Counting the cost
Apple and mobile operators a collaborating to offer potential customers alternative ways of getting their foot on the iPad ladder. But as is so often the case, a lower upfront cost may well mean greater outlay in the long term.
As we reported last week, mobile operator three has joined Orange/T-Mobile in subsidising the Apple tablet on the traditional handset model. Today it announced its prices and they're pretty much identical to the Orange ones. It's almost as if Apple is telling its retail partners what to charge.
So, with Three, you can now get hold of a 16GB 3G iPad for £199 if you sign up to a £25 per month, two year data contract, which offers 15GB data per month. Extra storage costs you £50 per 16GB.
For comparison, all retail partners are selling iPads SIM-free for exactly the same price as Apple itself. So that means £529 for the 16GB 3G one. Three has a SIM-only data plan that gives you 1GB per month for £7.50. The total cost of going with the new subsidised model over the two year contract is £799, while buying one outright and going with the data plan is £90 cheaper over two years but you get a lot less data.
This looks like the cheapest way to get hold of an iPad + 2 years mobile data. Orange is offering exactly the same subsidised model as three, but is slapping an extra £2 per month on the contract for non-Orange customers. Furthermore the cheapest SIM-only monthly deal is costs £15 per month for 3GB per month, and the subsidised deal only offers 1GB ‘anytime' and 1GB between midnight and 4pm per month.
In summary, while the pricing is pretty similar, Three is offering more data allowance for your money.
