When the original iPhone came out customers bought it from either Apple, o2 or Carphone Warehouse and signed up to the contract and chose a tariff when they got home by signing up through iTunes. 

Now the iPhone 3G is going to be sold in more traditional ways with the handset being subsidised by the network.  So no longer do you have to pay ‘full price’ for an iPhone.  The decision has also been made to force customers to sign up to the contract and the tariff in store before the iPhone is taken away by another happy customer.

While this is obviously just another day of work for those in o2 stores and Carphone Warehouse – it does leave Apple in a bit of a pickle!  As their staff are not currently trained to give advice on mobile phone contracts and tariffs and their systems are currently unable to process credit checks and contract sales.

Apple will of course be able to sell the new iPhone 3G on PAYG and sim free, but until changes are made they will be unable to deal with the rush of people that will be wanting the phone on contract.

O2 have stated that they are working closely with Apple to resolve the issue – and at present have no plans to install o2 concession stands in Apple stores.

So watch this space, as you do not want to be going down to your local Apple store on July 11th only to be turned away because they cannot deal with your request for a contracted iPhone 3G.

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