Pricing Confirmed For Tesco iPhone In UK
4:33 am, December 10th, 2009, Giles Turnbull

UK supermarket giant Tesco has just announced tariffs for iPhone, which will go on sale from the company next Monday (December 14th).
The headline they’ll be using in adverts is that this iPhone is available for as little as £20 per month. Whether you go for a contract or decide to pay-as-you-go, this gets you £60 worth of calls and SMS messages (assuming PAYG customers top up at least £20 per month, which qualifies them for extras – and obviously encourages them to switch to a contract). Also consider that the free credit is applied once a month and only lasts for one month, then automatically expires.
From what I can tell, the prices here are broadly competitive with the big telco offerings. Orange, for example, is charging about the same for handsets on PAYG, but with an increasingly complex selection of tariffs. At least the Tesco offering is relatively simple.
What I’m not completely sure about is the data deal on offer here. The table says you get unlimited data for the first 12 months only, so what happens after that? Presumably, you pay; but there’s not even any small print here that says how much.
None of these deals are designed to lure customers away from their existing contracts, that’s not Tesco’s style. They want to grab as many new customers as possible with the “iPhone for £20 a month” banner – and UK shoppers can expect to see that being advertised far and wide.
Worth noting: Tesco Mobile is a joint venture with two partners: Tesco, and O2. O2, of course, was the telecoms company that got the first two years of iPhone exclusive sales in the UK, before all these other upstarts jumped on board.
Posted by Giles Turnbull in News, iPhone, iPhone 3G, iPhone 3G S | Comment on this article
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The thing that’s luring me in here is not the price, but the twelve month contracts! Finally we can upgrade our handset in time with Apple’s releases
Meghann, on December 10th, 2009 at 6:16 am
my contract is up in may and if they can provide a £20month contract for my old iPhone (for the wife), I can get a new iPhone in July 2010, could be a plan.
Jim, on December 10th, 2009 at 7:24 am
I really hate the fact that this phone costs near on 350 quid, I know it’s good and everything but seriously, come on!
Scott, on December 10th, 2009 at 12:40 pm
But is the PAYG/outright purchase version UK use only or fully open? If the latter, it is worth it. In some parts of the world the PAYG iPhone only functions in that country. Does anyone know what the deal is with Tesco?
chano, on December 10th, 2009 at 2:26 pm
Meghann: that is a *very* good point.
Giles Turnbull, on December 10th, 2009 at 2:50 pm
chano: A good question. I’m not sure. There was frustratingly little detail on the Tesco web page. There might be some more to be found at http://www.tescomobile.com, but so I’ve not found it yet.
Giles Turnbull, on December 10th, 2009 at 2:51 pm