[kyle6279]

I bought my first iPhone last June (the 3GS) and of course AT&T's regular upgrade won't be available until next year but does anyone know if they have some kind of upgrade option during your original contract term?

I didn't know if they did something like this last year or if this is even an option. Let me know. Thanks.

[ugahairydawgs]

After the first year you can take advantage of the early upgrade prices for the iPhone.

Right now the no contract price for iPhone 3GS models are $699 for the 32GB and $599 for the 16GB. Early upgrade prices are $499 and $399 respectively. I would imagine the 4th generation iPhones will have the same price model.

[Jellotime91]

Actually, if you bought your iPhone in the summer of 2009, you will be eligible for the full upgrade price of $199 or $299. That's how it has been every year since the 3G launch, and other carriers have held true to that as well.

The reason for this is that so many iPhone buyers are return customers, and the carriers want to get those return buyers to stick with them for longer, so they offer an enticing price. It may seem like the carriers lose money, but think about how much you pay them each month... multiply that by several million. They aren't losing money. haha

[rdiddy_25]

Ugahairdawgs is right, u can do an early upgrade but it will be at the higher price point, not the same price as new customers or people eligible for their 2 yr upgrade. I'm an AT&T rep and it's been that way every year the new iPhone drops. Just sell ur 3gs to make up the difference. You'll still come out ahead.

[Jellotime91]

Um.. If you're an AT&T rep why would you have asked that question? And I know for certain that anyone who purchases an iPhone during June-sept is eligible for the new customer price the following year. I took advantage of it myself when I got my 3GS. People have horrible memories huh.

[iphoneedmonton]

Um.. If you're an AT&T rep why would you have asked that question? And I know for certain that anyone who purchases an iPhone during June-sept is eligible for the new customer price the following year. I took advantage of it myself when I got my 3GS. People have horrible memories huh.

Not 100% sure as I live in Canada - but didn't AT&T just allow the upgrade from 3G to 3GS because so many people complained? I don't think they initially planned to allow you to qualify for the fully subsidized price. So until AT&T and other carriers around the world announce upgrade plans, I think it's unfair for you to say for sure you'll be allowed. In the end you may be right, but until it's official you can't say 100%.

[Jellotime91]

I live in Canada as well, and Rogers allowed the upgrade because AT&T did.

My understanding is that from now on the carriers will do this every year. They really want that return business an to keep you under contract with them. Trust me, it will happen again this year. I have no doubt about it. Last year they didn't tell anyone until the day before, this year hopefully they will give more notice (Rogers is really bad at giving notice about anything), but I really do not doubt the outcome will be the same.

[Jellotime91]

Oh and also I asked the representative when I got my 3GS and they actually told me that the same upgrades will be available next year. They aren't always right but I don't think they wouldve told me that if that wasn't the presumable outcome.

[kyle6279]

Wow! Thanks for the info! I appreciate it

[ugahairydawgs]

Oh and also I asked the representative when I got my 3GS and they actually told me that the same upgrades will be available next year. They aren't always right but I don't think they wouldve told me that if that wasn't the presumable outcome.

The rep I talked to on Friday did not say that would be the case, unless you were a full year into your contract.

Anyone who has bought a new one in the past few months may want to double check with their local AT&T store to try and get some clarity on their own for this issue. No need to get your hopes up for the thing and have the anticipation build up only to get AT&T trying to stick you with a $700 bill for the new phone.

[msm0511]

I only got a partial upgrade from the 3G to the 3GS. I remeber everybody pitching a fit b/c they couldn't get the full upgrade price moving from the 3G to the 3 GS.

[rdiddy_25]

Um.. If you're an AT&T rep why would you have asked that question? And I know for certain that anyone who purchases an iPhone during June-sept is eligible for the new customer price the following year. I took advantage of it myself when I got my 3GS. People have horrible memories huh.

I didn't ask any question, just anwered his.

[JustinHorn]

I can only speak for AT&T service, but not everyone can upgrade every year at the full discount. They did this ONLY once with owners of the first gen iPhone being able to upgrade with full discount to the iPhone 3G. The reason for this was those early adopters paid the full price for the original iPhone.

When upgrading from the iPhone 3G to the 3GS the only thing ATT did was allow those users that were about a month away from their renewal period get the full discount. I bought my 3G on July 11th and with my billing I'm eligible for upgrades every 12 month (master line in a family plan). ATT allowed me to upgrade when the 3GS was released instead of waiting till July 11th.

Most people will not be eligible for the full discount until they have hit 18 months out of their 24 month contract. You can however do the early upgrade price as someone else already mentioned. So instead of $299 for the top model, you'll pay $499, but still less than the $699 for full price.

[Jellotime91]

The rep I talked to on Friday did not say that would be the case, unless you were a full year into your contract.

Anyone who has bought a new one in the past few months may want to double check with their local AT&T store to try and get some clarity on their own for this issue. No need to get your hopes up for the thing and have the anticipation build up only to get AT&T trying to stick you with a $700 bill for the new phone.

That's basically what I just said! Although it really doesn't have to be a full year.

In any case, the new iPhone G4 comes out June 22nd or later, so most buyers who want to upgrade will probably already be a full year into their contract, and last year it was anyone who purchased from July - September could upgrade. I believe it will be the same this year but June 19th - end of August.

Just wait and see, I'd bet you $350 (price of a new iPhone on contract) that I am right. LOL

[kyle6279]

I sure hope so. iChat is going to be well worth it!

[Jellotime91]

I can only speak for AT&T service, but not everyone can upgrade every year at the full discount. They did this ONLY once with owners of the first gen iPhone being able to upgrade with full discount to the iPhone 3G. The reason for this was those early adopters paid the full price for the original iPhone.

When upgrading from the iPhone 3G to the 3GS the only thing ATT did was allow those users that were about a month away from their renewal period get the full discount. I bought my 3G on July 11th and with my billing I'm eligible for upgrades every 12 month (master line in a family plan). ATT allowed me to upgrade when the 3GS was released instead of waiting till July 11th.

Most people will not be eligible for the full discount until they have hit 18 months out of their 24 month contract. You can however do the early upgrade price as someone else already mentioned. So instead of $299 for the top model, you'll pay $499, but still less than the $699 for full price.

You're wrong. They did it for 3G - to - 3GS upgrades as well.

Here are the rules, it can get a little misty. But this is what I KNOW for a fact, it's not a theory and it's not just my experience. This is how it happens EVERY YEAR.

1. You must have purchased your iPhone 3GS anywhere from June 19th - Sept 1st.

2. You must be in the "top tier" for price plans, most likely meaning you must be paying an average of $85+ for the majority of your months. If your monthly average is $80~$85 or more, you're pretty much safe.

That's it. You will be qualified for the $199 / $299 price upgrade. That's how it was last year and that's how it will be this year, I guarantee it.

[JustinHorn]

You're wrong. They did it for 3G - to - 3GS upgrades as well.

I'm not. What you are saying is similar to what I said.

What you aren't making clear is this isn't something ATT is doing special for the iPhone, but applies to any phone.

FACT:

When upgrading from the iPhone 3G to the 3GS the only thing ATT did was allow those users that were about a month away from their renewal period get the full discount.

Here is a quote from ATT's special note to customers before the 3GS came out:

We’re now pleased to offer our iPhone 3G customers who are upgrade eligible in July, August or September 2009 our best upgrade pricing, beginning Thursday, June 18.

Here is basically what you are saying, but this is for any phone:

Most people will not be eligible for the full discount until they have hit 18 months out of their 24 month contract. You can however do the early upgrade price as someone else already mentioned. So instead of $299 for the top model, you'll pay $499, but still less than the $699 for full price.

You monthly bill needs to be over $100 to get on the 12 month upgrade plan. This ATT chart (AT&T Upgrade Advantage(SM) - Wireless from AT&T) isn't exactly saying that, but it shows what the top tier is.

[Jellotime91]

Uh, no, it definitely doesn't need to be over $100.

Man you guys have bad memories.

I appreciate your digging and you certainly know what you're talking about.

But do you remember why AT&T allowed iPhone 3G owners to upgrade to iPhone 3GS in the first place? Because they were used to it from the year before (as the 2G was sold unsubsidized) and they all complained because they didn't understand. AT&T bit the bullet and created a new policity specifically for iPhone users. You DEFINITELY do not need to be spending over $100, I know because Rogers enacted the exact same upgrade policy as AT&T during the 3GS release, and I took advantage of it. My bills were $84.73 on average at the time. What does that tell you?

[big9erfan]

Uh, no, it definitely doesn't need to be over $100.

Man you guys have bad memories.

I appreciate your digging and you certainly know what you're talking about.

But do you remember why AT&T allowed iPhone 3G owners to upgrade to iPhone 3GS in the first place? Because they were used to it from the year before (as the 2G was sold unsubsidized) and they all complained because they didn't understand. AT&T bit the bullet and created a new policity specifically for iPhone users. You DEFINITELY do not need to be spending over $100, I know because Rogers enacted the exact same upgrade policy as AT&T during the 3GS release, and I took advantage of it. My bills were $84.73 on average at the time. What does that tell you?

That tells me what Rogers did last year, and not necessarily what AT&T will do this year, nothing more, nothing less.

[JustinHorn]

I appreciate your digging and you certainly know what you're talking about.

I do, and it seems you do too. I did a lot of research for a blog post I did on the subject for my website.

Here is the main research behind the post:

Example 1
Family Plan Main Line: $50 voice + $30 data + $30 family SMS
Total: $110 / month
Upgrade Eligible: 12 months in (Purchased July 11, 2008, eligible July 12th, 2009)

Example 2
Most common iPhone Plan: $40 voice + $30 data + $20 unlimited SMS
Total: $90 / month
Upgrade Eligible: 17 months in (Purchased July 11, 2008, eligible December 12th, 2009)

Example 3
Family Plan Additional Line: $10 voice + $30 data
Total: $40 / month
Upgrade Eligible: 20 months in (Purchased July 11, 2008, eligible March 12th, 2009)

I don't agree with you on the following:

AT&T bit the bullet and created a new policity specifically for iPhone users.

What they did is what I quoted in my last post, "We’re now pleased to offer our iPhone 3G customers who are upgrade eligible in July, August or September 2009 our best upgrade pricing, beginning Thursday, June 18."

If you were eligible in those 3 months they let you get the iPhone on release day instead of waiting the extra 1 - 3 months. That basically means you have to be on a cycle which allows you to upgrade every 12 months at the full discount and have bought the 3G within 3 months of it's release.

They did NOT let everyone upgrade at the full discount. If you have the basic plan which comes out to about $70USD / month, you wouldn't be able to upgrade until you are approximately 18 months into your 24 month contract. That means with the change ATT implemented you still couldn't upgrade at the full discount even if you bought the 3G on July 11th.

I'm not trying to speak for Rogers though, maybe you are eligible for a fully subsided upgrade every 12 months by spending $85, but not in the US with ATT.

[ugahairydawgs]

Just to try and shed a little official light on the subject (this is from AT&T's website, I just can't link it because my post count is too low)....

iPhone 3GS Frequently Asked Questions
Pricing and Upgrading

AT&T, like most U.S. carriers, offers a variety of phones that we sell below our actual cost when customers agree to sign service agreements. In general, the more a customer spends with us, the quicker they become eligible for a price break on a new device. For example, iPhone customers who spend more than $99 a month per line with us generally are eligible for an upgrade between 12 and 18 months into their contract.

New and Qualified Customers
“New and qualified” iPhone 3GS and iPhone 3G pricing is available to all new AT&T customers and existing AT&T customers who have fulfilled their previous agreement and sign a new two-year service agreement.

We’re now pleased to offer our iPhone 3G customers who are upgrade eligible in July, August or September 2009 our best upgrade pricing, beginning Thursday, June 18.

If you’re one of the many customers who will benefit from this change, please note that our upgrade eligibility Web site will reflect this change on Thursday, June 18. You may pre-order online at [link removed], and your iPhone 3GS will arrive in 7 – 14 days from the time you place your order. Or we invite you to come to our stores beginning Friday, June 19, during normal store hours, although please be aware that customer demand may exceed supply in some of our stores.

Early Upgrade
For existing AT&T customers who have not yet fulfilled their existing agreement, AT&T offers a special program exclusively for iPhone 3GS and iPhone 3G: early upgrade pricing. This gives customers who do not yet qualify for a upgrade-likely because they received a subsidized device within the last year or two-the opportunity to upgrade at a special price that's still well below AT&T's actual cost.

No Commitment
Customers who wish to purchase an iPhone 3GS or iPhone 3G without signing a new two-year agreement may do so at the no-commitment price.
iPhone 3GS iPhone 3G
New and Qualified Customers
$299 (32 GB) $99 (8 GB)
$149 (16 GB) $199 (16 GB)
Early Upgrade
$499 (32 GB) $299 (8 GB)
$349 (16 GB) $399 (16 GB)
No Commitment
$699 (32 GB) $499 (8 GB)
$549 (16 GB) $599 (16 GB)

[Enders]

Willing to bet Canadians will get nothing from the amazing trio that carries the iphone.