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Latest iPhone hits Tokyo streets

Updated Apple gadget offers better Web browsing

Published: Friday, July 11, 2008 12:04 a.m. MDT
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Japan has about 107 million cell phones, or about one for every person. Many of the phones already are 3G, offering the speedy Internet access that the new iPhone will also deliver. The old iPhone used a relatively slow cellular network combined with the ability to use fast Wi-Fi hotspots.

The iPhone is selling in Japan for 23,040 yen ($215) for the 8-gigabyte model, while the 16-gigabyte version costs 34,560 yen ($320).

Whether that's a discount by Japanese standards is unclear. For years, some mobile phones were practically given away for free, but recently, as the market saturated, prices have gone up.

Apple plans to sell its 8-gigabyte iPhone for $199 in the United States and the 16-gigabyte version for $299. The company, based in Cupertino, Calif., says it has sold about 6 million iPhones since last year. It hopes to sell 10 million by the end of 2008.

The iPhone is promising to be an opportunity for third-running Softbank, with 18 percent of the Japanese market, to further wrest consumers away from rivals after wooing them with cheaper fees and eye-catching ads.

Tomohiko Katsu, a 38-year-old banker, said he has rarely lined up for any product in his life but wanted to make sure he got the iPhone.

"All the features come packed in a compact machine," he said. "It's really small for a mobile PC device."

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Katsu was shrugging off the criticism already popping up from some Japanese that the iPhone may be a bit heavy and bulky compared to cell phones common in this gadget-loving nation.

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