iphone store 311.
(photo credit: courtesy)
As Apple’s latest smartphone hits Middle Eastern markets consumers have noticed
one thing: the price.
Often viewed as a hi-tech hub, when is comes to
consumer electronics Israeli tech analysts say pricing goes through the
According to a survey by The Marker
the price of an unlocked 16
gigabyte iPhone 4 in Israel will set you back $1,084, compared to $790 for the
same model in the United Kingdom and $751 in Canada.
It is not possible
to buy an unlocked iPhone in the United States.
Israel is also expensive
when it comes to data pricing.
A one gigabyte data package with mobile
operator Cellcom costs $21 compared to a two gigabyte option for $25 with
American operator AT&T.
“The consumer market in Israel is really
small and the profit margin for companies is really small,” Gal Mor, an Israeli
Technology blogger at holesinthenet.co.il, told The Media Line.
like in the United States with tens of millions of early adapters and then 150
million consumers, where you can afford to sell consumer electronics at a
reasonable price and still make a profit.
“It’s very expensive,” he said
in reference to the price of consumer electronics in Israel. “That’s why
Israelis prefer to buy on EBay or when they go abroad.
As more people do
this there w i l l hopefully be a more competitive edge.”
David Shamah, a
tech blogger and technology reporter for The Jerusalem Post
, said that the high
price of Apple products in Israel is a function of the market dominance of one
company, iDigital, which has a monopoly over the distribution of Apple products
in Israel. “Basically they do it because they can,” Shamah told The Media Line.
“It’s their way of making money.”
This is not the first time that
iDigital has been at the center of controversy regarding products in Israel. In
April Apple released the new iPad tablet computer in the United States, but
Israeli customers that brought iPads to Israel had them confiscated and were
forced to pay customs fees for storage of the devices.
reason given was that the iPad’s wireless internet system broadcasted at higher
levels then are standard in Europe and Israel. The ban was soon lifted after
this reasoning was proven false.