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Best Wishes of China Unicom, Best Selling Mobile Phone of China, iPhone or Others?
  China Unicom Expects iPhone to Become the Best Selling Mobile Phone

In order to counter the skepticism by analysts whom said that the handset is too expensive in China, the chairman of China Unicom( Hong Kong) Ltd., Chang Xiaobing, says that he experts iPhone to become the best selling smart phone of China. It is heard very inspiring, however, maybe he had forgotten that, China Unicom have only sold about 5,000 iPhones in the first weekend, at all event, this is far away from his dream.

We have reported the comments, which were made in the first press conference by the company since the device’s launch late in October. There, he told reporters, “We’re very confident about the market position of the iPhone”.

Mr. Chang didn’t offer details on how this would happen, nor how his company would overcome the obstacle of the device’s retail price tag, where the 32GB iPhone 3Gs sells for 7,999 yuan (US$1,172). Like many emerging markets, China’s cellphone market is not based around a carrier-subsidy model. Consumers usually pay the full price for their mobile devices. China Unicom has provided several kinds of discount programs just like the large subsidy which is provided by AT&T. In fact, customers have to pay more for iPhone.

Just an unreal dream?

For example, if you choose the cheapest subsidy package which is about 126 yuan(US $18.5), you have to pay 5 yuan one month for it. In a word, you should pay at least 5000 yuan (US$ 732.5) for the 8 GB iPhone 3Gs. However, in U.S. and European markets, carriers subsidize the price of the iPhone in the form of direct payments to apple. While the U.S. price of the 32GB iPhone is $299, Apple is getting as much as $400-$500 in payments from AT&T once the phone is activated.

Maybe it is the main reason that AT&T has not have any profit in sales and services of iPhone while AT&T has become the exclusive carrier of iPhone in U.S. for more than 2 years. In order to avoid follow suit, China Unicom select a contrary sales way with AT&T, however, it has to face the reality that iPhone had a unprecedented difficult road in China, different from the popular in U.S. and Japan.  
 
And iPhone has not been the unique artwork in smartphone market. Many kinds of imitations from Samsung and other mobile phone manufacturers have become more and more popular, comparing with iPhone, they own the lower price and stronger function. Besides, Motorola Dorid based on Android platform has on sale. It is said that Droid will  replace the top position of iPhone in smartphone market.

In any case,  China Unicom and Apple will face more challenges in China. Maybe it is a good news to them, it is reported that China had about 720 million mobile-phone subscriptions at the end of September, according to government data.

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