What happens when you offer what may be the world's most sought-after tech toy to the world's most populous nation?
Everyone is asking that question, now that wireless-service provider China Mobile
The deal is not done, however, because one major sticking point remains -- how much revenue China Mobile will kick back to Apple's Cupertino, Calif., headquarters. While AT&T
I'm sure the same baggage will follow the iPhone into Asia as it did in the U.S. and Europe, though -- many will criticize the high price, slow Web access, and locked features. Unless Apple hustles a next-generation iPhone to market in China next year, the device will probably carry the same limitations.
While the iPhone is reportedly selling briskly in its initial debut in the U.K. and Germany, investors should keep their euphoria in check. More and more of China Mobile's subscribers are prepaid users from rural areas -- not exactly the kind of users with high levels of disposable income. While anxious early adopters in the U.S. and Europe will sacrifice a few fancy dinners each month for the iPhone, many in China still struggle to afford even the ultra-low-cost phones from Nokia
Still, I'm sure the Asian elite will camp out for the iPhone. And just as hot tea becomes more palatable as it cools, I expect millions of Asians to warm up to Apple as the iPhone's price drops and new generations roll out in the coming years.
For more Foolishness:
Though he's not a big fruit-pie fan, Fool contributor Dave Mock has warmed up to homemade apple pie -- a la mode, of course. He owns shares of Motorola. Dave is the author of The Qualcomm Equation. Vodafone is an Inside Value recommendation. France Telecom is an Income Investor recommendation. The Fool's disclosure policy gives out happy faces and gold stars to good boys and girls.
More from The Motley Fool
3 Great Reasons to Buy Apple Stock
Even after years of market-crushing returns, the tech behemoth is still a fantastic bargain.
How Many iPhones Did Apple Inc. Sell in Q1?
The tech giant is expected to crush its quarterly record for iPhone sales.
How Tax Reform Made Corporate America Bring Trillions Home
The changes to corporate tax laws were more aggressive than initially expected.