ChiPhone fails to ignite consumer frenzy

Legal iPhones have been available in China since last Friday, but Chinese consumers aren't falling over themselves to buy the pricey smartphones.

But don't let the low sales figures fool you.

At first blush, the steep prices China Unicom is asking for the phones may be a major stumbling block. The loss-leader of the line, the 8GB iPhone 3G, runs a cool 4,999 yuan ($732, £445). Neither is the 16GB 3GS a bargain buy at 5,880 yuan ($861, £524), and the top-of-the-line 32GB 3GS commands a princely 6,999 yuan ($1,024, £623).

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