In order to overcome the cut throat competition from other high-end devices like Vodafone’s BlackBerry storm, T-Mobile has cut G1 Google phone monthly tariff prices by £10. According to T-Mobile, the £10 tariff price drop is intended to keep the G1 competitive in the market and is not a reaction to poor sales. At the time of release, it was available free on tariffs from £40 per month, but is now offered on a £30 per month tariff. ‘We have chosen to offer the device free with a £30 contract to make the pricing more competitive in light of recent device launches. We are well on track to achieve our sales forecasts,’ T-Mobile spokeswoman said.

‘The G1 is T-Mobile’s best selling handset by a long shot. Core customers are getting excited by the product,’ Andrew Coull, T-Mobile Retail Director, said. It is speculated that the lower price will expand into the market of consumers who are unaware of the product’s capability.

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