Ronald and other's interested on my thoughts around the "great new pricing" on the 3G...
I am on Verizon and have been anxiously looking forward to the 3G release as most of you... yeah, the $599 was cost - prohibitive, but would have bit the bullet if there were more features last year... So, Steve's announcement of a "reduced" and AFFORDABLE 3G iPhone was initially exciting and appealing... but after my recent conversation with ATT sales representative yesterday, I am not so sure we shouldn't be looking this gift horse in the mouth...
First, I am looking at the 16Gig iPhone... so there is $299.99... and I am ok with that.. but then, I learned the following from AT&T two days ago:
- that because ATT is SUBSIDIZING the cost of the iPHONE, they are charging an additional $10 to last years $20/month unlimited data plan (which is mandatory in activating the new 3G for a TWO YR CONTRACT (to recoup their investment...
- Interestingly, I was informed that I would be better-off buying a BlackBerry, TILT, or another phone with a DATA PLAN since I could start and stop usage charges on a monthly basis if desired, whereas it is MANDATORY for iPhone users to sign a 2-yr contract for the data plan
- they have also DROPPED the previously included 200-txt msg's which was included in the original unlimited data plan at no additional charge... now adding a $5 per month charge.
- GPS capabilities on the 3G... that's cool... but there is a $10 per month charge for using it... the sales rep wasn't sure if AT&T was making that a MANDATORY 2-yr contract to buy the iPhone?
With that being said, lets do the math... so if I was going to pay full price on the LESS AFFORDABLE iPhone, based on last yr's prices, I would be sitting at $499 for the 16Gig iPhone. Then there was the $20/mo contracted unlimited data plan for two yr's at $240 ($20 x 24 months = $240) with 200 txt msg's., bringing me to $739 total ($499 + $240).... right!!
With Steve's new AFFORDABLE 16G iPhone, I start at $299 plus the new MANDATORY Data Plan of $30/mo plus $5 for 200-min of txt capabilities ($35 x 24 months = $840), coming to a total of $1,139 ($299 + $840).
So let's see... what was considered UNAFFORDABLE last year at $739 (not including taxes and activation fee's) for a
two-yr contract with AT&T... is now MUCH MORE AFFORDABLE in Steve's eye's with a 3G two-yr. contract with AT&T costing me $1.139 ?? This sounds more like a government accounting system... of Pork spending... shell-game, or a bait-n-switch tactic in making us think we are getting a tax-break on the front-end, when in fact it is costing us more on the back end.
Guess I should be thanking Steve for this new AFFORDABLE 3G iPhone, while AT&T subsidizes his "losses" on the back end
As for AT&T.. guess I should be thanking them for not taking-away the "roll-over" minutes each month for using the iPhone and for considering us unique and functionally astute wireless user's by locking-us into mandatory data charges for two-yr's without a choice of on and off monthly usage charges as other unlimited wireless users of the BlackBerry and TILT who don't require 24/7/365 days a yr use of the internet.
DO THE MATH PEOPLE... Where did Steve or AT&T do us a favor by making the 3G more AFFORDABLE? Thank goodness, we still have the choice to make INTELLIGENT decisions, unlike those who weren't capable of doing the math in over-extending themselves in this mortgage and housing fiasco