Free iPhone: 16GB, HSDPA-Enabled iPhone Heading to Europe?

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It appears that the recent $200 price drop operated in the US for the iPhone has an explanation: Apple is allegedly introducing the long-expected 3G technology into its keyboard-less smart phone.

I was apparently right to speculate in one of my other articles about the possible reasons behind Apple’s mind-boggling move to cut the price of the UniquePhone by $200. I considered the Cupertino company’s decision just too radical and too unexpected to be explained just through Steve Jobs’ words that he wants that device in the hands of as many customers as possible.

I’m not going to start considering myself a modern-day Nostradamus, but a possible leaked advertisement from Germany indicates that everyone’s beloved phone is finally wrapping up some nice 3G features for the Old Continent.
Moreover, the advertisement indicates that the iPhone will also get more storage space (16GB, the biggest amount of Flash RAM available today on the market from Samsung).

The 3G (HSDPA, short for High-Speed Downlink Packet Access) technology mentioned in the advert is actually a 3.5G technology, since it can provide download speeds that are equivalent to a terrestrial ADSL connection, but without the limitations of the latter. Is an evolution of the W-CDMA (wideband-code division multiple access) and can achieve theoretical data transmission speeds of 8-10 Mbps (megabits per second). However, most HSDPA networks are delivering typical data throughputs of 0.6 – 1.5 Mbps. Though any data can be transmitted, applications with high data demands such as video and streaming music are the focus of HSDPA.
Currently, among all main 3G connections out there, the HSDPA is the most promising and the technology that registers the fastest spreading all over the world. By the end of 2006 there more than 100 million people benefiting from HSDPA in more than 60 countries.

In Europe, business users and consumers in 18 of the EU 25 countries are benefiting from commercial HSDPA services, and network deployments are underway in a further 4 countries. Generally speaking, 3G networks (UMTS, CDMA, EV-DO CDMA, HSDPA) are ubiquitous in Europe, whereas the US has focused its attention on the Wi-Fi networks. There are of course 3G networks in the US too (AT&T, which holds exclusive distribution rights for Apple’s iPhone has one, but coverage isn't quite up to Verizon's and Sprint's levels).

So it’s no wonder that Apple’s interest would be to have a 3G iPhone there, since the built-in Wi-Fi chip would serve no purpose in Europe (or, at least, it would not be a strong point in an advertisement campaign, most European customers considering the 3G capabilities a must for any premium-segment smart phone).

Besides the HSDPA, Apple’s iPhone would also sport UMTS connectivity (which is the real 3G), but the 2Mpixel camera and the voice mail remain unchanged according to the alleged leaked ad.

After the cancellation here in the US of the 4GB iPhone, Apple is apparently ready to offer only the hypothetical 16GB model in Europe, for 499 Euros ($687), including a coupon for the iTunes Store.

The operator that covers the iPhone’s distribution in Germany is- as you may have noticed- Deutsche Telekom’s T-mobile subsidiary, further fueling rumors that the deal had already been signed. T-mobile’s offers all include unlimited data plans and vary only in terms of general calling minutes and SMS messages.

An "L" plan would offer 200 minutes and 100 messages for 50 Euros ($69) per month; "XL" and "XXL" plans would jump to 300 and 400 minutes respectively for 60 Euros ($83) and 70 Euros ($96) per month with 150 and 200 messages each.
The ad also indicates what appears to be the first official launch-date ever to be mentioned (even hypothetically) in Europe, which is November 12. When Apple introduced the iPhone in the US it hinted at Q4 debut of its craved gadget on the other side of the Atlantic, but one pesky aspect of the negotiations probably hindered the Cupertino giant from being more specific.

Of course, any sane person would advise you to take the news with a grain of salt, while tech-savvy people would probably speculate upon this being a photshopped-artwork.

However, there are a few things that make this news credible. First of all, in the recent period, rumors about Apple’s undisclosed plans have generally proven to be correct. One example is related to the photos with the new “fat” iPod Nano and the iPod Touch that were revealed before the special press event held at the Moscone Center in San Francisco last week. Of course, no one thought at a $200 price cut for the iPhone, but that’s another discussion.

Second of all, it’s Apple’s recently disclosed patent licensing agreement with Wireless technology firm InterDigital Inc., for 3G technologies, that is "covering the current iPhone and certain future mobile phones, if any."

And last, but not least, its Infineon’s involvement in the creation and development of the iPhone. The German semi-conductor company, which has a serious 3G patent portfolio, supplies the digital baseband, radio-frequency transceiver and power-management device for the new phone. Infineon's chip content accounts for $15.25 worth of the iPhone's bill-of materials. It would be a lot easier for Apple to integrate Infineon’s 3G technologies in Germany, and the cost (at least for that area) would not increase.

And you may also take a look at an older commercial, also from Germany.
I guess we’ll just have to wait and see what Apple has in store for us…