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Apple Lays Smackdown On Rogers; Canadians Lose

July 7th, 2008

It looks as though the ruinediphone.com online petition slamming Rogers pricing on the iPhone 3G has not fallen on deaf ears, or blind eyes I guess. It is rumored that Apple and Rogers has had a falling out due to the overwhelming negative publicity since the Canadian iPhone price plans were announced by the wireless carrier. Those that wanted the iPhone argued that the plans, which required a 3-year contract, had no unlimited data option, and offer minimal calling time and text messages, were simply too expensive and a result of a lack of competition for Rogers which operates the only GSM cellular network in Canada.

In response to the negative publicity, Apple is diverting shipments of the new iPhone from Canada to Europe which means each Rogers store may only get 10-20 iPhones. Some Rogers stores apparently have also let go the temporary staff that were brought on to help with the expected influx of new customers. The iPhone launch is only 4 days away, so we will see shortly if this rumor has any truth to it.

First, an employee of Apple Canada sends a text message to my source that says something to the effect of: “You guys are screwed for iPhone,” but will not respond to multiple replies asking for clarification.

Next, an employee at competing handset manufacturer RIM (Blackberry’s parent) (RIMM) sends my source a text soon after saying there are rumours of an Apple-Rogers fallout.

Then, my source receives a call notifying him that all the part-time staff who had been hired for next week’s launch have been fired without notice.

And finally, a senior Rogers rep confirms to my source that Apple has decided to divert a large percentage of their planned Canadian shipment to Europe and that each Rogers store may now be getting as few as 10-20 units. This is possibly due to Apple’s displeasure over Rogers’ high data and voice rates.”

Another possibility that has been raised is simple production problems resulting in delayed shipments for Canada. Apple may have seen that demand in Canada would naturally be lower with the long contract terms required, and sent early allocations to Europe instead while production catches up. Either way, we’ll find out by this weekend if Rogers’ grip on the market has resulted in Apple making some plays of its own.



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5 Responses »

  1. HAHAHAHAHAH

    dumb rogers….
    well looks likey got served for the time being….

    What can you do???
    Apple wants the iPhone to have unlimited Data and rogers doesnt want to supply that…. so screw rogers….

    it costs them approx. 1.975 million per cell site.
    im pretty sure that rogers has more than enuf money to put up at least a couple 1000’s towers around Canada.
    but they only thinking abotu short term profits and not long term customer satisfaction.

    ah well……… would love to see how rogers plans to come back after something like this.

  2. I think that it’s a win for the consumer….it’s just slapping pressure to Rogers to smarten up

    compared to AT&T, rogers is just gouging consumers…..

    Rogers:
    $60/month - 150 anytime minutes, 75 outgoing SMS, and 400 MB data
    $75/months - 300 anytime minutes, 100 outgoing SMS, and 750 MB data
    $100/month - 600 anytime minutes, 200 outgoing SMS, and 1 GB data
    $115/month - 800 anytime minutes, 300 outgoing SMS, and 2 GB data

    AT&T:
    $69.99 - 450 anytime minutes, (+$5) 200 outgoing SMS, and unlimited data
    $89.99 - 900 anytime minutes, (+$5) 200 outgoing SMS, and unlimited data
    $109.99 - 1350 anytime minutes, (+$15) 1500 outgoing SMS, and unlimited data
    $129.99 - Unlimited anytime minutes, (+$20) unlimited outgoing SMS, and unlimited data

    and you have to sign a 3 year plan for rogers compared to a 2 year agreement with AT&T

    to bad here in Canada there are only really 3-4 choices for cellphone providers

    I read that Rogers will not consider offering an unlimited data plan after the ‘tweaking’ of their current plans….

    anyone hear anything from the Fido Camp?….I know that they’ve posters advertising the 3G Iphone but no info on their plans….maybe they’ll get smart and pull the wool over Rogers eyes (but considering that they are under the Rogers umbrella I doubt it)

  3. I’d say its a loss for consumers because of the diverted shipment. Rogers’ doesn’t look like its going to budge on the prices and with only 10-20 iPhones at each store, there is going to be alot of customers leaving empty handed. That is of course assuming this rumor is true.

  4. Something must be up… On the Fido side of Fogers, they’ve announced a new promo data option… 6GB for $30.

    Fido to unleash iPhone 3G… two hours sooner with limited time promotional pricing
    Wednesday July 9, 9:10 am ET

    Montreal flagship store opens early for July 11 iPhone 3G launch
    TORONTO, July 9 /CNW/ - In anticipation of iPhone 3G launch, Fido, Canada’s fourth largest wireless provider that’s number one in customer satisfaction,(x) today announced plans to open the doors of Fido’s flagship store in Montreal two hours early on July 11. Starting at 8:00 a.m. on July 11, customers will be able to purchase the new iPhone 3G in advance of regular store hours at a special launch day event at the Fido flagship store at 1004 rue St. Catherine Ouest, Montreal. Be among the first in Canada to get the next generation iPhone 3G and have the choice of a 6GB data plan through a limited time promotional price offer.

    “Fido is excited to bring iPhone 3G to Canadians with the choice of even more data,” said Sylvain Roy, Senior Vice President and General Manager, Fido. “iPhone 3G is the perfect device to complement our customers’ urban lifestyle, with its amazing web browsing capabilities, iconic design and interface, and high speed network access.”

    iPhone 3G combines all the revolutionary features of iPhone with 3G networking that is twice as fast(xx) as the first generation iPhone, built-in GPS for expanded location based mobile services, and iPhone 2.0 software which includes support for Microsoft Exchange ActiveSync and runs the hundreds of third party applications already built with the recently released iPhone SDK.

    Customers who attend the launch day event at Montreal’s flagship Fido store will be treated to a free early bird breakfast and have a chance to win Fido prizes.

    Effective July 11, and as a limited time promotional offer for customers who activate until August 31, 2008 on a three year contract, a data-only offering of 6GB of data for $30 per month is being made available that can be added to any in-market voice plan. For example, with 6GB of data, iPhone 3G users can visit 35,952 web pages, or send and receive 157,286 emails, or watch 6,292 minutes of YouTube videos each and every month.(xxx)

    New Canadian iPhone 3G customers will also have the choice to select from Fido’s existing voice and smartphone data plans and/or additional features to best suit their needs or from Fido’s specific value bundled iPhone 3G plans. Existing Fido customers can also keep their current voice service plan and select a separate smartphone data plan to meet their needs or choose from other plans after checking their individual upgrade eligibility.

    Starting July 11, iPhone 3G will be available at participating locations across Canada, including select Fido retail locations and at the following specially selected authorized Fido dealers: WirelessWave, TBooth and Wireless etc. iPhone 3G can be purchased online at http://www.fido.ca and through Fido customer service at 1-888-481-3436. Existing Fido customers in their renewal window can use their FidoDollars towards purchase. For a complete store listing, visit http://www.fido.ca. Due to anticipated high demand, there is a maximum purchase of two iPhone 3G per customer.

  5. wow a breakfast…damn….that’s what the week of the Stampede is for….

    “The promo will be available for new iPhone users who activates with a three year contract before August 31, 2008″ so after August you get stuck with the crappy plans….

    and low and behold this was added to the Fido/Rogers site; after their descriptions of their plans:

    “While the iPhone 3G Voice and Data Packages allow you to use this device to its fullest and offer savings over separate voice and data plans, they are not the only options available to you. Other pricing options are available. For example, you may choose to combine one of our new data plans ranging from $30 per month (for 300MB) to $100 per month (for 6GB) with a voice plan. Learn More. They are available by calling 1 888 ROGERS1 or by visiting your nearest Rogers retail location.”

    so you can add an additional 6GB to your plan, so a basic plan plus the 6GB will cost you only a mere $170 a month….

    and how nice of Rogers to post on both Fido/Rogers site how much data is processed on popular websites…..they’re trying to justify the plans…..

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