There's a reason why Apple wanted the different model originally - it was simple and NOT designed to screw the customer! One simple price, simple activation and set up, wether you were new or an old AT&T customer, you could get the phone with 2-yr. contract for the same price. I think that's still how it'll work though, contract extension = 199 iPhone, but the iPhone 1 business plan was still much more... Apple.
I had no idea that US phone networks raped Americans as much as this.
With such high subsidised prices (compare that with the potential for FREE subsidised phones and iPhones in UK) and long contracts (most UK ones have been 12 months for a long time, 18 months is becoming more widespread now) its no wonder that mobile phones haven't been as popular as they are in Europe.
I guess this explained the popularity of the original iPhone!
MatthewJ, not that I ever enjoy defending AT&T, but think about the land mass of the UK, and then think about the land mass of the USA. Then consider that all of these plans have nationwide roaming. Now think about why they charge more here.
I encourage ALL haters of Engadget's Applephilia to STOP CLICKING on Apple-related posts. Why? Because every time you do, you're supporting Engadget by allowing them to show you more ads and therefore rake in the money while you vent your frustration, which ultimately gets responded to by 500 Apple lovers that feed on anti-fanboy comments. In turn, that provides the big E with even more money. If you don't want to see so many Apple posts, then by God stop enforcing the behavior with your time and by giving them revenue!
Engadgetluvsappl, or perhaps ALL of these replies relate to your original comment, since it was meaningless. What the hell is "sigh" supposed to mean without context, fool?
@Dave: Yeah, I understand the logistics of their argument, however, most of the European carriers are now owned by the same 4-5 companies, and Europe as a continent is comparable in landmass to the US, so its not really a reasonable excuse in my opinion.
Also, it should be counterbalanced by the fact that there are more people in the US, which means theres still the same amount of customers per unit of area.
It really pisses me off that I can't walk into a Apple store, purchace a new iPhone 3G to gain the GPS abilities which is all i want, and just move my service over to it. I dont want 3G data, and I dont want to pay an addition $10 for 3G and who knows what for Text messaging. I like my service the way it is, and i'm willing to spend $400 for a the same phone with GPS and a little more space. I dont get it.
Yes, you are correct. The American mobile market is much less competitive in regards to Subsidized handsets. Apparently In the UK and other parts of Europe, you can easily get a 8GB N95 or pretty much any other high-end phone (even those costing $700-$900) COMPLETELY FREE on contracts. Also, carriers in the USA do not provide a staggered level of subsidy depending on how much your monthly plan/tariff is. They do give you a better subsidy if you sign up for a 2-year contract versus a 1-year contract.
Overall you'll usually never see a subsidy in excess of $300, and the average would be $100-$200 off the retail price. If I want to buy a new HTC, Samsung, or Blackberry Smartphone, I would pay somewhere around $300 depending on the retail price of the device.
@Mr. S, if you only want GPS on top of the current iPhone's functionality, aren't their better options out there besides the iPhone? I'm with you on not wanting to go with AT&T. I love T-mobile and plan to be with them indefinitely. If the upcoming iPhone was compatible with T-mobile's upcoming 3G band, I'd consider figuring out a way to get it for T-mobile. But since it doesn't, I'll look for something else to replace my current N76 (would prefer something Symbian and similar to my wife's N82, but w/ T-mobile compatible 3G Bands).
"Apparently In the UK and other parts of Europe, you can easily get a 8GB N95 or pretty much any other high-end phone (even those costing $700-$900) COMPLETELY FREE on contracts."
That's correct. A Nokia N95 8GB doesn't cost a dime on a $60 (inc. tax) per month plan in the UK.
*sigh*? There's one fantastic piece of information there - and that is that AT&T is ::considering:: offering an unsubsidized, contract-free version of the phone. I, for one, would consider that an excellent deal (although with an ETF of $175, you might as well sign the contact and just cancel whenever you get disgruntled enoygh - since it becomes a question is whether you pay the money now or, potentially, later).
Reader Comments (Page 1 of 1)
Engadgetluvsappl @ Jun 13th 2008 12:28PM
*sigh*
d @ Jun 13th 2008 12:46PM
There's a reason why Apple wanted the different model originally - it was simple and NOT designed to screw the customer! One simple price, simple activation and set up, wether you were new or an old AT&T customer, you could get the phone with 2-yr. contract for the same price. I think that's still how it'll work though, contract extension = 199 iPhone, but the iPhone 1 business plan was still much more... Apple.
Dave @ Jun 13th 2008 1:02PM
To whomever said it in the last 3G iPhone post yesterday, you were so right about this being the "fluff" stage of the marketing of this device.
James Cameron @ Jun 13th 2008 1:05PM
Didn't know engadget turning into AT&T support center.
moa @ Jun 13th 2008 1:14PM
Apparently you can pre-order unlocked, no contract iPhones 3G already, for a price of ~340$ per 8GB model:
http://cgi.ebay.co.uk/Apple-3G-iPhone-just-only-159-Pre-order-now_W0QQitemZ260250283244QQihZ016QQcategoryZ152987QQssPageNameZWDVWQQrdZ1QQcmdZViewItem
MatthewJ @ Jun 13th 2008 1:17PM
I had no idea that US phone networks raped Americans as much as this.
With such high subsidised prices (compare that with the potential for FREE subsidised phones and iPhones in UK) and long contracts (most UK ones have been 12 months for a long time, 18 months is becoming more widespread now) its no wonder that mobile phones haven't been as popular as they are in Europe.
I guess this explained the popularity of the original iPhone!
Dave @ Jun 13th 2008 1:28PM
MatthewJ, not that I ever enjoy defending AT&T, but think about the land mass of the UK, and then think about the land mass of the USA. Then consider that all of these plans have nationwide roaming. Now think about why they charge more here.
Engadgetluvsappl @ Jun 13th 2008 1:35PM
How do ANY of your replies relate to my original comment?
Get in line, fools.
John @ Jun 13th 2008 1:37PM
I encourage ALL haters of Engadget's Applephilia to STOP CLICKING on Apple-related posts. Why? Because every time you do, you're supporting Engadget by allowing them to show you more ads and therefore rake in the money while you vent your frustration, which ultimately gets responded to by 500 Apple lovers that feed on anti-fanboy comments. In turn, that provides the big E with even more money. If you don't want to see so many Apple posts, then by God stop enforcing the behavior with your time and by giving them revenue!
MBN @ Jun 13th 2008 1:49PM
Engadgetluvsappl, or perhaps ALL of these replies relate to your original comment, since it was meaningless. What the hell is "sigh" supposed to mean without context, fool?
MatthewJ @ Jun 13th 2008 1:53PM
@Dave:
Yeah, I understand the logistics of their argument, however, most of the European carriers are now owned by the same 4-5 companies, and Europe as a continent is comparable in landmass to the US, so its not really a reasonable excuse in my opinion.
Also, it should be counterbalanced by the fact that there are more people in the US, which means theres still the same amount of customers per unit of area.
Engadgetluvsappl @ Jun 13th 2008 1:54PM
Read the damned name, fool.
ill trooper @ Jun 13th 2008 2:23PM
Do the replies relate to "*sigh*"?
Who cares?
Not liking the 'reply' heat? Stay out of the kitchen. It's not that big of a deal, plenty of room on the internets for all these opinions!
Sean @ Jun 13th 2008 2:26PM
@ John:
You said "[...] that provides the big E with even more money"
What you meant to say "little e"
There's no big E in engadget!
Mr. S. @ Jun 13th 2008 2:41PM
It really pisses me off that I can't walk into a Apple store, purchace a new iPhone 3G to gain the GPS abilities which is all i want, and just move my service over to it. I dont want 3G data, and I dont want to pay an addition $10 for 3G and who knows what for Text messaging. I like my service the way it is, and i'm willing to spend $400 for a the same phone with GPS and a little more space. I dont get it.
loosely_coupled @ Jun 13th 2008 4:13PM
Matthew J:
Yes, you are correct. The American mobile market is much less competitive in regards to Subsidized handsets. Apparently In the UK and other parts of Europe, you can easily get a 8GB N95 or pretty much any other high-end phone (even those costing $700-$900) COMPLETELY FREE on contracts. Also, carriers in the USA do not provide a staggered level of subsidy depending on how much your monthly plan/tariff is. They do give you a better subsidy if you sign up for a 2-year contract versus a 1-year contract.
Overall you'll usually never see a subsidy in excess of $300, and the average would be $100-$200 off the retail price. If I want to buy a new HTC, Samsung, or Blackberry Smartphone, I would pay somewhere around $300 depending on the retail price of the device.
Shahryar @ Jun 13th 2008 4:17PM
@Mr. S, if you only want GPS on top of the current iPhone's functionality, aren't their better options out there besides the iPhone? I'm with you on not wanting to go with AT&T. I love T-mobile and plan to be with them indefinitely. If the upcoming iPhone was compatible with T-mobile's upcoming 3G band, I'd consider figuring out a way to get it for T-mobile. But since it doesn't, I'll look for something else to replace my current N76 (would prefer something Symbian and similar to my wife's N82, but w/ T-mobile compatible 3G Bands).
deadock32 @ Jun 13th 2008 5:45PM
You can totally buy an Iphone without a contract... just get the Iphone3G and then end you 2 year contract and pay the early termination fee. SIMPLE
Twitchy @ Jun 13th 2008 8:28PM
Q:"We ask: What is the penalty for not activating the phone in 30 days? How will that be enforced?"
A: Ninjas.
Rich @ Jun 14th 2008 10:18AM
"Apparently In the UK and other parts of Europe, you can easily get a 8GB N95 or pretty much any other high-end phone (even those costing $700-$900) COMPLETELY FREE on contracts."
That's correct. A Nokia N95 8GB doesn't cost a dime on a $60 (inc. tax) per month plan in the UK.
Matt Vanandel @ Jun 16th 2008 1:22PM
*sigh*? There's one fantastic piece of information there - and that is that AT&T is ::considering:: offering an unsubsidized, contract-free version of the phone. I, for one, would consider that an excellent deal (although with an ETF of $175, you might as well sign the contact and just cancel whenever you get disgruntled enoygh - since it becomes a question is whether you pay the money now or, potentially, later).