Friday, December 4, 2009

Japan Hates The IPhone

Apple’s iPhone is junk in Japan, where the handset is selling so poorly it’s being offered for free. What’s wrong with the iPhone, from a Japanese perspective? Almost everything: the high monthly data plans that go with it, its paucity of features, the low-quality camera, the unfashionable design and the fact that it’s not Japanese. In an effort to boost business, Japanese carrier SoftBank this week launched the "iPhone for Everybody" campaign, which gives away the 8-GB model of the iPhone 3G if customers agree to a two-year contract. "The pricing has been completely out of whack with market reality," said Global Crown Research analyst Tero Kuittinen in regard to Apple’s iPhone prices internationally. "I think they [Apple and its partners overseas] are in the process of adjusting to local conditions." Besides cultural opposition, Japanese citizens possess high, complex standards when it comes to cellphones. The country is famous for being ahead of its time when it comes to technology, and the iPhone just doesn’t cut it. For example, Japanese handset users are extremely into video and photos — and the iPhone has neither a video camera nor multimedia text messaging. And a highlight feature many in Japan enjoy on their handset is a TV tuner, according to Kuittinen. What else bugs the Japanese about the iPhone? The pricing plans, Kuittinen said. Japan’s carrier environment is very competitive, which equates to relatively low monthly rates for handsets. The iPhone’s monthly plan starts at about $60, which is too high compared to competitors, Kuittinen added. And then there’s the matter of compartmentalization. A large portion of Japanese citizens live with only a cellphone as their computing device — not a personal computer, said Hideshi Hamaguchi, a concept creator and chief operating officer of LUNARR. And the problem with the iPhone is it depends on a computer for syncing media and running software updates via iTunes. So that would suggest that in Japan, carrying around an iPhone — a nearly year-old handset compared to the very latest Japanese cellphones — makes you look pretty lame.

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