iPhone 4 is now free on Orange UK £50/month

Orange have re-jigged their iPhone pricing strategy making the device range much more accessible.

Most members of the UK public come out in spots when they’re told they have to pay for a phone.  It’s because we’ve had a decade or so of free goodies from the mobile operators in return for long term contract commitment.

I can always spot the surprised customer standing in a Carphone Warehouse store wondering why despite agreeing to a 24-month contract, they still have to stump up cold, hard cash for their Jesus Phone.

Today, Orange has made it a little easier.  You can now pick up an iPhone 4 16GB on a 24-month £50/month contract entirely free.

Free.

Yes you’re committing to pay £50 x 24.  But nobody cares.  Nobody cares as long as the phone is free.

So I predict that Orange will begin to sell a lot more at that price-point.  At the super-sweet spot of £35/month, the 16GB version still costs £119 — enough to dent the monthly budgets of most employees.

The company’s also brought their iPhone plan strategy into line with their wider pay-monthly pricing.  So if for example you agree to take less bundled minutes, you can qualify for a photo messaging bundle, Orange Maps & Navigation or more inclusive data.    That will appeal to many.

The key for me, though, is that the iPhone is now available at a heck of a lot more price points from £30-£75 and on 18 or 24 month price plans.

And if you’d like a top-of-the-range 32GB iPhone 4, stump up £75 per month and the phone will cost you a measly £29… The good news is that, at this price point, you aren’t billed for anything, basically.   Unlimited minutes, unlimited texts, 1GB data, 3GB tethering allowance, 20MB roaming data (per month, I think).  Again, that’s going to appeal to heavy users.

I’m sure we’ll see some updates from the other operators soon.

[My upgrade from 3GS to iPhone 4 with Orange was ridiculously simple.  I logged in online, the order process took perhaps 180 seconds and the iPhone arrived the next morning.  And the activation (swapping my 3GS sim to the iPhone 4 microsim) was painless.  I phoned the automatic activation line and boom, my iPhone was working within 15 minutes.]

Get thee to the Orange Online shop.