Wait, hold on. He said he recently bought a new ATT phone, so he isn't eligible for a phone upgrade. AKA, he can't buy the phone for $199/$299. Did you read the article/his comment?
Yes, did you?
The issue is the iPhone is available for $199/$299 with a new 2 year plan (which Keda even quotes) but he is trying to apply that quoted $199/$299 to his current plan.
Users are more than welcome to get a new phone as many times as they like with any plan on any phone service.
However, it's gonna cost. Keda seems to think he should get a new phone for free/discount whenever he wants.
It wasn't publicly known that the iphone would be subsidized. And ATT at the time said that it would be possible to upgrade with no penalties (because they knew as much as we did about iphone subsidies: nothing).
I specifically remember them saying that current *iPhone* subscribers could upgrade with no penalties other than a new 2yr contract, not just anyone with an ATT phone in the generic sense.
1. The pricing is high, and it frankly annoys the piss out of me. $70 for a basic plan? And you know it's not actually $70...it's $80 when you're done with taxes and fees. That's $20 more than I pay now with Verizon..and that's WITH unlimited VZW texting and 500 texts to other wireless carriers.
2. The fact that they claim "unlimited data" is included and then charge another $5 for texts is not right. That means I'm going to spend $85 a month when all fees and taxes are included. Wow. That's $1000 a year! It's $240 more/year than my VZW bill. Over two years that's a $480 difference. But wait...there's still more. I am leaving VZW a little early, so I may get nailed with a $175 early termination fee (which I'll fight). Then I get to buy a $300 iPhone too, with a $36 activation fee.
So let's look at the REAL cost:
$318 iPhone 16GB (with 6% PA sales tax)
$36 activation
$20 essential accessories (car charger, for example).
$175 early termination
$240 more per year service plan
Cost to person like me vs. current phone: $789.00
Wow. It won't stop me from buying one, but damn.
How much more is it to add unlimited 3G data to a VZW plan? That is pretty much a wash. The early termination fee is something you are choosing to do, you dont' have to jump to AT&T right away.
I hope you en't blaming AT&T and Apple for that. The additional charge for SMS is the only thing that seems really bad on AT&T's part. It makes that $10/month increase $15/month for those who want to maintain the same plan features.
So you get unlimited data but 0 text messages are included? Oy vey.
This means that you should stick with messaging apps/services that run over your data plan and avoid using SMS completely (most mobile IM apps do that). I would expect that with the app store you will find plenty of those to choose from.
SMS is an old technology that will die as more and more phones include a data plan in them. Why pay more for something that you already have?
I specifically remember them saying that current *iPhone* subscribers could upgrade with no penalties other than a new 2yr contract, not phones in the generic sense.
I agree with you, but that was keynote and after. That knowledge was not common 6 months ago...
The issue is the iPhone is available for $199/$299 with a new 2 year plan (which Keda even quotes) but he is trying to apply that quoted $199/$299 to his current plan.
Users are more than welcome to get a new phone as many times as they like with any plan on any phone service.
However, it's gonna cost. Keda seems to think he should get a new phone for free/discount whenever he wants.
Granted. While the keynote might have been misleading (through omitted info, not disinformation) which might have caused Keda's dismay, I'm not contesting anything you said right there. I was contesting the tone and plain argumentativeness of your comment (i.e. "You were forced to buy a new phone??" or something to that regard, etc). I think it was evident from his post that he wished to have a new phone but keep his current line (aka, buy a new phone, move the contract to the new phone, not have two contracts). You saying he can have two contracts and in effect implying that he wasn't smart enough to realize and pursue that end is counter-productive and purely argumentative.
But I have already called At&t, and I am not eligible
BUT
I asked him if former At&t Iphone owners will get the lower price, he said yes.
Here is my thinking.
My buddy was going to give his Iphone 1.0 to his wife.. BUT
what if he gives it to me first?
I will get his Iphone after he gets his new one, and then transfer it to me
then after I buy one, (because technically I am an Iphone owner)
I'll hand over the Iphone to his wife after I buy mine for the lower price?
what you think?
If he gives it to you have to switch your current ineligible plan to the EDGE iPhone. That will cost an activation fee and whatever cancelation fee is required. Unlocking and moving the SIM won't make it eligible as the contract will still be under the old handset.
AT&T T announced additional pricing details for Apple's AAPL next-generation iPhone, which the company will begin selling next week, including the disclosure that buyers will have an option to purchase the device without a contract.
AT&T reaffirmed that it will offer the 3G iPhone at a subsidized price to subscribers who are activating a new line with the wireless provider or to current customers who are eligible, at the time of purchase, for an upgrade discount. Those subscribers can buy the iPhone 3G for $199 for the 8-gigabyte model or $299 for the 16-gigabyte version. Those prices require two-year contracts, AT&T said.
Existing AT&T subscribers who don't qualify for an upgrade discount can purchase the iPhone 3G for $399 for the 8-gigabyte model or $499 for the 16-gigabyte device. Both options will require a new two-year service agreement. Current AT&T customers who are upgrading to iPhone 3G will pay an $18 upgrade fee and new AT&T customers will pay the standard $36 activation fee, the company said.
AT&T also divulged the unsubsidized cost of the iPhone 3G, saying it will offer a no-contract-required option for $599 for the 8-gigabyte iPhone or $699 for the 16-gigabyte "in the future." Previously, both Apple and AT&T had not announced plans to sell the iPhone 3G without a service contract.
Shares of AT&T were lately down 1.8% to $33.09. Rival Verizon VZ was losing 0.2% to $35.34. Sprint Nextel S slumped 9.3% to $8.62.
iPhone maker Apple AAPL saw its shares gain 1.9% to $170.68. BlackBerry manufacturer Research In Motion RIMM was adding 1.5% to $118.73, and Palm PALM gave back 4.1% to $5.17.
The new family plan rates make no sense for families with 2 phones. You'd be better off getting two individual accounts. On the low-end plans, it would cost you $10 more per month ($5 more per phone), but you'd be getting 200 additional minutes for that, AND, you could chose the $5 SMS package (200 messages), instead of being forced into an expensive SMS package on the family plans.
For some people, the new pricing won't be that much different from the old. But for others, it will be much more costly.
I was holding out to buy 2 iPhones this month, but now I will skip it. The monthly rates are just too much for too little.
I too, was considering the family plan for the 3G iPhone-I'm glad that the pricing was finally released. I agree with your post-I was initially thinking of getting the plan but it does not make financial sense. I might just hold off on getting a iPhone (s)-not too keen on their pricing plans (and I am a current Cingular/AT&T customer).
Note that the cost of additional minutes on all these plans is under half a cent:
.45c
.40c
etc.
I hope that someone holds them to this. They should also fire the manager that approved this, or send them back to 7th grade and learn how to use decimals.
If you look at AT&T page, they have the same thing for the pay-per-use of text messages. .20c
I am really disappointed with this announcement. Such plan is going to force people to buy those unlocked iPhone. It is too bad that Apple is sticking with AT&T. The new rate increase that was announced when 3G iPhone was announced, was already making rethinking the $199 price and now with this additional bump is making me start looking at Sprint with their Samsung Instinct offering. I was all pumped up to get the new 3G iPhone, but the TCO (Total Cost of Ownership) is now much higher.
I do have one question - If I just bought an AT&T regular cellphone and signed for 2 year contract last month, can I still be eligible for iPhone at $199 ?
I was contesting the tone and plain argumentativeness of your comment (i.e. "You were forced to buy a new phone??"
That is the exact word that Keda used. (which is why I included his quoted text in my original response).
Quote:
"My old phone died in December, and I was forced to buy a replacement"
Quote:
I think it was evident from his post that he wished to have a new phone but keep his current line (aka, buy a new phone, move the contract to the new phone, not have two contracts).
I agree that is what he wants.
However, he was trying to use the info he quoted ($199 with a new plan) to support that.
If he had posted something that said he could get a new phone for $199 on his current contract, then I probably wouldn't have commented.
This may be a general rule for the launch, but AT&T has also stated that 3 units per person is the max in an early memo. Since you and your wife are on the same Family Plan, and are not new customers, I would think you could purchase two handsets. Though I'd call your local AT&T store first to speak with the manager to verify and to potentially solidify the option verbally.
Purchase Limit
The device purchase limit will remain three (3) per customer for iPhone 3G in AT&T stores.
That is what it means. If you are near the end date they can pull you in a little early from what I hear, but I think this depends on the CSR assisting you.
JUST got off the phone with AT&T
and ...
YES: ALL MUST BE STANDING IN LINE to purchase for the FAMILY PLAN. Strict 1-per-person-in-line.
But, she said you could purchase one each at multiple AT&T or Apple stores and 'easily' combine then into one Family Plan without penalties. (but not without hassle!).
I am really disappointed with this announcement. Such plan is going to force people to buy those unlocked iPhone.
Just to be clear, the $599 and $699 price for the un-subsidized, contract-free iPhone is still locked to AT&T.
Quote:
I do have one question - If I just bought an AT&T regular cellphone and signed for 2 year contract last month, can I still be eligible for iPhone at $199 ?
You'll have to contact AT&T to be certain, but if you bought a phone before your eligible date has come you can't buy the iPhone at the $199/$299 price.
If it has been within 30 days, it may benefit you to return your current phone and wait the 10 days for the iPhone.
It wasn't publicly known that the iphone would be subsidized. And ATT at the time said that it would be possible to upgrade with no penalties (because they knew as much as we did about iphone subsidies: nothing). I don't think his buying a cheepo phone with ATT was a reflection of poor foresight, especially if he was planning (as I was) to add $20 or $30 to the plan to get unlimited data (in which case it was good planning/thinking at the time). And no, we didn't expect ATT to eat the cost, we expected ATT to not be subsidizing the phone. Now we're getting slapped an extra $100 for the subsidy (vs the price of 1st gen iphones with similar storage capacity). Not expecting ATT to eat it, just annoyed.
You want to preserve your options because very little was known other than the 3G iPhone was coming soon. So you have several choices if your phone dies before the 3G launch:
1) Buy a used phone somewhere and preserve your upgrade capability.
2) Upgrade to the existing iPhone and hope things work out.
3) Upgrade to the cheapest phone possible and potentially screwing yourself and getting stuck with a cheap phone.
Out of these three options #3 has the crappiest worst case scenario: 2 years with a crappy phone before you can get a subsidized phone again.
But hey, now you have a backup phone you can toss in a drawer so you can avoid this dilemma the next time around and it still only costs you what you budgeted anyway: $399
Comments
Wait, hold on. He said he recently bought a new ATT phone, so he isn't eligible for a phone upgrade. AKA, he can't buy the phone for $199/$299. Did you read the article/his comment?
Yes, did you?
The issue is the iPhone is available for $199/$299 with a new 2 year plan (which Keda even quotes) but he is trying to apply that quoted $199/$299 to his current plan.
Users are more than welcome to get a new phone as many times as they like with any plan on any phone service.
However, it's gonna cost. Keda seems to think he should get a new phone for free/discount whenever he wants.
It wasn't publicly known that the iphone would be subsidized. And ATT at the time said that it would be possible to upgrade with no penalties (because they knew as much as we did about iphone subsidies: nothing).
I specifically remember them saying that current *iPhone* subscribers could upgrade with no penalties other than a new 2yr contract, not just anyone with an ATT phone in the generic sense.
A few issues:
1. The pricing is high, and it frankly annoys the piss out of me. $70 for a basic plan? And you know it's not actually $70...it's $80 when you're done with taxes and fees. That's $20 more than I pay now with Verizon..and that's WITH unlimited VZW texting and 500 texts to other wireless carriers.
2. The fact that they claim "unlimited data" is included and then charge another $5 for texts is not right. That means I'm going to spend $85 a month when all fees and taxes are included. Wow. That's $1000 a year! It's $240 more/year than my VZW bill. Over two years that's a $480 difference. But wait...there's still more. I am leaving VZW a little early, so I may get nailed with a $175 early termination fee (which I'll fight). Then I get to buy a $300 iPhone too, with a $36 activation fee.
So let's look at the REAL cost:
$318 iPhone 16GB (with 6% PA sales tax)
$36 activation
$20 essential accessories (car charger, for example).
$175 early termination
$240 more per year service plan
Cost to person like me vs. current phone: $789.00
Wow. It won't stop me from buying one, but damn.
How much more is it to add unlimited 3G data to a VZW plan? That is pretty much a wash. The early termination fee is something you are choosing to do, you dont' have to jump to AT&T right away.
I hope you en't blaming AT&T and Apple for that. The additional charge for SMS is the only thing that seems really bad on AT&T's part. It makes that $10/month increase $15/month for those who want to maintain the same plan features.
So you get unlimited data but 0 text messages are included? Oy vey.
This means that you should stick with messaging apps/services that run over your data plan and avoid using SMS completely (most mobile IM apps do that). I would expect that with the app store you will find plenty of those to choose from.
SMS is an old technology that will die as more and more phones include a data plan in them. Why pay more for something that you already have?
I specifically remember them saying that current *iPhone* subscribers could upgrade with no penalties other than a new 2yr contract, not phones in the generic sense.
I agree with you, but that was keynote and after. That knowledge was not common 6 months ago...
But I have already called At&t, and I am not eligible
BUT
I asked him if former At&t Iphone owners will get the lower price, he said yes.
Here is my thinking.
My buddy was going to give his Iphone 1.0 to his wife.. BUT
what if he gives it to me first?
I will get his Iphone after he gets his new one, and then transfer it to me
then after I buy one, (because technically I am an Iphone owner)
I'll hand over the Iphone to his wife after I buy mine for the lower price?
what you think?
Yes, did you?
The issue is the iPhone is available for $199/$299 with a new 2 year plan (which Keda even quotes) but he is trying to apply that quoted $199/$299 to his current plan.
Users are more than welcome to get a new phone as many times as they like with any plan on any phone service.
However, it's gonna cost. Keda seems to think he should get a new phone for free/discount whenever he wants.
Granted. While the keynote might have been misleading (through omitted info, not disinformation) which might have caused Keda's dismay, I'm not contesting anything you said right there. I was contesting the tone and plain argumentativeness of your comment (i.e. "You were forced to buy a new phone??" or something to that regard, etc). I think it was evident from his post that he wished to have a new phone but keep his current line (aka, buy a new phone, move the contract to the new phone, not have two contracts). You saying he can have two contracts and in effect implying that he wasn't smart enough to realize and pursue that end is counter-productive and purely argumentative.
Not sure if people have already posted.
But I have already called At&t, and I am not eligible
BUT
I asked him if former At&t Iphone owners will get the lower price, he said yes.
Here is my thinking.
My buddy was going to give his Iphone 1.0 to his wife.. BUT
what if he gives it to me first?
I will get his Iphone after he gets his new one, and then transfer it to me
then after I buy one, (because technically I am an Iphone owner)
I'll hand over the Iphone to his wife after I buy mine for the lower price?
what you think?
If he gives it to you have to switch your current ineligible plan to the EDGE iPhone. That will cost an activation fee and whatever cancelation fee is required. Unlocking and moving the SIM won't make it eligible as the contract will still be under the old handset.
AT&T to Offer iPhone Without Contract
Robert Holmes
07/01/08 - 01:11 PM EDT
Updated from 10:20 a.m. EDT
AT&T T announced additional pricing details for Apple's AAPL next-generation iPhone, which the company will begin selling next week, including the disclosure that buyers will have an option to purchase the device without a contract.
AT&T reaffirmed that it will offer the 3G iPhone at a subsidized price to subscribers who are activating a new line with the wireless provider or to current customers who are eligible, at the time of purchase, for an upgrade discount. Those subscribers can buy the iPhone 3G for $199 for the 8-gigabyte model or $299 for the 16-gigabyte version. Those prices require two-year contracts, AT&T said.
Existing AT&T subscribers who don't qualify for an upgrade discount can purchase the iPhone 3G for $399 for the 8-gigabyte model or $499 for the 16-gigabyte device. Both options will require a new two-year service agreement. Current AT&T customers who are upgrading to iPhone 3G will pay an $18 upgrade fee and new AT&T customers will pay the standard $36 activation fee, the company said.
AT&T also divulged the unsubsidized cost of the iPhone 3G, saying it will offer a no-contract-required option for $599 for the 8-gigabyte iPhone or $699 for the 16-gigabyte "in the future." Previously, both Apple and AT&T had not announced plans to sell the iPhone 3G without a service contract.
Shares of AT&T were lately down 1.8% to $33.09. Rival Verizon VZ was losing 0.2% to $35.34. Sprint Nextel S slumped 9.3% to $8.62.
iPhone maker Apple AAPL saw its shares gain 1.9% to $170.68. BlackBerry manufacturer Research In Motion RIMM was adding 1.5% to $118.73, and Palm PALM gave back 4.1% to $5.17.
The new family plan rates make no sense for families with 2 phones. You'd be better off getting two individual accounts. On the low-end plans, it would cost you $10 more per month ($5 more per phone), but you'd be getting 200 additional minutes for that, AND, you could chose the $5 SMS package (200 messages), instead of being forced into an expensive SMS package on the family plans.
For some people, the new pricing won't be that much different from the old. But for others, it will be much more costly.
I was holding out to buy 2 iPhones this month, but now I will skip it. The monthly rates are just too much for too little.
I too, was considering the family plan for the 3G iPhone-I'm glad that the pricing was finally released. I agree with your post-I was initially thinking of getting the plan but it does not make financial sense. I might just hold off on getting a iPhone (s)-not too keen on their pricing plans (and I am a current Cingular/AT&T customer).
Note that the cost of additional minutes on all these plans is under half a cent:
.45c
.40c
etc.
I hope that someone holds them to this. They should also fire the manager that approved this, or send them back to 7th grade and learn how to use decimals.
If you look at AT&T page, they have the same thing for the pay-per-use of text messages. .20c
Now if this slides into the contract as well...
I have a family plan contract:
2100 minutes for $100.00/mo. + $9.99 each additional line
All phones on plan have expired.
I can get the iPhone 3G 16GB and will only have to pay $30 extra/month for the data plan.
According to the phone rep., you're just re-committing 2 years to AT&T, but your voice plan does NOT change.
very relieved.....
I can get the iPhone 3G 16GB and will only have to pay $30 extra/month for the data plan.
Wow. nice info. you would think it'd be part of the press release! but no, PR people are apparently dumb...
I do have one question - If I just bought an AT&T regular cellphone and signed for 2 year contract last month, can I still be eligible for iPhone at $199 ?
I was contesting the tone and plain argumentativeness of your comment (i.e. "You were forced to buy a new phone??"
That is the exact word that Keda used. (which is why I included his quoted text in my original response).
"My old phone died in December, and I was forced to buy a replacement"
I think it was evident from his post that he wished to have a new phone but keep his current line (aka, buy a new phone, move the contract to the new phone, not have two contracts).
I agree that is what he wants.
However, he was trying to use the info he quoted ($199 with a new plan) to support that.
If he had posted something that said he could get a new phone for $199 on his current contract, then I probably wouldn't have commented.
I don't mind Apple making a profit, that is reasonable, I just don't personally want to fund Steve's trips to the Orient.
If it will make you feel any better, you would also be helping
to fund MY vacation.
This may be a general rule for the launch, but AT&T has also stated that 3 units per person is the max in an early memo. Since you and your wife are on the same Family Plan, and are not new customers, I would think you could purchase two handsets. Though I'd call your local AT&T store first to speak with the manager to verify and to potentially solidify the option verbally.
That is what it means. If you are near the end date they can pull you in a little early from what I hear, but I think this depends on the CSR assisting you.
JUST got off the phone with AT&T
and ...
YES: ALL MUST BE STANDING IN LINE to purchase for the FAMILY PLAN. Strict 1-per-person-in-line.
But, she said you could purchase one each at multiple AT&T or Apple stores and 'easily' combine then into one Family Plan without penalties. (but not without hassle!).
I am really disappointed with this announcement. Such plan is going to force people to buy those unlocked iPhone.
Just to be clear, the $599 and $699 price for the un-subsidized, contract-free iPhone is still locked to AT&T.
I do have one question - If I just bought an AT&T regular cellphone and signed for 2 year contract last month, can I still be eligible for iPhone at $199 ?
You'll have to contact AT&T to be certain, but if you bought a phone before your eligible date has come you can't buy the iPhone at the $199/$299 price.
If it has been within 30 days, it may benefit you to return your current phone and wait the 10 days for the iPhone.
It wasn't publicly known that the iphone would be subsidized. And ATT at the time said that it would be possible to upgrade with no penalties (because they knew as much as we did about iphone subsidies: nothing). I don't think his buying a cheepo phone with ATT was a reflection of poor foresight, especially if he was planning (as I was) to add $20 or $30 to the plan to get unlimited data (in which case it was good planning/thinking at the time). And no, we didn't expect ATT to eat the cost, we expected ATT to not be subsidizing the phone. Now we're getting slapped an extra $100 for the subsidy (vs the price of 1st gen iphones with similar storage capacity). Not expecting ATT to eat it, just annoyed.
You want to preserve your options because very little was known other than the 3G iPhone was coming soon. So you have several choices if your phone dies before the 3G launch:
1) Buy a used phone somewhere and preserve your upgrade capability.
2) Upgrade to the existing iPhone and hope things work out.
3) Upgrade to the cheapest phone possible and potentially screwing yourself and getting stuck with a cheap phone.
Out of these three options #3 has the crappiest worst case scenario: 2 years with a crappy phone before you can get a subsidized phone again.
But hey, now you have a backup phone you can toss in a drawer so you can avoid this dilemma the next time around and it still only costs you what you budgeted anyway: $399