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'Free' iPhone comes with a few strings attached

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Anyone want a 'free' iPhone 3G?

Those who do must be prepared to lock into a two-year contract that will cost HK$498 a month with unlimited use of mobile data and basic airtime of 2,200 minutes.

Hutchison Telecom Hong Kong yesterday unveiled a four-tiered tariff programme for the iPhone 3G in an aggressive attempt to lure new customers.

The operator, which had a share of more than 50 per cent of the city's 2.2 million local 3G mobile subscribers in March, today began online pre-registration for customers eager to secure the new iPhone 3G handset from iPod maker Apple before its official release on July 11.

There are three elements to a subscriber plan: the monthly charge; the cost of the handset; and an upfront payment which subscribers get back over the course of a two-year contract.

For a free 8-gigabyte iPhone 3G subscribers must pay HK$4,680 upfront; a 16-gigabyte iPhone 3G handset costs HK$138, but the upfront payment is a further HK$5,322.

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