As predicted, the launch of Apple’s iPhone in the UK hasn’t been as smooth as its US counterpart.  Although preliminary research indicates awareness of the slick handset is high – with three-quarters of British customers stating that they were aware of the iPhone and more than a quarter expressing some degree of desire for it – a mere two-percent have put it on their Christmas shopping list with price the single most dissuading factor.  Analyst Richard Jameson, of research firm GfK NOP, blamed existing cellphone culture and the curse of the network subsidy as the primary stumbling blocks:

“We must take into account that the UK mobile market’s success has been down to subsidised handsets, so the iPhone’s price really stands out. Consumers are not used to paying in excess of £200 for a phone” Richard Jameson, GfK NOP

Meanwhile, those who actually have justified the purchase are in some cases discovering that the most holy thing about the Jesus-phone is the coverage.

Apple’s support forums are lighting up with frustrated iPhone owners who are finding patchy, sporadic or just plain confusing signal issues plaguing their new handset.  Some are finding their new phone is unable to lock onto a signal in places other handsets have no problems with at all, while others find the can only connect when their iPhone is in its (powered) dock.  The latter issue has led some to conclude that it could be a battery saving setting gone awry, with full power to the cellular hardware only enabled when on AC rather than running from the battery.  Bluetooth issues – both refusing to connect and very low range – are also being reported, and some have found that performing a restore on the handset seems to fix the problem.

In the image above, one owner compares his iPhone to a Nokia N95 using a Tesco Mobile SIM (Tesco Mobile use the O2 network).  While Apple have apparently quietly replaced some iPhones, O2 themselves are refusing to countenance an issue:

“Of course no network can be 100 per cent ubiquitous, and there will always be pockets where coverage is weak or even unavailable. This would apply to any handset or device, and we’re aware of no particular issues with the Apple iPhone.  The Apple iPhone was subject to extensive testing before it was launched on the O2 network, and it meets all O2′s rigorous network criteria” O2 statement

If you’re having problems with your iPhone’s reception, O2 ask that you contact them.  You could also try taking your handset to your nearest Apple store, and speak to the Genius Bar staff.  If you’re lucky, they may replace it.