Thursday, October 15, 2009

iPhone and Starhub


Recently, Starhub had lost the rights to the English Premier League to Singtel. Then, M1 inked a deal with iPhone to begin selling it at the end of the year.

When talking with a friend, there was a way Starhub could anti-competitively deal with the iPhone. Typically in Singapore, handphone are subsidized and telecom companies earn the money mostly through the subscription contract. Therefore, Starhub could snap up the iPhones available with the cheapest plan and don't use any data. However, this is assuming iPhone users typically exceed data usage and contribute a lot of revenue to Singtel or M1.

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