
Apple Inc.'s iPhone on Saturday(28th Nov 2009) will finally go on sale in South Korea, a country that prides itself on creating and consuming cutting-edge technology.
Since the announcement of its availability last week, about 40,000 people placed pre-orders for it, causing the Samsung Electronics Co., to slash the price of its most advanced and expensive phone, a touch-screen model like the iPhone called Omnia2.
The iPhone's arrival will also end the control that South Korea's cellphone makers and carriers, including KT, have had on the software that runs on phones. Applications for iPhone will be available through Apple's online service or directly from software makers.
Even so, the iPhone hasn't gotten that popularity in South Korea that it has in other countries and Apple faces a huge market bias for domestic-made phones, mainly by Samsung and LG Electronics Co., which contributes to about 90% of the cellphones.
In Japan, Apple experienced a slow ramp-up of sales after the iPhone became available two years ago. And in China, where Apple last month began selling the phone, sales have been slow due to modifications the company made at the government's request and the existence of a massive gray market.
South Koreans pay the highest prices in the world for cellphones and among the highest for wireless service. The average selling price for Samsung and LG phones is nearly twice as much in South Korea as it is outside the country.
The iPhone is already changing the pricing dynamic. KT will offer three iPhone models under monthly usage plans with charges ranging from 45,000 won to 95,000 won, or about $40 to $80. Depending on which plan is chosen, the iPhone's price ranges from $342 to free.
Samsung responded this week by making its Omnia2 phone free for people who buy an $80 monthly plan on SK Telecom Co., one of KT's rivals. It cut the $900 price on other plans to around $300.
"The most appealing part of iPhone is the variety of applications," In the case of the domestic phones, we ca use only those programs that are pre-installed on them.
A spokesman for KT Corp., the carrier offering iPhone, says it expects the iPhone to sell more quickly than in other countries because Koreans consider cellphones a way to express status and trendiness!