Talking tech since 2003

Planning on buying a shiny new iPhone 3G S?  Got your wallet out and ready to purchase it?  Hold up just one second.  Below is the pricing for the iPhone 3G S (prices from AT&T).

New customers, or for those eligible for an upgrade:

  • 16GB iPhone 3G S – $199
  • 32GB iPhone 3G S – $299

“Early Upgrade” (Current iPhone owners who aren’t scheduled for their 2 year upgrade yet):

  • 16GB iPhone 3G S – $399
  • 32GB iPhone 3G S – $499

No contract, No commitment price:

  • 16GB iPhone 3G S – $599
  • 32GB iPhone 3G S – $699

The problem is many people upgraded to the iPhone 3G just last summer (or later), which means they are not even 1 year into their 2 year contract. Unlike last year, when original iPhone users received subsidized pricing on the iPhone 3G, the same cannot be said this year for iPhone 3G users looking to upgrade. Instead as mentioned above you will have to pay $200 more than the actual price. That does not include the total of $36 in activation and upgrade fees which are $18/each.

While this may be a typical way the mobile industry handles new phones it just doesn’t make sense when it comes to the iPhone which has been refreshed yearly to date. When you plan on refreshing the phone every year and everyone has 2 year contracts there is absolutely no way you can avoid paying an extraordinary “early upgrade” fee, unless, you don’t upgrade your phone for one year (and how many people truly want to wait? – exactly).

AT&T knows this. They know people love their iPhone’s and are probably willing to pay through the nose to have the latest one – they’re not stupid, however, they are greedy. Why not offer a 1 year contract for iPhone users? I mean, if the phone refreshes yearly, what’s the problem? Customers will be more than happy to purchase the new iPhone at the actual price, and continue to use your service (at least I would).

This just makes me frustrated. I’m curious to know your thoughts – leave a comment.

Comments

Sign in or become a BestTechie member to join the conversation.
Just enter your email below to get a log in link.

Subscribe to BestTechie Plus

You've successfully subscribed to BestTechie
Welcome back! You've successfully signed in.
Great! You've successfully signed up.
Your link has expired
Success! Your account is fully activated, you now have access to all content.