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Chinese Officials License iPhone to Run on China Mobile's Wireless Standard

A Chinese regulatory body has given Apple the final license necessary for the iPhone to run on China Mobile’s wireless standard, reports The Wall Street Journal. The approval comes after Apple’s announcement yesterday of the new iPhone 5s and lower-cost iPhone 5c, both of which support the TD-LTE standard used by China Mobile, the world’s biggest carrier with over 700 million users.

china_iphone_lineup_2013
According to the website of China's Telecom Equipment Certification Center Wednesday, Apple received what's called a "network access license" for a handset resembling the iPhone that runs on the mobile standards used by China Mobile for third and fourth generation cellular services. Other licenses were given to Apple for handsets running the technology used by both China Unicom (Hong Kong) Ltd. and China Telecom Corp.
A deal between China Mobile and Apple has reportedly long been in the works, with China Mobile Chairman Xi Guohua and Apple CEO Tim Cook meeting in July to discuss “matters of cooperation”, with the former indicating that he felt optimistic about a potential deal leading up to the announcement of the new phones. Last week, The Wall Street Journal also reported that Apple was preparing to ship the new lower-cost iPhone 5c to the carrier, suggesting a deal between the two companies had indeed been reached.

The new iPhone 5s and the lower-cost iPhone 5c will be available in stores in China, the US, Australia, Canada, France, Germany, Japan, Singapore, and the UK starting on September 20.

Related roundups: iPhone 5c, iPhone 5s, iPhone 6

Top Rated Comments

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8 months ago
How can you guys even be serious? The 5C isn't priced any differently than the previous options. It may cost less to build, but that's about it.
Rating: 10 Positives
8 months ago
At $739 (16GB) and $869 (32GB) for the 5C here in Australia, I fail to see how it's the cheaper alternative. Pretty sure I paid $950 for the 4S back in the day.. 64GB 5S $1,129! You can buy macbook airs (basic) for $799 at the moment locally.. I just don't see how the price is justified..
Rating: 8 Positives
8 months ago
iPhone 5C - The Beginning of Another John Sculley era :(
Rating: 7 Positives
8 months ago
The iPhone 5C is a "low cost" phone, it's just not a "low price" phone.

Here's the dynamic... the feature differences from year to year are beoming less dramatic. So less US customers are opting for the $200 premium phone and more are opting for $100 yr old phone or the free 2-yr old phone. Here's the dirty little secret. The manufacturing cost of all of Apple's phones (up to now) are about the same. It costs Apple just as much to make a 4S as it does a 5S. So Apple's margins are getting whacked by the shift to the older phones. Apple's response is to decontent the older phones to improve those margins. Give the customer less for the same price.

So the 5C is all about improving margins. What the 5C is most resoundingly NOT, is a low price phone targetted towards emerging markets. Apple continues to neglect that segment. Cook has had a clear strategic decision to make, margins or market share, and he's made it.
Rating: 5 Positives
8 months ago

A deal with China Mobile has not been announced, yet, despite all the hype about it. The market is disappointed.


Because the market knows that a China Mobile deal isn't going to help much when you price the 5C at 4488 yuan ($733).

UBS cited a survey of 35,000 Chinese consumers conducted by ChinaDaily.com that indicated only 2.6 percent of respondents would consider buying the cheaper iPhone at the $549 level. With a price point nearly $200 more, don't expect the 5C to be a hit there.
Rating: 4 Positives
8 months ago

I believe 5C is purely targeted for China


Why do people keep saying that? It's complete nonsense. It's targeted at anyone and everyone who simply want a cheaper iPhone. It's going to be on sale worldwide.
Rating: 4 Positives
8 months ago
I think people are blinded by the new phone. Yes Apple basically released a high margin plastic version of what should've been the same metallic iphone 5 in all previous years. But, it also signals, to me anyway, that apple doesn't think the "free" segment is that interesting. Think about this for a second, what's the point of releasing a new fashionable phone at any price point? In economic, demand and supply has to be there, or in this case, demand is very important.

Apple must have data from past years showing them that the iphone 4S last year sold much better than the iphone 4 pricing segment. That's their sweet spot in terms of both margins and demand and so by releasing a brand new fashionable version, they can attract even more shoppers and raise their margins at the same time

I mean i have no proof of this, but you'd imagine a big company like apple isn't just going to release an iphone for a cheaper price because analysts told them to.

And to people who said they don't think steve jobs would've released a colorful iphone, LOL. This was literally what he did with the ipod.
Rating: 4 Positives
8 months ago
The entry level 16GB iPhone 5C costs the equivalent of US $733 in China. It will be interesting to see how many they sell at that price given that Apple's market share in China has halved in the past year due to stiff competition from Xiaomi and Lenovo.
Rating: 4 Positives
8 months ago

Even at that price, I'm sure the 5c and 5s will sell very well in China.


Well with an avg. income of 500$ in China, I am sure it won't. Who is developing a Chinese App for 10% of the smartphone users if 85% use Android?

But I am also sure why it's priced so high: it is because of China Mobile and their strict negotiations. Only in China this is possible. In any other country they couldn't be so strict, but of course in China the state controlls the competition.
Rating: 3 Positives
8 months ago
I think it's fair to say 5C price is higher than we expected. However, its only true when you price it as a commodity. However, Apple is already a name brand in China, (I believe 5C is purely targeted for China). People over there wouldn't mind to pay extra $$ to get an Apple products. It's cheaper than 5S and it's an Apple product, people will definitely buy it. It's a psychological game. If it's set at $199 without contract, people would think this Apple is depreciated. It's weird but it's total different mineset than the West. To them buying a name brand product with big price tag means they can afford luxury goods, it means a lot to them. Apple is so smart to set the price right to capture those 700 million subscribers.
Rating: 3 Positives

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