T mobile have become the first network to announce their HTC Desire pricing which is due to launch on their network in the next coupe of weeks (and every other UK network several weeks after that). Multiple networks from the word go should help to drive down prices. T mobile’s lowest tariff with data is £30 / month x 24 months with 900 mins and 500 texts. Total cost: £720.
Buying the phone outright is £440. With a suitable sim only tariff from any of the main networks you can get unlimited internet and plenty of texts and minutes on a rolling contract for £20 / month. Over 24 months the total cost of ownership comes to £440 + (24 x £20) = £920. So you save £200 by taking the contract with T mobile. This is the price that you are paying to lose the freedom of a rolling contract.
Of course the contract price should be less than the price with a rolling contract: each network wants you to commit for a good length of time to their network. Hopefully tariffs from O2, Vodafone and Orange will lower prices a bit more. Ideally an 18 month contract for £30 / month with unlimited internet.
I can’t help but thinking these prices are a little too high to differentiate from the iPhone. There need to be cheaper and good smartphones.