Blackberry Storm vs iPhone 3G: which is better value?

Danny Gorog
19 November 2008, 8:00 PM


Vodafone is the only telco in Australia to offer the hot new BlackBerry Storm touchscreen smartphone. We've looked at how the pricing stacks up against the iPhone 3G.


Come December 1, the iPhone will have its first real dose of real competition. No, not from another "me too" Windows Mobile device with an animated skin on top, or even from yet another S60 Nokia, but from Research in Motion, a stalwart of the smartphone industry, which is about to unleash its first touchscreen model called the Storm.

We've already covered the Storm in some detail. On paper, the hardware specs look great; fast 3G networking, a stunning display, GPS and a new touchscreen that actually provides feedback (in the form of a tiny vibration when you click).

Putting hardware and interface differences to one side, let's see how the pricing stacks up against the Storm's main rival, the iPhone 3G from Apple.

Apple and RIM come from two very different places. Apple has long been the master of media players. The iPod and the iPhone are perfect examples, both featuring strong multimedia capabilities. But Apple was late to the phone party, and while the iPhone now offers reasonable 'phone and messaging' functionality, it is arguably not on par with BlackBerry.

Blackberry maker RIM has gained most of its success in the enterprise space and are experts in mobile messaging. It has a reputation from customers for building solid, dependable phones with great physical keyboards. The recent growth from RIM has come from a push in to consumer markets, but at best, Blackberry multimedia functionality is average when compared to peers in the marketplace.

I've no doubt that some traditional BlackBerry users are still in a state of shock that BlackBerry has dared to create a full touchscreen model. But in reality, it had no choice. In just 15 months, Apple has gone from having no market share to being the leading manufacturer of smartphones, beating even BlackBerry. RIM had to respond, and it has with the Storm.

Don't kid yourself that the Storm is a business phone. While it may carry a business price tag (like the iPhone 3G), it's squarely aimed at consumers. So how do the plans stack up against comparable plans for the iPhone? In brief: not very well.

Vodafone, an iPhone reseller and the exclusive supplier of the Storm in Australia offers a $69/month cap plan for both the Storm and the iPhone 3G. 

When you commit to a 24 month contract with Vodafone, the Storm handset is $0, while an 8GB iPhone 3G will cost you $2.88/mth. The Storm plan comes with unlimited 'BlackBerry email and internet', however 'Unlimited Internet' only covers using the Internet via the BlackBerry browser on the device.

Video-streaming and downloading files larger than 3MB, are not covered within the cap. Vodafone is pushing people who need more 'unlimited' data towards a 100MB Internet bolt-on for an extra $9.95/month. (Note, this is more expensive than even Telstra, which offers 150MB for $10.)

Although Vodafone used to offer a $49/mth iPhone 3G plan, this has now been discontinued, leaving the $69/mth iPhone plan as the cheapest one. It comes with 250MB of data included, which covers anything you do on the phone, including browser, apps and email -- and for most people, this is effectively unlimited usage.

Step up to more expensive plans ($79, $99, $119 and $149) for the Storm and the iPhone and the iPhone begins to look much more attractive. 

Firstly, an 8GB iPhone is free on any plan above $79 (a 16GB iPhone will set you back $121 but remember the Storm only comes with a measly 1GB on board memory, and a 'bonus' 8GB memory card), and secondly, as you move up through the plans the included data goes from 400MB on the $79/month plan all the way up to 2GB on the $149/month.

Compare this to the Storm plans, where even on the most expensive $149/month you'll be expected to shell out extra for data that you use outside of  'the BlackBerry browser, or for video streaming or downloading large files (larger than 3MB).' Additionally, while the Storm comes with unlimited email we've heard from Vodafone that 'YouTube can be done through the BlackBerry browser but isn't covered under the 'Unlimited' cap and will be charged at 50 cents per MB.'

Another thing to note is that the iPhone has built-in Wifi while the Storm doesn't, so if you expect to be doing extensive browsing on your device you need to be wary of the potential for extra fees. These scenarios also exclude the potential extra fees that users will cop when the Storm App Store goes live, as we've yet to see any concrete information on this yet.

If Storm tanks in Australia because of the relatively crummy pricing compared to iPhone 3G, RIM has no-one else but itself to blame. Doing an exclusive deal with one carrier means there's no competition in the marketplace, so there's no pressure on Voda to offer great plans on this handset.

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McBanjo (New user):

Does anyone here seriously commit themselves to a 24 month plan and stick to it without an early cancellation? Just about every phone company has a new model come out every 6 months, and the iPhone is even updated every year. It's rare that a phones will last for 2 years, they get lost, stolen, broken. Are we all that stupid to think that we're saving money this way? Why not buy the phone outright and save yourself later by being able to switch carriers to the plan that best suits you and your budget?

Now on to my obligatory iPhone rant:

Interacting with a phone when all the buttons are replaced with a screen means that it's important the screen works better than buttons. The iPhone trumps it's competition because of its glass screen and touch technology. You don't need vibration feedback when the screen registers all your touches properly. If you touch the screen on an iPhone, it registers, if you don't, it doesn't.

It comes down to the technology which uses self-capacitance material that changes in resistance when your finger touches the glass. This is years ahead of anything that's out there. Every other phone in the market still (basically) uses two separate films (one conductive & one non-conductive) with electronic sensors that register when they touch together.

Sure Blackberry can make great phones. But wake me up in 3 years when they've actually brought something out that meets the iPhone in the important areas and doesn't try to push a 'pass mark' because it can MMS and the iPhone can't (normally.)

19 November 2008, 9:32 PM (3 years ago)report abuse Send to a friend reply

gankul (User):

its still alot cheaper to get on a 24 month contract and cancel it at 12 months to a year then it is to buy most high end phones outright.

and some companies(like 3) if you get to 18 months start sending you letters about upgrading your phone to something else for 24 months.

In regards to the i-phone touchscreen, yeah it registers, but not always where i want t to register on my finger, obviously more time is needed to learn how to use it properly i guess, but i prefer a keyboard or every keypad.

In regards to blackberry and iphone, i would take a blackberry over an iphone any day.

20 November 2008, 9:47 AM (3 years ago)report abuse Send to a friend reply

xlmama (New user):

I'm in the midst of making a decision of iPhone vs Blackberry... This is prob what will make me choose iPhone lol... Thanks!!

04 May 2009, 12:58 PM (2 years ago)report abuse Send to a friend reply

TV Bis (New user):

Why is everyone waiting for a phone that matches the IPhone? Why have the same phone screen, same functions, just a different name and software?

Vibrating feedback is a great idea especially if you are in direct Sunlight. I have not seen one screen as yet that you can handle strong direct Sunlight so to feel some feedback when clicking is a great idea to me at least.

Pricing way too high on these new phones and being locked into a long term contract is a pain. That being said some people find it easier to be on a plan with zero dollars up front then to fork out the cash at the start. Yes you still end up paying for the phone by the end of the contract but cash these days is getting harder to come by.

It looks like I will still hang onto my LG UB360 for a few more years yet. Can't stand clones - can stand innovative ideas and development so lets not model everything on one new model that happens to have the name IPhone. What makes everything exiting is the differences it has – a choice to buy something that is workable for you and not just something that is the same as everything else.

Before a reply is made to my comments I would just like to say that these are my thoughts only and not intended to suggest that they are correct in any shape or form!

20 November 2008, 9:47 AM (3 years ago)report abuse Send to a friend reply

Hemma (New user):

Quoting TV Bis:
Pricing way too high on these new phones and being locked into a long term contract is a pain. That being said some people find it easier to be on a plan with zero dollars up front then to fork out the cash at the start. Yes you still end up paying for the phone by the end of the contract but cash these days is getting harder to come by.


The problem is, that people no longer seem to see consumer items as something that you buy with cash. With interest free terms, contracts and credit card payments, we're now buying things that we previously couldn't afford and the middle man is making an absolute killing out of it.
If there was no contract, would you still get an iPhone or the Storm? You end up spending 2 years paying it off, basically meaning that you can't go anywhere. Working overseas is pretty much out of the question, unless you are willing to break that contract.

20 November 2008, 10:11 AM (3 years ago)report abuse Send to a friend reply

thepumpboy (New user):

Crackberry has made a HUGE mistake, no WiFi on a 'smartphone'? Forget it, I'm sticking to the iPhone and the rates with Optus is waaaaaay cheaper...

20 November 2008, 10:57 AM (3 years ago)report abuse Send to a friend reply

Hemma (New user):

Something tells me that even if it had Wifi, you wouldn't switch.

20 November 2008, 3:45 PM (3 years ago)report abuse Send to a friend reply

jackygogogo (New user):

Pricing way too high on these new phones and being locked into a long term contract is a pain, there are a place for phone , http://www.mobilephone02.com , how about that/

20 November 2008, 7:11 PM (3 years ago)report abuse Send to a friend reply

JEFFWARANCH (New user):

WHEN WILL A NEW MODEL OF THE BLACKBERRY STORM BE AVAILABLE IN THE MARKET PLACE. MY AT&T CONTRACT IS UP DECEMBER 1st AND I WANT TO SWITCH TO THE "STORM" BUT THE INITIAL UNIT HAS REVIEWER NEGATIVES I WOULD LIKE TO AVOID.
I HAVE HEARD AN UPDATED MODEL IS COMING. DO YOU KNOW WHEN?
JEFFWARANCH@hotmail.com

03 October 2009, 1:30 AM (2 years ago)report abuse Send to a friend reply

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