China Mobile asking Apple to intentionally cripple iPhones?
China Mobile is eventually expected to offer the iPhone to mainland China but has requested that Apple deliver a model with Wi-Fi and 3G technology disabled, according to the South China Morning Post.
The paper cited a Daiwa Institute of Research analyst as saying Beijing has not yet approved handsets with such features, and that Apple's iPhone manufacturing partner Foxconn is now waiting for authorization to begin shipping models to China Mobile with the W-CDMA and Wi-Fi chips disabled.
Cellular News (by way of CNet) explains the odd request is a result of competitive concerns. China Mobile is believed to be building its 3G network using the Chinese developed TD-SCDMA format, so it hopes that disabling 3G functionality will deter users from unlocking the device and jumping ship to rival China Telecom, whose network supports W-CDMA.
"Apple shouldn't customise a model of iPhone for the mainland market, given that it only provides a standardised product to operators around the world," Frederick Wong, an analyst with BNP Paribas, told the Post.
For its part, China Mobile is all too familiar with the propensity of consumers to unlock iPhones when given the opportunity. Market research firm In-Stat reported earlier this year that 400,000 unlocked iPhones were loose on the carrier's network, which represented about 10 percent of the units ever produced at the time.
In its report, the Cellular News highlighted the broad market opportunity presented to Apple by the Chinese market. Unlike in the US, where advanced smart phones still cater to a relatively small percentage of users, the market in China is a vast, entertainment-oriented business driven by consumers.
"The main reasons that Chinese mobile users purchase smartphones include entertainment and to access mobile Internet applications," the publication said. With In-Stat estimating that 20 percent of handsets sold in the region cost more than 4,000 RMB (US$533), that adds up to 28 million potential iPhone buyers.
The paper cited a Daiwa Institute of Research analyst as saying Beijing has not yet approved handsets with such features, and that Apple's iPhone manufacturing partner Foxconn is now waiting for authorization to begin shipping models to China Mobile with the W-CDMA and Wi-Fi chips disabled.
Cellular News (by way of CNet) explains the odd request is a result of competitive concerns. China Mobile is believed to be building its 3G network using the Chinese developed TD-SCDMA format, so it hopes that disabling 3G functionality will deter users from unlocking the device and jumping ship to rival China Telecom, whose network supports W-CDMA.
"Apple shouldn't customise a model of iPhone for the mainland market, given that it only provides a standardised product to operators around the world," Frederick Wong, an analyst with BNP Paribas, told the Post.
For its part, China Mobile is all too familiar with the propensity of consumers to unlock iPhones when given the opportunity. Market research firm In-Stat reported earlier this year that 400,000 unlocked iPhones were loose on the carrier's network, which represented about 10 percent of the units ever produced at the time.
In its report, the Cellular News highlighted the broad market opportunity presented to Apple by the Chinese market. Unlike in the US, where advanced smart phones still cater to a relatively small percentage of users, the market in China is a vast, entertainment-oriented business driven by consumers.
"The main reasons that Chinese mobile users purchase smartphones include entertainment and to access mobile Internet applications," the publication said. With In-Stat estimating that 20 percent of handsets sold in the region cost more than 4,000 RMB (US$533), that adds up to 28 million potential iPhone buyers.
Comments
I suppose they are worried about the speed at which they could find the websites that show their gymnasts are really 14
Ok, fine, so I'll give them the 3G thing (although it's insanely anti-competitive but we are talking about China here) but why the Wi-Fi??
I suppose they are worried about the speed at which they could find the websites that show their gymnasts are really 14
They want to be sure the overly anxious reports of successful rocket launches can't be downloaded before the rockets are actually launched.
As for Wi-Fi, perhaps government regulations for handsets with Wi-Fi are too onerous or China Mobile has Wi-Fi hotspots that it believes would not be able to keep up with bandwidth demands? Just speculating. It sure would be nice to know what's up with that.
They want to be sure the overly anxious reports of successful rocket launches can't be downloaded before the rockets are actually launched.
As for Wi-Fi, perhaps government regulations for handsets with Wi-Fi are too onerous or China Mobile has Wi-Fi hotspots that it believes would not be able to keep up with bandwidth demands? Just speculating. It sure would be nice to know what's up with that.
It's cause they don't want users accessing the internet on their phone without paying for it through their network.
Besides, they deserve it, poor babies .
I remember all that constant talk about how "China never shares revenue"!
Well, ok.
Don't share revenue.
You won't see 400,000 iphones on the network with Wifi..... you'll see 4 million!
Tell China that sharing revenue has it's benefits.
Mouthing off about how they are powerful enough to not have to go for that deal..... ok we got yer Wi-Fi right here!
Maybe the key to this for Apple will be offering an app that allows wifi internet browsing but kills skype calls etc.
Apple should in no way compromise it's iPhone to grease the wheels of insanity.Make 'em grow up!
Agreed.
Customers would be in a bind traveling outside of China, Especially in Japan where 3G rules.
Everyone enjoy your day, keep on thinking different.
What a shock. Trying to shield them from the real world!
For those who want it in China, they can access the same information that the rest of the world can access.
Of course a new lesser version of the iPhone is well appreciated but I would not downgrade the current iPhone for a foreign nation just to make a buck. Do the right thing Apple!
I think they're gonna call "the right thing" iPhone Nano
Touchscreen phone
iPod
Phone
QWERTY in Landscape.
I seriously doubt that they'll go there.
I think they're gonna call "the right thing" iPhone Nano
If so, the Chinese can wait a while.
For those who want it in China, they can access the same information that the rest of the world can access.
That is simply not true. For insance, just a couple of months ago, when I was there, I could could not access a whole bunch of sites, including something as simple and basic as maps.google.com.
In fact, I think Apple should offer a second generation iPhone just like the 3G, with GPS but without 3G, and with a cheaper contract. The TCO of the device would be lower, battery life would be higher, and Apple would save the cost of the 3G chip. I would buy such a phone. Anybody with me?
But, as others have noted, disabling WiFi is going way too far. You'd have to pay for data even in your own home. Hopefully this will be as unacceptable to Apple as it is to us.
That is simply not true. For insance, just a couple of months ago, when I was there, I could could not access a whole bunch of sites, including something as simple and basic as maps.google.com.
Can't have the comrades knowing which direction or how close the fence is.
Can't have the comrades knowing which direction or how close the fence is.
If you sort of think about it, wouldn't any self-respecting police state actually want people to use on-line maps? This would tell them a lot about the places people are interested in or are planning to go to.
Can't have the comrades knowing which direction or how close the fence is.
Even though I'm not from China or of Chinese descent... I find that slightly insulting. I guess thats just my Socialist leanings speaking up
On topic though, disabling wifi is WAY to far. Don't do it Apple!