1. rdiddy_25's Avatar
    Wal-Mart slashes iPhone price to $97 - May. 24, 2010

    That says alot about where the price point for the new iPhone will be and looks like the end for the 3G, unless they drop it to $49 and keep that as their low end (starter) price.
    05-24-2010 08:53 PM
  2. Jellotime91's Avatar
    Or it says they are trying to get rid of it ASAP so that they can offer a brand new iPhone HD at 16GB for $99....
    05-24-2010 09:15 PM
  3. whmurray's Avatar
    Or it says they are trying to get rid of it ASAP so that they can offer a brand new iPhone HD at 16GB for $99....
    Clean out the obsolete inventory? The phone that stopped selling when Gizmodo leaked the 4G? In two weeks they may give it away. Let us hope that they will have to pay people to take it.
    05-24-2010 09:25 PM
  4. 9ki's Avatar
    Clean out the obsolete inventory? The phone that stopped selling when Gizmodo leaked the 4G? In two weeks they may give it away. Let us hope that they will have to pay people to take it.
    Especially considering the two year AT&T contract you still have to sign.
    05-25-2010 04:38 AM
  5. jsntrenkler's Avatar
    Even though it will soon be obsolete, $97 for a new 3GS is still a great deal.
    05-25-2010 10:26 AM
  6. whmurray's Avatar
    Especially considering the two year AT&T contract you still have to sign.
    Seems that one important calculation is to compare the unsubsidized price of the phone to the sum of the contract price plus the early termination fee,
    05-25-2010 10:37 AM
  7. rdiddy_25's Avatar
    Another thing to think about is u also avoid that jump in ETF also, will stay at $175 instead of the new $325 which takes affect June 1st.
    05-25-2010 11:16 AM
  8. whmurray's Avatar
    Another thing to think about is u also avoid that jump in ETF also, will stay at $175 instead of the new $325 which takes affect June 1st.
    $325- is the cost of the subsidy to the subscriber if not the value to AT&T. The effective penalty goes up with the age of one's contract. If one opts our after one month, one avoids 23 months of contract for 325-. if one opts out after 23 months, one gets one month of contract forgiveness for 325-.

    Note the timing of the increase. It is all about the new phone. I want the new phone but I plan to buy direct from Apple at their price, rather than pay AT&T $325 less the subsidy.

    One cannot help but wonder whether the $325- ETF is not about retaining subscribers when their exclusivity protection ends. It seems fairly certain that there are a large number of iPhone users anxious to have the iPhone on almost any other carrier. Imagine if in September Verizon were to get the iPhone and offer tethering. I would gladly pay AT&T $325-/year for tethering. While they keep dangling the carrot of tethering, they keep it just out of reach.

    More than AT&T's network, it is their business practices that offend me.
    Last edited by whmurray; 05-25-2010 at 12:11 PM.
    05-25-2010 12:05 PM
  9. whmurray's Avatar
    Do not get excited. The ad on TV says, "With 2 year AT&T contract." In other words, it hardly has any impact on the total cost of ownership. In three weeks, they really will have to pay you to take one.
    05-25-2010 12:23 PM
  10. lauriefoss's Avatar
    I did a little checking around today. Neither my local Apple store nor AT&T sales will match the Wal-Mart price yet.
    05-25-2010 03:15 PM
  11. Marcus James's Avatar
    Not a bad price, but you still have to sign a contract. *shrug*
    05-25-2010 03:24 PM
  12. Jellotime91's Avatar
    Do not get excited. The ad on TV says, "With 2 year AT&T contract." In other words, it hardly has any impact on the total cost of ownership. In three weeks, they really will have to pay you to take one.
    Shhh, consumers do not understand upfront cost vs cost of ownership.

    Exhibit A: Recession of 2008.
    05-25-2010 03:26 PM
  13. BLiNK's Avatar
    i'd be embarrased to even attempt to sell my 3G after the dust has settled
    05-25-2010 07:04 PM
  14. whmurray's Avatar
    One can get a Samsung/Android phone at Amazon for a penny (with a two year contract). Anyone find that deal irresistible? If Wal-Mart halved the price of the iPhone again, would that make the deal twice as attractive?
    05-26-2010 10:23 AM
  15. whmurray's Avatar
    Shhh, consumers do not understand upfront cost vs cost of ownership.

    Exhibit A: Recession of 2008.
    Sorry. The leak was unintentional but then no one listens to me anyway.
    05-26-2010 10:26 AM
  16. whmurray's Avatar
    i'd be embarrased to even attempt to sell my 3G after the dust has settled
    Yes, but the kids love them, particularly those whose families have an AT&T family plan. Others simply use them as iPod touches or do Skype, IM, or Facebook over WiFi.
    Last edited by whmurray; 05-26-2010 at 10:35 AM.
    05-26-2010 10:29 AM
  17. j00w00t's Avatar
    I know someone who purchased the 3GS the day before the price slash. I wonder if they'll reimburse.
    05-26-2010 06:09 PM
  18. Smlk's Avatar
    I kept my old (2G) around as a "touch" with speaker and mic. It didn't seem like a big deal then I gave it to my daughter and bought a touch to replace what I was using it for and THEN I realized how nice the speaker/mic built in was.
    05-26-2010 06:26 PM
  19. whmurray's Avatar
    I know someone who purchased the 3GS the day before the price slash. I wonder if they'll reimburse.
    $100 over the life of th contract is no big deal. Still $100 is a hundred dollarss. One might return it and then buy another.
    05-27-2010 09:50 AM
  20. zarquon's Avatar
    Seems that one important calculation is to compare the unsubsidized price of the phone to the sum of the contract price plus the early termination fee,
    I've never really understood this logic; even if you pay the unsubsidised price up front to avoid a contract, you're still paying the same phone bill each month for the the next two years, contract or not. I understand the hatred of contracts in principle, but in practice it only really matters if you plan on not having a phone anymore sometime in the next two years (unlikely), or if you have some need to jump carriers a lot.
    05-27-2010 11:12 AM
  21. rdiddy_25's Avatar
    If only there was a way to bypass the activation/sign up for the fee.

    Don't highjack threads, ur question was answered ur own thread.
    05-27-2010 12:16 PM
  22. psychokiid's Avatar
    Great Price I was looking to get an iPhone n get at&t I'm sick of t-mobile n there crappy phone lineup and this POS android phone please dont get caught in all the hype...
    05-27-2010 02:06 PM
  23. 9ki's Avatar
    Seems that one important calculation is to compare the unsubsidized price of the phone to the sum of the contract price plus the early termination fee,
    I was thinking more along the lines of how long I'm going to have left on my contract by the time the new model comes out and how much it will cost em to upgrade unless I want to wait until my contract is up.
    05-28-2010 11:13 AM
  24. big9erfan's Avatar
    $325- is the cost of the subsidy to the subscriber if not the value to AT&T. The effective penalty goes up with the age of one's contract. If one opts our after one month, one avoids 23 months of contract for 325-. if one opts out after 23 months, one gets one month of contract forgiveness for 325-.
    Pretty sure that ETF is prorated over the course of a contracts life. There was some legal issues that forced carriers to change their stance on ETF ( here in the states ). For AT&T's previous $175 ETF, it would go down $5 / month of completed service, so were you to cancel on your last month, you'd have a fee of $55 instead of $175. I found a reference that claims AT&T will reduce the $325 ETF by $10 / month of completed service, but that still leaves you with an $85 ETF if you cancel in your last month.
    05-28-2010 11:56 AM
  25. whmurray's Avatar
    I was thinking more along the lines of how long I'm going to have left on my contract by the time the new model comes out and how much it will cost em to upgrade unless I want to wait until my contract is up.
    Last year I paid $499- but my contract period reset. So, I am only a year in. Do not expect much help this year and the contract will reset again. Welcome to AT&T.
    05-28-2010 01:04 PM
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