The iPhone in Canada? Take a box of salt with those launch rumours

Apple 4GB iPhone Maybe it’s the spring thaw that’s started here in Toronto; perhaps it’s just plain ol’ wishful thinking.

Anyway, the iPhone isn’t coming to Canada anytime soon no matter how often the rumour is circulated in Canadian tech circles.

It’s even been suggested that Apple has a bias against Canada. We Canucks can be offensive after all!

While that’s a stretch, it’s fair to say that Apple will wait to introduce the iPhone in Canada until Rogers or an upstart carrier agrees to introduce AT&T or Vodafone-like data plans; the revenue generated from the net new iPhone subscribers added is to be shared with Apple of course. This is the case in the United States and Europe where Apple has deals with the aforementioned carriers.

That’s not going to happen anytime soon. Rogers has no reason to lower its extraordinarily high data prices (relative to international peers) and Apple has bigger fish to fry in larger countries right now.

Remember the iPhone only runs on GSM networks and Rogers is the only service provider that owns that type of network in Canada. Apple has to work with Rogers if it wants to sell the phone in the Great White North anytime soon.

But neither Rogers or Apple wants to blink, assuming there have even discussions over the terms and conditions of an iPhone introduction in Canada.

There’s also a trademark dispute with Comwave, a VoIP service provider, waiting for Apple if and when it decides to enter the country.

Not a lot of incentive for Apple to rush into Canada.

Apple may need the help of a new wireless entrant to get the iPhone in the hands of the masses here, an increasingly likely scenario. Industry Canada is in the process of auctioning off airwaves, some of which will be reserved so new wireless service providers can enter the market.

Perhaps a potential new entrant to the wireless field, such as Data & Audio-Visual Enterprises Wireless (DAVE), Videotron, Shaw or another wireless player will be only too happy to give Apple the terms and conditions it so covets.

Meantime, Apple knows full well Canadians like yours truly have travelled and will travel across the border to buy an iPhone or simply buy an unlocked iPhone from an eBay seller.

Apple Inc. for the short term is more than happy to sell the hardware to Canadians albeit indirectly; the cut of the data sales as from deals with Canadian carriers will come later.

So if you’re a Canadian, why wait? Unlocked iPhones aren’t hard to find online. The wink-and-nod agreement Rogers has with its customers now allows people to use the device on its network.

You’ll of course choke when you see your wireless bill at the end of the month but boy will you look cool in front of your friends.

Enjoy.

April 4, 2008 | Filed Under News Items and Commentary 

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