Apple's arrogance seems set to stuff up the launch of the iPhone in China. If Jobs' Mob managed to convince the Chinese that it is fruit themed gizmos were worth buying then the outfit would have been made for life.

However Apple's understanding about how people outside America work has created for itself an own goal which means that the gizmo is doomed. Apple's local partner, China Unicom, hopes the sleek smartphone will give it an edge against giant rival China Mobile, the world's biggest phone company by subscribers. However Unicom's iPhones lack WiFi because it was temporarily banned by Beijing, which was promoting a rival Chinese system and Apple did not want to adapt. The lack of WiFi means Unicom iPhone customers will have to pay to connect to the phone network for every function and could lead to expensive phone bills.

Not only that are they selling a dumbed down phone, but Apple faces tough competition from itself. The Chinese have been importing unlocked, wifi added phones for ages and there is absolutely no reason for the great unwashed to pay huge amounts of cash for a phone that can do less. Analysts say that punters will be cross at Apple for treating them like second class customers while still managing to charge them more than they can afford.

Unicom claims that the outfit it's iPhone package does not just include the handset but post-sales support and a whole package of services, but it is unlikely that line of reasoning will work with the cash strapped Chinese. Already the iPhone launch in China has been delayed because Apple was insisting that the carriers pay it huge amounts of money for the privilege of selling the gizmo.