iPhone 3G S to be free in the UK, not so elsewhere

The 32 GB iPhone 3G S that will be released very soon will actually be provided for free to UK customers, except the monthly rate is quite high.
In fact, to get this deal, one will have to pay the operator O2 £73.41 (US$120) per month. With cheaper contracts, the phone costs up to £274.23.

In the U.S., the phones will cost $199 and $299 with a contract. In France, the cheapest contract is €39 per month but requires a two-year commitment.

But is the "free" iPhone actually worth it? If you just compare that with France's cheapest contract, it's obvious that the monthly rate is pretty much half (accounting for currency exchange). Extending two years, that could amount to much more savings than simply the free iPhone. For 24 months, if you save a mere $20 (you can actually save more...), then you save a cumulative $480. Now seeing as the price is actually about half, after accounting for the currency rates, I think it's reasonable to think you can save over $50 a month, which means you could be saving thousands with a cheaper contract.

Really, if you don't need all the stuff in the contract, just pay the money for the iPhone. It's not worth wasting thousands just to say you got a "free" iPhone that really cost you much more.

Did I mention that the iPhone OS 3 will be coming out in New York at about 1 PM today?

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