Iphone 4S is a hit on Chinese grey market

FRUIT THEMED Apple's latest smartphone, the Iphone 4S is proving to be a hit everywhere, even in countries where the company isn't selling it.

In China, where users are probably being offered a copied alternative already, the handset is commanding an impressive £1,092 for the Iphone 4S 16GB model.

The Associated Press found that Apple's recently released mobile phones were easy to find, and found a 16GB model for $1,720 (£1,092).

The Iphone 4S is not expected to be available through normal channels in China until later this year, but the AP found stores that had already sold out of their grey market stocks.

"We don't have any more, it will be next Tuesday at best," said one store owner in China's Silicon Valley shopping district. "Today we have got two from Canada, they're 11,000 yuan ($1,720) each. If you're interested, you need to come straight away," added another.

Apple launched the Iphone 4S in the United States, Canada, Australia, the United Kingdom, France, Germany and Japan on Friday. The Asia News Network reports that the iconic smartphones have turned up in China via scalpers that were paid to queue up in those countries to buy handsets.

"We often pay scalpers US$100 (S$127) to get the phone sets at Apple stores in the United Kingdom or other European countries," explained Zhang Tao, a staff member from the Jingxinjiahe Digital Store.

"Then somebody will take the phones to Hong Kong and then to the mainland. We cover the flights and other expenses." µ