Kogan will sell you a grey import iPhone 5 cheaper than Apple

Australian online store Kogan is claiming to be the "first retailer in the world" to sell Apple's iPhone 5
Kogan is selling the Apple iPhone 5

Kogan is selling the Apple iPhone 5

Australian online store Kogan is claiming to be the "first retailer in the world" to sell Apple's new iPhone 5, after it began taking pre-orders for the newly unveiled device yesterday.

Read our Apple iPhone 5 preview here

The online retailer will sell all three variants of the iPhone 5 outright for $100 less than Apple's official Australian retail price. Kogan lists the 16GB, 32GB and 64GB versions of the iPhone 5 for $699, $799 and $899, respectively, and will sell each model in black or white colours.

Although Kogan lists the saving as $100, the company will charge $19 for delivery to most Australian locations for a saving of $81.

Kogan supplies its own 12 month warranty with any iPhone 5 purchased, but Apple's one year limited warranty should also cover the phone.

"This Limited Warranty applies only to hardware products manufactured by or for Apple that can be identified by the “Apple” trademark, trade name, or logo affixed to them," reads Apple's global iPhone warranty terms and conditions.

The iPhone 5 listed for sale on Kogan is model A1429, which is a global GSM variant of the iPhone. This is the same model that Apple will sell in Australia when it goes on sale next Friday 21 September, though Kogan's model is a grey import device sourced from Hong Kong.

A grey import tech product is one that is imported from another country without the permission of the intellectual property owner, in this case Apple. This can be achieved by an Australian business that buys the product overseas and then sells it online, or simply an International business that will ship the product to Australia.

Apple's Web page lists the official network specifications of the A1429 model iPhone 5. It will work on all Australian 3G networks (850, 900, 2100 MHz) and will also support the 1800MHz 4G LTE networks operated by Telstra and Optus, and Optus MVNO Virgin Mobile.

Apple manufactures three different iPhone 5 SKU's to meet compatibility with mobile network standards across the globe.

Related content

Apple iPhone 5 preview
Apple's iPhone 5 is 4G for Australia, too
Apple iPhone 5 vs. Apple iPhone 4S: What's the difference?
Apple's iPhone 5 'Lightning' adapters will retail for $35 and $45, not available until October
Apple iPhone 5 Australian buying guide
A Note about grey import smartphones

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Ross Catanzariti

Ross Catanzariti

PC World

Comments

Mark

1

So just why are iphones twice as expensive here as they are in the US?

The US prices are $199, $299 and $399 respectively.

With the Aussie dollar being at parity and above the US dollar for most of the past year, there's no way they can justify charging nearly twice as much.

Another obscene example of Aussie consumers getting gouged. It's outrageous.

Ezo

2

Mark that's for a 2 year contract. This is outright.

Cory

3

@Ezo on Telstra, the iPhone 5 64GB (on a half decent plan with 1.5GB data p/mth... Very low data) is AUD$650 - $77 p/mth for 24 mths. Their lowest byo plan is $50 p/mth, therefore the iPhone 5 will cost you $27 p/mth. This is double the parity cost from the U.S. It's clear price gouging. Aussies will either buy their handsets OS, or avoid ip5 altogether as this release doesn't justify it's AU price tag.

Luke

4

@ Cory and @ Mark,

The prices Mark quoted are for 2 year contracts with the phone companies.

The 16GB iPhone 5 is AU$799 (including 10% GST) compared to US$649 PLUS taxes (varies by state).
The 32GB iPhone 5 is AU$899 (including 10% GST) compared to US$749 PLUS taxes (varies by state).
The 64GB iPhone 5 is AU$999 (including 10% GST) compared to US$849 PLUS taxes (varies by state).

Without taxes that equates to AU$726, AU$817 and AU$908 respectively. Also, just because the official exchange rate is AU$1 = US$1.03 does not mean that is what you get - just try and buy some US$ at a bank or exchange company - the official rate is just that, the banks and funds traders then make their profit by exchanging money at a different rate.

This is far from double the price. In this case the US phone is a different model (it does not work in Australia) so no doubt Apple actually have bigger volumes for the US version. So you can't buy the US phone and use it here. That isn't Apple's fault (they would prefer ONE model world wide) that is the fault of the governments and phone companies that have used different frequencies and technologies for their mobile networks, especially for LTE 4G.

Now the fact that AT&T and Verizon subsidise the phone a lot more than Telstra and Optus is not Apple's fault, that is due to the fact that there are 22 million people in Australia and 380 million in the US. The US phone companies have far more customers per kilometre of infrastructure than Australian companies ever will.

Aussies need to stop whinging - we live in a BIG country with a small population - things will always cost more for services like roads, telecoms etc. If you don't like this - move to Singapore, Hong Kong or the US - where there are more people to cover the fixed costs of building a mobil network, public transport and broadband.

The one good thing we do have in Australia is that UNLIKE AT&T and Verizon, at least Telstra and Optus build nation wide networks, so if you sign up, you can travel to every city and get good coverage. Google how AT& T customer can travel to certain cities (not small towns - cities) and get rubbish coverage.

Do we pay more than US consumers - YES but with 1/20th of the population in a country almost as large, this is not surprising.

Ian P

5

Well said Luke - sums it up perfectly

Brian

6

@Luke the iPhone 5 (GSM) sold in the U.S. DOES work in Australia on 3G (but not 4G).

@Ezo an in-contract AT&T GSM iPhone 5 can be unlocked for $50 at many after-market dealers.

john

7

mark is such a dumbass with his stupid dumbass question

nihal

8

kogan , i want iphone 5 , iam nihal my mob no is +9195676293 call me soon

Expert

9

Nihal, u r iphone 5 is on its way. You ll receive it in 15 days.

Robert Lopez

10

If anyone purchases a iPhone 5 from kogan is not warranted by apple store all around Australia.
Kogan purchases all their stock international company, the international iPhone 5 or 4 have different network and code. There for the apples store all around Australia will not support this device. I just learned all this after a visit in apple store this morning and telling them about my iPhone 5 is not working and they agree to replace it , but after checking all the details they apologised that they can not replace it because it is from Kogan..

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