European Exclusive Retailers Of IPhone Prepare For Handset Losses

Posted: Apr 18 2008, 9:58am CDT | by , Updated: Aug 11 2010, 7:29am CDT, in News | Mobile Phones

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The massive success of the iPhone in America and the resulting difficulty getting the phone at launch led the exclusive carriers in Europe to over order handsets for their markets. Times Online reports that mobile operators with exclusive contracts like O2 in the UK and T-Mobile in Germany over estimated the number of first generation handsets they would sell.

This overstock of handsets is posing a problem for the providers in the face of the new 3G handset expected to hit this summer. To get rid of the handsets before the 3G version hits shelves the providers are looking at taking a significant financial hit as they discount the devices to move the excess stock.

The 3G version of the iPhone is expected to have a stronger demand in Europe than the U.S. because of Europe’s more plentiful 3G networks. Large portions of America are still without 3G service. Price cuts on the iPhone in Europe have been popping up at up to £100 off of the standard selling price.

Via Times Online

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