Russian Retailers Unveil Latest iPhone Model, Bypassing Apple's Export Restrictions
Russian retailers M.Video-Eldorado and MTS have launched pre-sales of the iPhone 16, bypassing Apple's export ban. The phones are likely entering Russia through parallel imports from countries not imposing sanctions. Prices for the new iPhones in Russia are significantly higher than in the US, with differences ranging from US$400 to over US$1,000.
Leading electronics retailer M.Video-Eldorado and mobile network operator MTS have announced pre-sales of the iPhone 16, marking a significant development in the ongoing saga of tech availability in Russia.
Both companies claimed to be the first in Russia to unveil Apple's latest offering, with M.Video promising deliveries as early as next week. MTS, while not providing an exact date, indicated that physical sales would commence very soon. This move comes more than two years after Apple halted all product sales and services in Russia following Moscow's invasion of Ukraine in March 2022.
The availability of these devices in Russia highlights the challenges global companies face in controlling their supply chains after exiting a market. The phones are likely entering the country through what's known as parallel or grey imports, a scheme endorsed by the Russian government for brands that have ceased direct exports to the nation.
While the exact route these iPhones are taking to reach Russian consumers remains unclear, it's believed they are being imported through countries that haven't imposed sanctions on Russia, such as Turkey, Kazakhstan, China, India and the United Arab Emirates.
The price difference between the US and Russian markets is substantial. M.Video's pre-order prices start at 112,999 roubles ($1,225) for the 128GB iPhone 16, which is over $400 more than the US price of $799. The top-end 1TB iPhone Pro Max is available for a whopping 249,999 roubles (US$2,710), compared to the US price of $1,599. MTS is offering similar prices, with a required deposit of 25,000 roubles for pre-orders.
This price disparity reflects the additional costs and risks associated with importing these devices through unofficial channels. Despite the inflated prices, the demand for Western technology remains high in Russia, underscoring a potential vulnerability that Moscow aims to address through increased domestic production.
The Russian government has taken steps to reduce reliance on Western technology, particularly in sensitive sectors. The Kremlin has advised officials to stop using iPhones, citing concerns about potential surveillance by Western intelligence agencies – a claim that Apple has vehemently denied.
• Russian retailers M.Video-Eldorado and MTS have launched pre-sales of the iPhone 16, bypassing Apple's export ban.
• The phones are likely entering Russia through parallel imports from countries not imposing sanctions.
• Prices for the new iPhones in Russia are significantly higher than in the US, with differences ranging from US$400 to over US$1,000.
Source: REUTERS