or Connect
AppleInsider › Forums › Mobile › iPhone › Apple stops shipping iPhone 3G to AT&T stores - rumor
New Posts  All Forums:Forum Nav:

Apple stops shipping iPhone 3G to AT&T stores - rumor

post #1 of 48
Thread Starter 
With two weeks to go before Apple's annual Worldwide Developers Conference, a new rumor states that the handset maker has stopped shipping the 8GB iPhone 3G to AT&T stores.

Boy Genius Report reported Monday that Apple stopped shipping the iPhone 3G, originally released in 2008, to AT&T stores. In addition, new orders for the device are not being accepted. BGR has a respectable track record in revealing the plans of wireless carriers, including AT&T.

"Could this mean we might see the iPhone 3GS drop to $99 and make way for a new model? Or maybe the 3GS would disappear altogether? We're not sure," the report said, "but we're about to find out."

Earlier Monday, Apple revealed that Chief Executive Steve Jobs will deliver the opening keynote for this year's WWDC in San Francisco, Calif. In years past, Apple has used the keynote to introduce the latest iPhone. Last year, the iPhone 3GS was unveiled, and the 8GB iPhone 3G dropped to $99.

Analyst Katy Huberty with Morgan Stanley said she believes Apple will achieve a $50 decline in average hardware selling prices by reducing the iPhone 3GS to $99. She said that iPhone component costs have declined by 10 percent to 20 percent annually, which would allow Apple to reduce the cost of last year's model without affecting its gross margins.

Despite the attractive $99 entry price for the iPhone, Apple executives have revealed that consumers generally purchase the higher end iPhone 3GS models, available for $199 and $299. The average selling price of the iPhone with carrier subsidy included has consistently been just over $600.
post #2 of 48
8 GB iPhone 3G is EOL, 16 GB iPhone 3GS drops to $99, new 4G iPhone starts at 32 GB, $199.
PC Gamer, Musician, Mac Geek. | Jerion.us
Reply
PC Gamer, Musician, Mac Geek. | Jerion.us
Reply
post #3 of 48
You're not going to get a 35GB iPhone for $199. I'm thinking more 16GB/32GB/64GB. With $199 being the bottom model.
Quote:
Originally Posted by Mr. K View Post

16 GB iPhone 3GS drops to $99, new 4G iPhone starts at 32 GB, $199.
post #4 of 48
Cant wait to upgrade from my 8GB 3G phone, its incredibly slow, going to steal some of the wife's cash reserves.
post #5 of 48
Quote:
Originally Posted by BlackSummerNight View Post

You're not going to get a 35GB iPhone for $199.


And why not? I'm not saying you're wrong, just wondering what is your reasoning behind it.
post #6 of 48
I can't imagine this is a surprise to anyone...

Quote:
Originally Posted by AppleInsider View Post


Analyst Katy Huberty with Morgan Stanley said she believes Apple will achieve a $50 decline in average hardware selling prices by reducing the iPhone 3GS to $99. She said that iPhone component costs have declined by 10 percent to 20 percent annually, which would allow Apple to reduce the cost of last year's model without affecting its gross margins.

Does this mean that KH would consider this a "price reduction" even if they keep the prices the same and just improve the hardware? I assumed that by price reduction, she meant $50, $150 and $250 for the new low end and the expected two new models...
Progress is a comfortable disease
--e.e.c.
Reply
Progress is a comfortable disease
--e.e.c.
Reply
post #7 of 48
It lasted 2 years.
3GS should take it's place as the entry level iPhone.
post #8 of 48
3G iPhone is now completely unavailable on my local Apple website.
post #9 of 48
Well I say that, but if they add a 64G, them I think you may be right. I didn't know they didn't offer a 64G iphone already.
Quote:
Originally Posted by ghostface147 View Post

And why not? I'm not saying you're wrong, just wondering what is your reasoning behind it.
post #10 of 48
I think I know why people buy the more expensive models.
Maybe because the phones price on the keynote behind Jobs is not even close to what you pay.
Without a contract a iPhone is atleast 6-700 dollars. More even.

An extra hundred dollars on a 2000 cost of ownership is not gonna sting that much.
Maybe my numbers are a bit off but you get the idea.
I think the pricing on the keynote is just stupid. Where I live all iPhones cost 1 dollar. Any model. The difference is how long the contract and extra cost every month etc.

Doesn't matter what Jobs says. One way or the other, you will pay the 700.


If the price was 199 dollars WITHOUT a contract. Then it would sell like crazy.
post #11 of 48
I think apple should dump the 3GS and only sell the the 4G, it made sense to sell both when they looked the same but selling two radicaly different models of the same thing just isn't apples style IMO.
I think we'll be seeing $199 32GB and $299 64GB, perhaps an entry level 16GB for $99.
post #12 of 48
Quote:
Originally Posted by ghostface147 View Post

And why not? I'm not saying you're wrong, just wondering what is your reasoning behind it.

I don't think it's an unreasonable suggestion. You can't double NAND every year while maintaining the same price point.

I think a strong argument could be made that Apple has changed the design so radically, is using a much better display tech, quadrupling the number of pixels, adding a front-facing camera, ..., other excessive jumps and gimmicky additions because it knows it can't add 64GB at the current 32GB price point.


* These "changes" are still rumours until Apple officially announces them and should be treated as such.
Dick Applebaum on whether the iPad is a personal computer: "BTW, I am posting this from my iPad pc while sitting on the throne... personal enough for you?"
Reply
Dick Applebaum on whether the iPad is a personal computer: "BTW, I am posting this from my iPad pc while sitting on the throne... personal enough for you?"
Reply
post #13 of 48
Quote:
Originally Posted by Joe hs View Post

I think apple should dump the 3GS and only sell the the 4G, it made sense to sell both when they looked the same but selling two radicaly different models of the same thing just isn't apples style IMO.
I think we'll be seeing $199 32GB and $299 64GB, perhaps an entry level 16GB for $99.

I totally agree. Would be a bit tacky to sell the old industrial design along side new one.

BUT I really think Apple should shoot for the $99 price point. The competition is heating up with Android phones. I would like to see Apple and AT&T each take a $100 cut. Apple drops the selling price $100 and AT&T drops the data plan cost $10 a month (ok I know that means AT&T takes a $120 hit....)

I think these price points would make the iPhone sell great.
post #14 of 48
Quote:
Originally Posted by BlackSummerNight View Post

Well I say that, but if they add a 64G, them I think you may be right. I didn't know they didn't offer a 64G iphone already.

Apple doesn't offer a 64GB iPhone yet, but they offer the 64GB iPod touch for $399.

So assuming the ~$400 carrier subsidy continues, Apple could offer a 32GB iPhone 4th Gen for $199 (which is really $599 or $300 more than the comparable iPod touch), and a 64GB version for $299 (which is really $699 or $300 more than the comparable iPod touch).

Someone who wanted a 32GB iPhone would see this revamp as a price cut from $299 to $199. For someone thinking about spending just $99 up-front, it would look like a significant upgrade from 3G to 3GS, and from 8GB to 16GB.
"you will know the truth, and the truth will
set you free."
Reply
"you will know the truth, and the truth will
set you free."
Reply
post #15 of 48
Quote:
Originally Posted by benice View Post

3G iPhone is now completely unavailable on my local Apple website.

it's still available on orange and o2 on the uk website :/
post #16 of 48
Quote:
Originally Posted by BlackSummerNight View Post

You're not going to get a 35GB iPhone for $199. I'm thinking more 16GB/32GB/64GB. With $199 being the bottom model.

Your opinion here is contradicted by the entire history of iPhone releases. It is entirely probable that Mr. K will be completely correct. Or maybe the $99 option will be an iPhone 4 (I'd actually side with Mr. K on that, though). Another possibility is a price drop in light of recent competition and advancement of technology ($49, $149, $249). A price increase? No.
The true measure of a man is how he treats someone that can do him absolutely no good.
  Samuel Johnson
Reply
The true measure of a man is how he treats someone that can do him absolutely no good.
  Samuel Johnson
Reply
post #17 of 48
Quote:
Originally Posted by ghostface147 View Post

And why not? I'm not saying you're wrong, just wondering what is your reasoning behind it.

Seems straightforward to most people, go check the price of NAND and read about the NAND market in general
Number of people in ignore list : 1
Reply
Number of people in ignore list : 1
Reply
post #18 of 48
Quote:
Originally Posted by salmonstk View Post

I totally agree. Would be a bit tacky to sell the old industrial design along side new one.

BUT I really think Apple should shoot for the $99 price point. The competition is heating up with Android phones. I would like to see Apple and AT&T each take a $100 cut. Apple drops the selling price $100 and AT&T drops the data plan cost $10 a month (ok I know that means AT&T takes a $120 hit....)

I think these price points would make the iPhone sell great.

Apple does have a $99 phone so it isn't like it doesn't serve that market or isn't paying attention to it. Whether you will get significantly lower prices, I don't know. In general the prices have been stable for a while and profits are increasing, so the question would be, why change that?
Number of people in ignore list : 1
Reply
Number of people in ignore list : 1
Reply
post #19 of 48
I think the public's gotten used to this notion of a $99 iPhone and it's in Apple's interest to have something at that price point, just like how they have a Macbook priced at $999.

Since Apple has said that the 3GS will be fully capable of running iPhone OS 4.0, I don't see any reason why Apple should discontinue the 3GS. The fourth-generation iPhone will occupy the current $199 and $299 price points.
post #20 of 48
Quote:
Originally Posted by ihxo View Post

It lasted 2 years.
3GS should take it's place as the entry level iPhone.

Actually it shouldn't. they should change them all to the new 4th gen. even if they want to make a low end storage model at only 8gb.

why? because even the 3gs could have issues with things like multitasking. so those folks won't be able to upgrade their software and might not be able to keep their carrier updates going either.

A non tech's thoughts on Apple stuff 

(She's family so I'm a little biased)

Reply

A non tech's thoughts on Apple stuff 

(She's family so I'm a little biased)

Reply
post #21 of 48
Yeah, I'm finally getting an iPhone! So long as the leaked images are for real. I never really cared for the iPhone enclosure design. The leaked images make me drool and make it a must have for me.

Here's to hoping AT&T will discount the data plans and at least not raise the price in any sneeky manner.
post #22 of 48
Quote:
Originally Posted by MacTel View Post


Here's to hoping AT&T will discount the data plans and at least not raise the price in any sneeky manner.

They won't, and they will. Guaranteed.
post #23 of 48
They will offer 4 models of the Gen 4 and get rid of all previous models. Start with a free 4 or 8GB model (depends on what works for Apple's margins but it's important for Apple to combat Android free phones). Then $99 16GB model. $199 32GB model. Lastly, a $299 64GB model.

Boom!
post #24 of 48
Quote:
Originally Posted by BlackSummerNight View Post

You're not going to get a 35GB iPhone for $199. I'm thinking more 16GB/32GB/64GB. With $199 being the bottom model.

This is possible due to the high NAND prices and inflation Apple has to battle, but would be sorely disappointing. I'm really hoping with the 3GS at $99 and 16 gb, the iPhone HD will be $199 32gb / $299 64 gb. It would be great value, and that 64 gb model would be irresistible at that price.
post #25 of 48
Quote:
Originally Posted by JCC View Post

They will offer 4 models of the Gen 4 and get rid of all previous models. Start with a free 4 or 8GB model (depends on what works for Apple's margins but it's important for Apple to combat Android free phones). Then $99 16GB model. $199 32GB model. Lastly, a $299 64GB model.

Boom!

I would be all over that 16GB. I only have 5GB used on my 8GB iPhone 2G, so 16GB would be more than enough for me, and it would be at a sweet $99 price. I'm not holding my breath though.

Just speculating...how would they clear 3GS stock if they priced the new 16GB iPhone at $99?
post #26 of 48
Quote:
Originally Posted by JCC View Post

They will offer 4 models of the Gen 4 and get rid of all previous models. Start with a free 4 or 8GB model (depends on what works for Apple's margins but it's important for Apple to combat Android free phones). Then $99 16GB model. $199 32GB model. Lastly, a $299 64GB model.

Boom!

I doubt the 16GB will be $99 especially if they are still gonna sell the 16GB 3GS. That might come down to $99 and keep the 4G starting at $199.
post #27 of 48
I see the three price structure staying. A free model, then $199 and $299 models.

Quote:
Originally Posted by JCC View Post

They will offer 4 models of the Gen 4 and get rid of all previous models. Start with a free 4 or 8GB model (depends on what works for Apple's margins but it's important for Apple to combat Android free phones). Then $99 16GB model. $199 32GB model. Lastly, a $299 64GB model.

Boom!
post #28 of 48
i highly doubt they will be a free model....AT&T didn't even offer a free model for the refurbished iphones.
post #29 of 48
Quote:
Originally Posted by mark2005 View Post

Apple doesn't offer a 64GB iPhone yet, but they offer the 64GB iPod touch for $399.

So assuming the ~$400 carrier subsidy continues, Apple could offer a 32GB iPhone 4th Gen for $199 (which is really $599 or $300 more than the comparable iPod touch), and a 64GB version for $299 (which is really $699 or $300 more than the comparable iPod touch).

Someone who wanted a 32GB iPhone would see this revamp as a price cut from $299 to $199. For someone thinking about spending just $99 up-front, it would look like a significant upgrade from 3G to 3GS, and from 8GB to 16GB.

They should eliminate the iPod touch altogether and instead make all models iPhones. Difference being, one could simply pay for a month at a time wireless whenever and wherever one wanted, same deal as the iPad.

Proud AAPL stock owner.

 

GOA

Reply

Proud AAPL stock owner.

 

GOA

Reply
post #30 of 48
Quote:
Originally Posted by kiwee View Post

... If the price was 199 dollars WITHOUT a contract. Then it would sell like crazy.

Yes, it would sell like crazy until Apple went bankrupt. It cost Apple more than $199 to make it.

Artificial intelligence is no match for natural stupidity.

 

"A common mistake that people make when trying to design something completely foolproof is to underestimate the ingenuity of complete...

Reply

Artificial intelligence is no match for natural stupidity.

 

"A common mistake that people make when trying to design something completely foolproof is to underestimate the ingenuity of complete...

Reply
post #31 of 48
8GB iPhone supplies started slowing down in Australia a couple of months ago, now they are almost impossible to get, the 3GS models have had slight price drops to compensate.

There seem to be plenty of either colour.
Better than my Bose, better than my Skullcandy's, listening to Mozart through my LeBron James limited edition PowerBeats by Dre is almost as good as my Sennheisers.
Reply
Better than my Bose, better than my Skullcandy's, listening to Mozart through my LeBron James limited edition PowerBeats by Dre is almost as good as my Sennheisers.
Reply
post #32 of 48
Quote:
Originally Posted by kiwee View Post

If the price was 199 dollars WITHOUT a contract. Then it would sell like crazy.

Why stop there?? If Apple sold it for $1, Apple would sell truckloads more!!
post #33 of 48
Quote:
Originally Posted by BlackSummerNight View Post

You're not going to get a 35GB iPhone for $199.

I don't think you're going to get a 35GB iPhone for any price.
13" MacBook Pro 2.26GHz; iPhone 4 32GB
Reply
13" MacBook Pro 2.26GHz; iPhone 4 32GB
Reply
post #34 of 48
Quote:
Originally Posted by JCC View Post

They will offer 4 models of the Gen 4 and get rid of all previous models. Start with a free 4 or 8GB model (depends on what works for Apple's margins but it's important for Apple to combat Android free phones). Then $99 16GB model. $199 32GB model. Lastly, a $299 64GB model.

Boom!

A FREE iPhone, I don't think so. Apple offers a class product and makes a profit selling it. Apple is motivated by profit not volume and I don't think AT&T would be willing to take the profit hit to do so either. It is all about the profit not the volume (market share).

Artificial intelligence is no match for natural stupidity.

 

"A common mistake that people make when trying to design something completely foolproof is to underestimate the ingenuity of complete...

Reply

Artificial intelligence is no match for natural stupidity.

 

"A common mistake that people make when trying to design something completely foolproof is to underestimate the ingenuity of complete...

Reply
post #35 of 48
16g 3Gs will be offered at $99. It is already a tradition. It still sells really good. And you have to get potential customers used to new design, the best way to do so is to sow them both designs side by side and point out why new is better. Plus customers got used to the 99 option and point must be occupied.
MacBook 5,1, MacPro 4,1
Reply
MacBook 5,1, MacPro 4,1
Reply
post #36 of 48
Quote:
Originally Posted by sflocal View Post

Why stop there?? If Apple sold it for $1, Apple would sell truckloads more!!

I don't think so supply chain breakdown is inevitable
MacBook 5,1, MacPro 4,1
Reply
MacBook 5,1, MacPro 4,1
Reply
post #37 of 48
Quote:
Originally Posted by BlackSummerNight View Post

You're not going to get a 35GB iPhone for $199. I'm thinking more 16GB/32GB/64GB. With $199 being the bottom model.

Well looks like you just got proven wrong
post #38 of 48
at my Best Buy we are giving the 3G away for FREE with 2 year contract...for at least 2 weeks now...

so here it is...the 3GS will prob stay at $99 for the 16Gb option because it will have 4.0 update

then there will be HD models at 32Gb and 64Gb...and who knows a super expensive 128Gb

we will all have to sit back and watch the mayhem in June...can't wait...4.0 is amazing as a beta 4 now so I can imagine it being crazy great on the new hardware...need to sell some stuff so I have the money come July when my contract is up...yeah
post #39 of 48
Quote:
Originally Posted by salmonstk View Post

I totally agree. Would be a bit tacky to sell the old industrial design along side new one.

Eh...the old style (non-unibody) 13" MB sold alongside the 13" MBP which is pretty much the old industrial design along side the new one.
post #40 of 48
Quote:
Originally Posted by mobility View Post

Seems straightforward to most people, go check the price of NAND and read about the NAND market in general

Gosh, I feel bad not being 'most people' and checking NAND prices. NOT!
Hokey religions and ancient weapons are no match for a good blaster by your side, kid.
Reply
Hokey religions and ancient weapons are no match for a good blaster by your side, kid.
Reply
New Posts  All Forums:Forum Nav:
  Return Home
  Back to Forum: iPhone
AppleInsider › Forums › Mobile › iPhone › Apple stops shipping iPhone 3G to AT&T stores - rumor