Thursday, 12 September 2013

Australian customers will pay up to $114 more than Americans for the new iPhone.

The new iPhone 5C. Photo: AFP/Glenn Chapman


THAT "C" in the new iPhone 5C doesn't stand for "cheap".

The iPhone 5C is being marketed as a more affordable version of the new iPhone 5S. But Australians will have to pay far more than customers in the United States for both models.

The iPhone 5S will enter Australian stores on September 20. It will cost $A869 for the 16GB model, $A999 for 32GB and $A1129 for 64GB.

Americans will only pay $US649 for the 16GB phone, US$749 for 32GB and $US849 for 64GB.

After our current exchange rate is applied and the GST is removed (the US doesn't have one), Australians will be forced to pay between $92 and $114 extra, depending on the phone's capacity.

The new iPhone 5S. Photo: AFP/Glenn Chapman



Consumer group Choice argues the higher prices are not necessary.

"There is no obvious reason for a price difference like this," said Choice campaign director Matt Levey.
"We can only conclude Apple is charging Aussies more for the new phones because they think they can get away with it."

In Australia, the cheaper iPhone 5C will cost $A739 for 16GB and $A869 for 32GB. In the United States, the same model will cost $US549 for 16GB and $US649 for 32GB.

When the exchange rate is applied and the GST dropped, the Australian phones are between $81 and $92 more expensive.

"There is no excuse here," Mr Levey said. "They can't blame the record companies or movie studios for a decision to charge Australians more for an iPhone.

"Consumers shouldn't be paying more for Apple products simply because they live in Australia."

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