China Unicom iPhone sales could be impacted by lack of WiFi and high price

Tonight marks the launch of the Apple iPhone in China, after China Unicom struck a three-year agreement with Apple in August to sell the popular smartphone, as we reported.

The device, however, does not come with the WiFi chipset that would enable users to connect to high-speed local networks, something that analysts say could hurt sales, the Associated Press reports.

Price could also hurt sales of the phone. China Unicom's iPhone lineup ranges from 4,999 CNY (US$732) to 6,999 CNY (US$1,024) while black market street costs for iPhones range lower. An iPhone 3GS with WiFi capability costs 5,700 CNY (US$834), 20 percent lower than China Unicom's top-of-the-line iPhone that excludes the wireless LAN technology. The carrier has said that it hopes to include the WiFi chipset in future models.