
Apple iPhones were for the first time introduced in the United States in end of June 2007. Such was the craze for the iPhone that people lined up outside Apple stores the previous night of the launch, to grab the first lot of the iPhones. Now, it seems similar iPhone fever has also caught up with China. Although, Apple iPhones has not been officially released in China following the failed round of talks with China’s official carrier China Mobile, iPhones has become a household name in China.
When the news of the missing iPhones broke out a couple of months back, it was quite unlikely to believe that 400,000 of them have made their way to China. However, In-Stat a marketing research firm has recently revealed that of the 1.7 million missing iPhones in the United States, 10% of them have been illegally shipped to China.
If the trend continues, it will not be late that China will be flooded with unlocked iPhones even before it seeks official release. This will definitely hurt Apple
Inc. business model of revenue sharing with a local carrier. The popularity of the Apple iPhone can be asserted from the fact that while most businesses are discussed from iPhones in the United States; in China, most families love using iPhones for their personal use. The situation is indeed taking a dangerous turn from the business economics of Apple Inc. and the iPhone industry. The huge numbers of iPhones available and working in China are all illegitimate. As the Apple iPhones are unlocked by scrupulous means in China, they remain devoid of Apple insurance or warranty coverage.There are blogs and auction houses flooding the Net selling iPhones for the Chinese market; and the Chinese people are ready to shell out extra bucks to get hold of the iPhone. Reports indicate that around 1/5 of all iPhones cost approximately US$ 533 which is shows that buyers in China are paying more for their phones than any other countries. However, this has not stopped Chinese consumers to wait till Apple releases it’s official version in 2008 soon.










