why is the iphone 4 $250dearer to buy in Australia than the us when our dollar is higher than yours

just wondering if i buy an iphone 4 from the usa will it work on the 3g network in Australia, and why is it that a 32gig iphone 4 is $ 251 dollars cheaper to buy in the USA than it is in Australia when the Australian dollar is higher than the US dollar

iPhone 4, iOS 4

Posted on Jun 25, 2011 5:53 PM

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5 replies

Jun 25, 2011 5:58 PM in response to garryfromwaikerie

An UNLOCKED iPhone 4 from the USA will work in Australia. However, if it needs service it will hae to go back to the USA as iPhones are only serviced in the country of purchase (wxcept that the EU is considered a "country" for service purposes).


As to why there is a price difference no one who follows this forum has a clue. We're all users just like you. Might it be VAT?

Jun 25, 2011 6:01 PM in response to garryfromwaikerie

In the US, the iPhone can be purchased 3 ways:


1) Locked to AT&T (or Verizon) and subsidized by AT&T (or Verizon) requiring a 2 year contract. This subsidization leads to a reduction in cost for the iPhone, and prices start at $199.00


2) Contract free from AT&T or Verizon, in which case the phone is NOT subsidized, but still locked to AT&T or Verizon and the prices start at $649.00


3) Factory unlocked. These phones also start at $649.00 for the 16 GB iPhone, and 749.00 for the 32 GB.


ALL THE PRICES ABOVE DO NOT INCLUDE SALES TAX, WHICH CAN ADD ANOTHER ALMOST 10% TO THE PRICE DEPENDING ON THE LOCATION IN WHICH THE PHONE IS PURCHASED.

Jun 25, 2011 6:02 PM in response to garryfromwaikerie

If you purchase an officially unlocked iPhone, which Apple began selling over the last week or two. Not sure if the officially unlocked iPhone is available in an Apple store in the U.S. but if so, you must visit the U.S. to purchase the iPhone or have someone you know in the U.S. do that for you and ship it. If available via Apple's online store in the U.S. only, Apple won't ship anything purchased via their U.S. online store outside of the U.S. In addition, the warranty if needed will probably be honored in the U.S. only.


The 16GB iPhone 4 officially unlocked in the U.S. sells for $649 plus applicable sales tax. The 32GB iPhone 4 sells for $749 plus applicable sales tax.

Jun 25, 2011 6:02 PM in response to garryfromwaikerie

USA iPhones are subsidized by the phone carriers. You get a discounted phone in exchange for a two-year service contract. These phones are locked to the carrier.


For a phone without a contract or a phone not locked to a carrier, and can be used in Australia the price is significantly higher, $649/$749. http://store.apple.com/us/product/MC603LL/A?mco=MjI4NTM2NTM

Also, in the US, the sales tax is not quoted in the price and may add up to 10% to the cost.

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why is the iphone 4 $250dearer to buy in Australia than the us when our dollar is higher than yours

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