updated 11:35 am EDT, Wed April 16, 2008
Piper on Europe and iPhone
Changes in the European iPhone market may have a dual significance, argue analysts with Piper Jaffray. Following a 75 percent price cut in Germany earlier this month, the UK has also slashed the price of the 8GB iPhone by 37 percent, to reach £169 ($335). Piper argues once again that this is a sign European carriers are attempting to clear out stock in advance of a 3G iPhone, anticipated for June; it may also however be emblematic of sales below expectations, a factor typically attributed to the iPhone's unusually high price in Europe, and a widespread acceptance of 3G that Apple cannot currently deliver on.
Aiding speculation that a 3G device is set for June is that according to Piper, stock of 2.5G iPhones has remained low in America for two weeks, in both its 8 and 16GB variants. On April 15th the company polled 22 Apple Stores, and found that 82 percent had a limited supply of the 8GB phone, while just 50 percent had any 16GB models for sale. Piper reasons that Apple is deliberately "trickling" a limited stockpile into the market, so that like Europe, it is not caught with a host of unmarketable products following the switch to 3G.
Piper believes that the 3G iPhone will have a redesigned exterior, and a base price between $349 and $399.