Is the new iPhone '02' good to be true?

Following today's announcement that O2 will exclusively supply the iPhone in the UK, Chris Frost, mobile phone expert at comparison and switching service uSwitch.com comments:

"Today's announcement marks the end of months of speculation and UK consumers can now pencil in 9th November as the day to rush out and buy what is quite a spectacular device.

After an initial £69 for the handset, customers will sign up to a £35, £45, or £55 a month O2 special tariff.

"Given the fast pace of change in handset technology, it's good news that contracts will be 18 months long and not the widely predicted 24 month minimum term.

All three tariffs also include unlimited mobile data usage and access to 7,500 wi-fi hotspots, so customers can browse the internet and access email on the move without worrying about additional charges being added to their bill.

"However, it's not all a bed of roses.

Like the iPhone launched in the US earlier this year, the handset does not feature 3G, meaning that customers will only be able to experience web browsing to the full when they are connected to a wi-fi network.

Secondly, the 8GB of memory is half that of the top of the range iPod Touch - the 'iPhone without the phone' - that, for the same cost of £269, features 16GB of memory, features wi-fi web browsing and doesn't tie you into a £35 month contract for 18 months.

The tariffs offered with the iPhone are not the most competitive in terms of inclusive minutes and texts.

For £35 a month customers will receive 200 minutes and 200 texts - of far less value than O2's usual tariffs such as the Online Texter 35 that provides 600 minutes and 1000 texts for the same price.

Frost concludes: "The iPhone is a groundbreaking device that will undoubtedly be very popular with iPod fans everywhere.

However, while customers may decide to hold off for the inevitable 3G version, others may consider the relative benefits of buying an iPod Touch music player alongside a better value mobile contract." -Ends- Consumers can search for the best mobile deal for their budget, look for the cheapest deals on the latest handsets and search for a phone based on 'Gift Offers' at http://www.uswitch.com/ or call 0800 093 06 07.

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