Airtel to bring iPhone 3GS to India "in the coming months"

India is the second largest populated country, just like people India has another thing in abundance – “cell phones”. However, the country has few iPhones, due to the high price compared to the Nokia handsets, which have captured the small but growing smartphone market in the world’s second largest country. And finally - nine months after the device's worldwide launch - the iPhone 3GS will be available in India through the country's largest wireless carrier, Bharti Airtel.

The iPhone was only introduced in Indian customers by Airtel only in August 2008. But the lack of carrier subsidy for the device keeping prices high and the absence of a nationwide 3G data network (even EDGE coverage is spotty) has hampered sales. Apple eventually added a second carrier, Vodafone, but that carrier charges extra for data usage, making the iPhone even more expensive from the competitors. Also, iPhone users on either Airtel or Vodafone can't use Visual Voicemail on their phones, and iTunes is not available for music downloads, only apps.

Airtel announced on Friday that iPhone 3GS will arrive in India at some point “in the coming months," without elaborating. According to the Airtel’s website, the 8GB iPhone 3G will still be available, with 16GB and 32GB variants of the iPhone 3GS, going on sale at the carrier's retail stores only, and will be sold without a contract, but the baseband will be locked to Airtel’s network only. Existing 3G users can just swap their Airtel SIM into the new device.

Pricing has not been announced, but the 8GB 3G model currently sells for over 30,000 rupees or greater than $700 US, while 16GB iPhones cost Rs36,000. Unlocked phones are available on the gray market for as little as Rs20,000.

The only 3G network operators in India are the government-owned BSNL and MTNL carriers. The government was supposed to hold auctions for 3G spectrum licenses a number of times in the past couple of years but they have repeatedly been delayed for various reasons. Currently scheduled for April, the auction will award licenses to carriers, taking effect in September, to operate 3G networks throughout India. Both Airtel and Vodafone have applied for licenses.