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Apple to allow iPhone subsidy in US, Western Europe

06/06, 6:25pm

iPhone subsidy in US?

Apple will likely allow carriers to subsidize the sales of the iPhone, but will lose a portion of the monthly revenue, a new report claims. Supporting previous reports of an expected carrier subsidy in the UK, The Financial Times says that the iPhone is set to be sold at significantly lower prices in both the US and Western Europe -- perhaps as much as $200 lower than the price of the current iPhone (available for $399 in the US). The move, the report claims, is a "tacit acknowledgement by the US technology company that its previous sales strategy was not sustainable," although may have been a necessary for Apple to hit its self-created 10 million iPhone sales target for the calendar year, the report claims.

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