O2 Announces iPhone 4 Tariff, No PAYG Yet

Telefonica owned O2 has become the second UK mobile network operator to post details of its iPhone 4 plans and it seems that the operator has hiked up prices with the iPhone 4 available for free for £60 per month for the unlimited package on a two year contract.

Like other contracts, a shorter 18-month contract is available but will cost £5 extra per month. This one gives you unlimited minutes & texts, 1GB UK data and unlimited UK Wi-Fi.

The full list of tariffs, which is available here, also shows that you can expect to pay as much as £323 to get the iPhone 4 32GB if you buy the cheapest monthly contract at £30 per month.

As expected, O2 has implemented new quota limits for the iPhone with the lower three tariffs carrying 500MB limits, the 900 & 1200 minutes, 750MB per month and the unlimited package stuck at 1GB.

This means that the lowest TCO for the iPhone 4 16GB would be £749. O2 has also published a business tariff but it is a carbon copy of the consumer table only without VAT.

That said, the only missing bit is the price of PAYG iPhone 4 on O2. Expect the 16GB version to cost around £449 and the 32GB, £549.

We already know that PAYG iPhone 4 will come with free data and Wi-Fi and that the former will be free up to October 2010 after which users will have to pay £10 per month for 500MB of data.