Apple and Rogers falling out?
Fortune's Apple 2.0 blog has a juicy story that even they admit sounds too good to be true: Apple and Rogers could be on the outs over the negative publicity surrounding Rogers' voice and data plans for the iPhone 3G.
Philip Elmer-DeWitt writes about Daniel Smith, a Canadian sales and marketing consultant, who posted a rumor from an anonymous "inside source" claiming Apple is punishing Rogers by diverting large numbers of iPhone 3G handsets to Europe. Smith later backed away from the claim, noting that the diversion could be related to a shipping problem or production delay.
Also, some Rogers retail stores have dismissed "thousands" of "a few hundred" additional staff hired for the launch of the new handset. (See below for an update.) The decision to let staff go was apparently made at the store level, and not a directive from Rogers' corporate offices.
Rogers plans have been widely panned, with some users creating petitions and websites voicing their displeasure. Rogers' plans require a three-year contract, have no unlimited data option, and offer two-thirds the calling time and half the text messages as AT&T's plans.
The bottom line? "Something is definitely up, whether it is indeed an Apple power play is up for debate," Smith writes.
Thanks, Jason!
Update: Of course, everyone's in "mountain out of a molehill" mode on this one. Daniel Smith wrote us to explain that the "thousands" number was taken by Apple 2.0 from a forum entry where he misspoke, and admitted as much. He says the number is closer to "a few hundred" which is still significant, true, but not quite so dire.
Additionally, BetaNews contacted a Rogers spokesperson, Elizabeth Hamilton, who denied the reports, saying she "can confirm that Canada's inventory of iPhone 3G has remained the same throughout our announcements."
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Fortune's Apple 2.0 blog has a juicy story that even they admit sounds too good to be true: Apple and Rogers could be on the outs over the...
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Oops ... one more thing.
Your title was misleading: the iPhone 3G is the *first* iPhone to be offered in Canada - we didn't get the iPhone 2G at all!
So if Apple really did divert shipments, they shot themselves in the foot.
I am one of the Canadians who queued for hours to get a new 3G iPhone on Friday. Unlike some other unlucky canucks, I actually got one. But it took waiting from around 8 in the morning until 6:30pm at night - and I was number 27 in line!
I don't know how Rogers prepared for the iPhone3G launch. But I think it was fairly unimpressive that their flagship store in Toronto (at Dundas/Yonge) had only 100 units *total* - and only 20 of those were the 16GB model! At the Eaton Centre, where I ended up, there were only 60 units. As far as I know, none of them was 16GB. The biggest problem of all, though, seemed to be Rogers' internal servers (running activation etc.), which were AWOL much of the day.
Such tiny stock levels seem a bit idiotic, seeing as how Rogers had participated in some pretty thorough-going 3G hype before launch day. Or maybe Apple really calls the shots and totally enjoys letting out stock in tiny dribs and drabs, hoping that it generates word of mouth buzz? Up here in the frozen north, it just generated annoyance - polite annoyance, of course, because we are Canadians. :)
To those of you who advocate not paying Rogers at any price: I signed on for iPhone 3G only because
(a) I could easily keep my decent prior voice plan from Rogers (iPhone-specific plans are optional!); and
(b) Rogers finally "caved" and announced a promotional $30/6GB data plan a few days prior to launch.
Really, since I'm near a friendly wi-fi transmitter at home and at work, if I chew down more than 6GB of data in a month I need my head examined.
The one person who impressed me the most during the day of utter chaos on Friday was the Eaton Centre Rogers store manager. She was fabulous, indefatiguably. To all those who slag off at Rogers without having talked to a Rogers employee, how about climbing down off your high horses and actually doing some boots-on-the-ground research? I did!
... and the white square in the middle? Its you (and me.)
July 13 2008 at 5:55 PM Report abuse Permalink rate up rate down ReplyThe Rogers logo? It represents a muscular sphincter. Exerciser for the shat-upon customer to decide which one.
July 13 2008 at 5:34 PM Report abuse Permalink rate up rate down ReplyPlease don't for get that the Canadian iphone must have French and English in the box + a north American wall plug. Apple maybe held more in there warehouse in Canada.
?????
Can we please punish Telcel (Mexico) as well? Their fees are much higher than Rogers. MUCH HIGHER!
July 13 2008 at 4:12 PM Report abuse Permalink rate up rate down ReplyRogers may have received fewer iPhones than they had hoped but that's a good thing. The few they got put their activation servers in the dumper even worse than down here I hear.
July 13 2008 at 3:23 PM Report abuse Permalink rate up rate down ReplyYou know... I don't get this.
02 Ireland are still managing to sell the iPhone here even though we have the exact same issue with them. Emails, websites, petitions have made bugger all difference.
I heard Rogers will not adjust their iPhone prices because they are already charging quite a bit for the BB services. Imagine how the corporate world would be up in arms if the iPhone data plans were in line or cheaper than the Blackberry???
I think RIM and Rogers have been in bed since forever and that's not going to change anytime soon.
I had been a Telus Mobility customer for over 10 years, and last year made the MISTAKE #1 of going over to Rogers... just so I can use my cell in my many world travels. (GSM works pretty much everywhere I go except while in Japan).
I got a flimsy Samsung slide-out phone free (couldn't care less), and signed up for 3 years. MISTAKE #2 which the screen went haywire within 6 months. Since last year, I have been buying (off eBay and TigerDirect) a good collection of brand new, unlocked GSM phones such as the Blackberry T7200 and 8200 series as well as Motorolas. All work great, but always had a "little something" that I was missing....
Until earlier this year, I gave in and bough a brand new, unlocked iPhone on eBay. WOW is all I can say. I've never owned or used an Apple product until this one. They are easy to use and especially intuitive to learn.
Now, I'm NOT about to make MISTAKE # 3 and buy the new 3G from Rogers, and get locked down further into another 3 years with them. Instead, in my travels to the U.S.A., Europe, Latin America and Asia... I will try to find the best deal for the new iPhone, have it unlocked (which should come pretty soon after launch), and put my Rogers SIM card in it.
I will keep using my corporate employee special plan for voice, NO DATA, but instead rely on Wi-Fi (and Boingo in lots of public places)... and I'll be happy.
I WILL NOT buy from Rogers ever again. And I assure you that if / when a new GSM carrier enters Canada, EVEN if the prices are identical to Rogers, I will SWITCH away, forever, from Rogers. "Point Final".
C'mon T-Mobile, Orange, AT&T, Vodafone et al ... come to Canada, and you will discover a hidden gold mine of thousands, if not hundreds of thousands of customer JUST waiting for a new GSM carrier to dethrone Rogers (FIDO does not count, as Rogers bought them out, as they were the ONLY other competitor on GSM standard in Canada).
A Gold Mine, more like a Gold RUSH awaits... to drop Rogers faster than you can say... BYE BYE!
Sly...
silently waiting for new GSM carriers to enter Canada
i agree!
now this may seem crazy, but i love their customer service... why doesn't bell offer gsm? i despise roger's customer service.
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