iPhone Contract Comparison

With Tesco now involved in the iPhone market, and Vodafone also due to join in early in 2010, now is a great time to take stock of the relative deals available in to those who want to get hold of the iconic handset. Tesco’s promise to bring some ‘Tesco value’ to the iPhone has led to a marginally more competitive market, though perhaps not the sweeping saving many were hoping for. Below are the contracts and terms and conditions available on each iPhone network at present. It’s worth bearing in mind, of course, that all of this information depends on the model of the iPhone you want to buy and the prices change frequently (and will probably change still more frequently from now on, due to increased competition). It’s also worth considering exactly how you’ll use your phone very carefully before diving in, as the larger contractual obligations invariably add up to more, regardless of handset expenses. Here’s the lowdown as it stands:

Orange

PAY AS YOU GO: from £363.00 (handset only)

CONTRACT: (750Mb download limit)

Option 1 – £35.00/ month for 24 months. Free handset. 600 minutes and 500 texts per month included. Average cost per month = £35.00

Option 2 – £35.00/month for 18 months. £96.50 handset. 600 minutes and 500 texts per month included. Average cost per month = £40.36

Option 3 – £45.00/month for 18 months. Free handset. 1200 minutes and 500 texts per month included. Average cost per month = £45.00

Option 4 – £75.00/month for 18 months. Free handset. 3000 minutes and 500 text per month included. Average cost per month = £75.00

O2

PAY AS YOU GO: from £342.50 (handset only)

CONTRACT: (probable 8Gb fair use download limit)

Option 1 – £35.00/ month for 24 months. Free handset. 600 minutes and 500 texts per month included. Average cost per month = £35.00

Option 2 – £34.26/ month for 18 months. £99.00 handset. 600 minutes and 500 texts per month included. Average cost per month = £39.76

Option 3 – £35.00/ month for 18 months. £96.89 handset. 600 minutes and 500 texts per month included. Average cost per month = £40.38

Option 4 – £44.05/ month for 18 months. Free handset. 1200 minutes and 500 texts per month included. Average cost per month = £44.05

Option 5 – £45.00/ month for 24 months. Free handset. 1200 minutes and 500 texts per month included. Average cost per month = £45.00

Tesco Mobile

PAY AS YOU GO: from £342

CONTRACT: (1Tb download limit)

Option 1 – £20/ month for 12 months. £222 handset. Mixed selection of monthly calls and text to a total value of £60 (call rates vary from 10p up, texts from 5p up, so equivalent to up to 600 minutes OR 1200 texts, or any combination of those).

Option 2 – £60/ month for 24 months. £50 handset. Unlimited calls and texts (within fair use allowance).

Tesco will also be offering intermediate tarrifs that are yet to be confirmed.

Vodafone – tariffs and handset cost to be announced.

In terms of purely price, Tesco and O2 are roughly on a par, though Tesco do have the advantage of offering a contract that lasts a single year rather than 18 months or the full two years. On the downside, no matter which contract you choose from Tesco, you cannot avoid paying for the handset, unlike with both Orange and O2. The minimum charge comes in at £50. Prices may also alter due to the up and coming increase in VAT, though Vodafone’s entrance into the market is likely to make things still more competitive, and could drive charges down.

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