their subscribers for the top end iPhone is equivalent to over $1000 USD. The average salary in China makes this an extremely difficult price to swallow.

2. It has been gimped. That is, they were forced to remove the WiFi support. Meanwhile, one can buy an unlocked iPhone from another country and import it with the WiFi still intact. Combine that with the price Unicom is charging for their version, and it just doesn’t make much sense to buy one locally.

3. Perhaps they just aren’t as impressed by it as Americans. Ok, before you dismiss this as another anti-Apple tirade, hear me out.

Look at the worldwide mobile industry. The mobile revolutions in China trump the US market on a daily basis. They come out with literally hundreds of new devices we’ll never see here, they’ve adopted mobile payment systems (use your phone like a credit card) and barcode links on billboards (snap a pic on your phone, and it goes directly to a web page to purchase a product or use a coupon). Some of these technologies have been attempted here in the US, but Americans just don’t pick it up. There is a clear distinction in priorities, and I think what makes the iPhone appealing to Americans would not necessarily have the same effect in other countries. I mean, I know Americans love the iPhone, but in a very foward-tech moving country like China, paying a premium for a device that has LESS features than a cheaper model made locally… well, I’m almost surprised that 5k even sold!