The Fine Print: AT&T Disappoints On iPhone Upgrades
The 16 GB version of the iPhone 3G S, the model released Monday, goes on sale through AT&T (NYSE: T) for $199, the same price as the iPhone 3G, which now drops to $99. Attractive prices, definitely. But, those prices are only for new customers to the carrier, those who want to upgrade but aren’t at the end of their contract will have to pay much more. The message: once AT&T has you, the heavily subsidized ride is over.
Those who are not coming to the close of their original contract will have to pay an additional $200 for the 16GM model, or $399 in total, and another $300 for the 32GB version, or $499. Not so attractive. For those who don
Why do you make it sound like only "switchers" get the subsidized rate? That's patently false. I'd love to upgrade my iPhone every year, too, but the reality is I signed a 2 year contract in exchange for a device subsidy. But when that contract is up, guess what? I can get a new subsidized iPhone in exchange for signing a new agreement.
The perception problem for AT&T stems from the fact that the first gen iPhone was sold without a subsidy, so when they added the subsidy to the 3G model, they allowed previous iPhone purchasers to upgrade without penalty. That was generous on AT&T's part, and not required by the subscriber agreements. Now, they (rightfully) want to earn the subsidy back per the terms of the original agreement.
There's enough angst out there over this issue without having you hype it up with distorted facts.
I understand the policy, every 2 years you get a chance to upgrade.
What gets me is, I sign a $39.99 2/yr contract (plus data plan and any extras). However, AFTER my two years are up, I continue to pay $39.99 They have recovered the cost of the subsidy, why doesn't the rate go down?
The 3Gs isnt all that much of an upgrade in MHO. Voice, A Compass, and an "Improved" camera? Who buys a phone for the camera? Voice commands arent new. A compass? Are soldiers taking their iPhones on LandNav courses?
There is no significant value added to the new 3Gs worth what they want to charge. Sure, it's "faster" but how much faster? My 3G is pretty fast, plays music, video, and the few games and apps I have on it work fine. It's like going from 1Ghz to 2Ghz and all you do is use Word. Did you *really* notice that Word opened .005% faster?
C'mon people, it's a *phone*. Yes it's neat, but it's still just a phone.
the rate doesn't go down because they are now hoping to make a profit.
What would be nice is an insurance plan for this phone. I lost my original phone in May, had to pay out to get an new phone and now I can't upgrade as was my original plan.
I find that the 3G phone is lousy on battery life, I wish for my original phone