iPhone 5 users face extra £120 charge for high-speed 4G
And that's despite the fact that 4G is cheaper to run for phone companies than existing 3G
APPLE fans who forked out for the new iPhone will reportedly have to pay an extra £5 a month – or £120 over the course of a typical two-year contract - to connect to the country's first 4G network.
The new 4G service offers faster internet access, enabling users to download music and videos more quickly than those using the existing 3G services.
The additional charge was not revealed when the iPhone 5 went on sale at the end of September. But according to The Times, Everything Everywhere (EE), the mobile phone company launching the 4G network on October 30, has admitted that it will charge a premium for 4G, which is up to ten times faster than existing mobile networks.
Yet This is Money claims 4G technology is actually cheaper to run for the phone companies than the existing 3G services used on iPhones. EE has blamed the premium cost on increased spending on infrastructure.
The company, which owns T-Mobile and Orange and has 27 million customers in Britain, has spent £1.5 million a day upgrading its network over the past year as it readies itself to launch 4G services. It will be the only operator to do so, as the likes of Vodafone and O2 have to wait for the auction of a new batch of airwaves at the start of next year.
A spokesman for EE said: "Our new superfast 4G service is a premium product that will allow you to do significantly more, significantly faster. The new plans are designed to be both accessible and affordable and in some instances will even introduce savings for heavy users."
EE's 4G service will initially be available in 16 cities covering 20 million people. Customers can opt not to upgrade to avoid the higher contract costs.