AT&T To Offer No-Contract iPhoneCONTENTS:
Many current iPhone owners will be happy to upgrade to the 3G iPhone for the obvious improvements and if you are on certain phone plans, it could even mean a free next generation iPhone. The basic price of an iPhone 2.0 is $199 but you will need to take out a new 2-year contract with ATT, if you do not want to do that then its going to cost you. The problem with buying the 3G iPhone with no contract is that you will have to pay $699 for a 16GB and $599 for a 8GB iPhone; although it is the first time the United States has had this option. [1] The initial outlay will be hundreds less than last year's original iPhone, but AT&T's monthly data plan will rise by $10, and text messaging is no longer included free. Some current AT&T customers will pay more for the phone, depending on how much of their original contract remains.[2] Buyers could choose a pay-as-you-go plan for voice service.' The question still remains, does it make any sense to pay that much for a phone that is still locked to AT&T's network even if you aren't bound to a contract?" Update: 07/05 18:21 GMT by T : An anonymous reader suggests that there is a convoluted but possibly cheaper route to an new, unlocked iPhone.[3] For the old fart that stated it was just a cell phone. maybe you should try one. the iphone is just as powerful as the computer you set in front of. but portable at that. As for the iPhone3G. ATT knows everyone that have bought one loves it. and that is how they are going to control this. The good thing is they are going to sell the 3G for more money without a contract and I am a true believer that the hackers of the world will figure it out once again to go with another carrier. there is nothing in this world that can't be hacked. believe me nothing. as far as the prices for the non-contract iphones people will pay it just to have one over Apple and ATT. the hackers of the world love that part of it. that is why they hack. they love the challenge and they don't care what it costs! Sure they might find that they have bricks but look at how many iPhones today that have not been bricked. more than Apple and ATT wanted. I don't mind being in a contract with anyone but don't feel I have to reinstate my contract as I have only been on this one for seven months. As far as the 3G goes. they need to add more features to it. stay tuned for the next round. The hubby has been complaining since I bought my iphone as he is tired of paying for the landline.[4] An article in InfoWorld mentions that 'Freedom will come with a price -- $599 for an 8GB device and $699 for a 16GB -- but this will mark the first time consumers in the United States are able to buy an iPhone without being tied down to a two-year contract.[3] AT&T also says that a "no-commitment" (read: no contract) iPhone 3G will be available soon, at $599 for the 8GB version and or $699 for the 16GB handset.[4] AT&T has explicitly said that even without a contract you still have a locked phone and the same choices for plans (i.e. minimum $70 a month +taxes and fees for voice/data, with no sms). That doesn't sound like pay-as-you-go is allowed to me.[3] Just ordered my FreeRunner. It's $400, and yes it doesn't work perfectly yet but it's a big step up from what I have now (no phone at all) and the approx $10/month I will make in calls will be just fine with T-Mobile's PAYG vs being locked into yet another telco service contract.[3] You pay the $199/$299 and pay the $175 contract early termination fee and save yourself some money. After paying the termination fee, they have to unlock your phone so you can take it where ever you want, sans visual voicemail of course.[3] Some dealers impose additional fees. They explicitly say that you can cancel the service between 14 and 30 days, avoid the early termination fee, but don't have to return the iPhone. As an aside, this section also implies that the "you may be required to return devices" in the other part of the contract indeed only applies to the first 30 day period, but the explicit iPhone section makes the various interpretations of the other section mute for this question.[3] No, you don't get to keep it if you cancel within the 30 day "trial"(for lack of a better word), and DONT pay the early termination fee.[3] Go back and read about one sentence before the part you quoted; it says you have to return the equipment only if you want to exercise an option to refund your activation fee and cancel within three days. We're not using this option - we're cancelling the normal way, by waiting until day four and paying the activation fee and early termination fee, so this doesn't apply to us. Even with all those fees added up, it's still cheaper.[3]  Yours truly included, I mean after all it does fall within my "all things sexy" category. Besides all the new features such as the two colour options (Black/White), 16 GB option, 2 megapixels camera, 3G wireless technology, GPS mapping, App store and Microsoft Exchange, the most attractive bit of all is its marketed price; $199 for 8 GB model & $299 for 16 GB model. [4] While most features of the new iPhone mirror the previous version, a new software package will include App Store. For the past year, developers have been programming applications designed for iPhone use, and App Store lets you browse the offerings and purchase them anywhere. They include games, productivity software and social networking.[2] Next Friday the Apple's new gadget the 3g iPhone will go on sale and AT&T seems to have learned something from last year's launch. The mobile carrier said that on July 11, its stores will open their doors for all the iPhone fans at 8 a.m instead of 6 p.m. as it happened last year.[5] According to the mobile carrier, the 8 GB version of the 3G iPhone will be priced at $199, but only. The market's smartphone segment has been crowded with Samsung's release of its new Instinct device, labeled immediately as a pure iPhone copy.[5] OpenMoko, a mobile phone manufacturer based in Taiwan, has announced that July 4 will be the day it will make its latest smartphone available in the USA. The device, which is called Neo FreeRunner,. An hour after the release of the new PS3 firmware, called 2.4, Sony has found itself in a storm of comments from the users who have experienced serious troubles with their gaming consoles.[5] The people who will buy an OpenMoko device are developers, not users. The people who buy an iPhone are users who don't want to be developers to know how to use their phone. They just want a phone thats intuitive and works. These two devices do not in any way target the same market at this point in time.[3] Australians will enjoy the ability to buy a pre-paid iPhone and unlock it to work on any network for $80. They have allowed unlocking because the laws here don't allow you to lock a phone to a given provider without a reasonable option.[3] Current iPhone users and AT&T customers eligible for a phone upgrade will pay an $18 upgrade fee.[2] Many people pay more than $50 for wireless service to begin with, so a few dollars extra for an iPhone doesn't seem like a tough sell. Because of Nebraska's current lack of 3G service, consider whether $30 is worth a data plan that might not be used to its full potential.[2] I'd like to get an iPhone 3G but there's no way I'm going to pay $70/month for a telephone. $60 was right on my threshold for buying, and $70 is just too much. It may be necessary, reasonable, or whatever, but from my perspective as the customer it's just too much money.[3] There's no way (as of yet) to change the iPhone's ESN, so if you report the phone stolen, you can expect the ESN to be barred from U.S. networks (and EU ones, come to think of it) -- and if you try to use it, an alert will be triggered (assuming that AT&T's policies are anything like the policies of the carriers in the EU when it comes to stolen phones.)[3] Once you are out of contract, they are required by law to unlock your phone for use on any carrier, so selling a no-contract phone thats locked doesn't make a whole lot of sense, as they'd just have to provide an unlock code at your request anyway. I guess they'll probably do it just to make people who don't know any better use AT&T anyway.[3] A $500 phone, $30 a month for data, and a hundred bucks for a year worth of minutes and SMSes is a better deal for me than a $200 phone plus $75+taxes+fees every month for more minutes than I use in a year. AT&T needs to let people who don't use their phone as a phone that much buy what they want.[3] There's essentially no way to spend less than $45/month (including taxes) on a cell phone, even though I use perhaps 1/5th of my plan. Prepaid might save me a little money, but they don't get to be really sensible until you're calling much less than I am each month.[3] All four plans will offer unlimited use of the device's internet and e-mail services, Visual Voicemail, unlimited mobile-to-mobile and rollover minutes, while only the $130 plan offers unlimited anytime minutes.[5] Pricing: $129, plus monthly plan starting at $69.99 for two years. AT&T's 3G network, which offers a high-speed wireless data connection, won't be operational in Omaha and Lincoln until later this year.[2] Pricing: Depends upon carrier and plan. It looks strikingly like the iPhone and also features 3G tech but can be used on multiple networks, including Sprint and Verizon. Sprint's broadband network has good coverage in Omaha, and it's operational right now.[2] Right now Freerunner's battery life is something like 5 hours, and there are many other issues. A great example of why all but a handful of people may prefer an iPhone to a Freerunner is this month's discussion of filesystem images on the mailing list.[3] Even GPLv3 apps aren't ruled out. The original authors can do whatever they want with the software, they are not under the restrictions of the distribution license so they CAN release an iPhone version should they choose to, OR, they can grant someone else the right to do so. BUT. in all of these, 99% of the apps out there, don't belong on the iPhone. Its a phone/entertainment device, with some basic computing abilities, nothing more.[3] The iPhone does some tasks great. Its a good 'phone' imo. Its obviously a great iPod, some would argue that there are better portable audio players, but I've never used a non-iPod player so my opinion is obviously biased. Its not as good as my old Palm V or Windows Mobile devices for taking notes or managing tasks by a long shot, but it does the job well enough. With the SDK release, it'll have a few cool/good apps for it come out soon, but its not a PC and never will be. As far as Palm being great because of open development, this is a double edge sword.[3] Apparently there's an FSO image ("make and receive calls. That's about it."), an ASU image ("qtopia apps don't start if I have the SIM in the phone"), a GTK image ("more or less what the phone came preloaded with"), a ScaredyCat image ("mostly works"). This should make it pretty clear that a Freerunner is not a consumer-ready device and is definitely NOT an iPhone equivalent. A Freerunner should only be purchased by those who are fully prepared to deal with it as a hobby rather than as a consumer-ready phone/PDA. Posts like yours are misleading and do a disservice both to the consumer and to the Openmoko project.[3] The only apps that may not be released on the iPhone are ones with a GPLv3 or like license due to the retarded restrictions in it that are supposed to help support my 'freedom' to do what I want with the software, but ARE restrictions to what I can do with it.[3] We can buy the iPhone outright for $599/$699 or we can get a contract and cancel it after 14 days (but before 30 days) and pay a net of $235/$335. [3] Expectedly, the smartphone will be available at $199 for the 8 GB version and $299 for 16GB, with the two-year contract.[5] The pricing difference for the two new models - $199 for 8GB (gigabyte) and $299 for 16GB - is due to different storage capacities.[2] A 3G model is even less expensive. AT&T subsidized the phone this time around, paying a reported $350 per handset, to get the price down.[2] If you're not eligible for the discount, you'll have to fork over extra for an "early upgrade"- $399 for the 8GB iPhone 3G or $499 for the 16GB model.[4] All that was then, the iPhone is now old news. What is in the news however is its rejuvenated version - the iPhone 3G. The 3G model is yet to be released (a week from now to be precise) and I know tons of folks who can't wait to get their hands on this beauty.[4] Apple and its American partner AT&T will release the new iPhone on Friday. It's called the iPhone 3G because of it's ability to use the 3G data network (3G stands for "third generation").[6] The 3G network is much faster than the older EDGE (2G) network and browsing the Web on the new iPhone should approach the broadband speeds most users are accustomed to at home.[6] Besides higher speed data, the new iPhone also sports GPS capability, enterprise enabling features and a plethora of new applications and games.[6] Unfortunately, AT&T won't offer the new iPhone on a prepaid basis, at least not at launch.[4] By being able to locate itself, the new iPhone can provide direction, traffic congestion information and can even recommend a nearby restaurant. Applications based on this technology can also show you the friends in your address book who are nearby (you can turn this off of course if you prefer to remain anonymous).[6] Given the one-year advance in other technologies, many on Apple-related Internet message boards have derided the new iPhone's "old" camera and lack of video-shooting capability.[2] I certainly never paid a 2 year contract when I bought my phone 9 months ago. Some people were able to activate w/ att without a contract is their credit was bad. Now, with the new plan, they're going to allow a subsidized version with a contract. [3] Most phone companies have a stipulation in the contract that forces you to return the phone if you cancel the contract soon after starting it. In this case I would think that time would be about 6 months or so - enough time for them to squeeze out the 600/700 dollar cost.[3] U.S. buyers will have to purchase a service contract with AT&T before leaving the store; you cannot buy it online.[4] An early termination fee applies if service is terminated before the end of the contract term.[3] In the UK, it looks like O2 will offer the iPhone on pay-as-you-go (that is, without contract), but for £199-ish (~$399), or, at the outside, £299 (~$599).[3] There's a full keyboard on the iPhone, but it is all touch-based. It works just like a button-based keyboard but without the tactile feedback.[2] Like the older version, the iPhone will also be able to utilize a WiFi network when one is available.[6] The original iPhone went on sale last year on June 29, after it was unveiled on January 9 during the MacWorld. According to Apple, last year, 270,000 iPhones were sold in first 30 hours and it will be interesting to see if the 3G iPhone will manage to break this record.[5] If you've been eyeing an iPhone over the last year, here are a few things to keep in mind before you call in sick and get in line.[2] If the manufacturer won't sell you a phone that hasn't been locked to a provider /in the first place/, don't buy from that manufacturer. There are other phones than iPhone -- some of them far more convenient or flashy. That's two of the three reasons for buying an iPhone -- the third is if you're a lemming. [3] Here in the States, you are always locked into a provider, even if the phone is popular enough to be sold be more by than one provider. If the iPhone is supposed to be the future of computing in general, I don't know why it's only being sold as a phone. Or is it really only best used as a phone with a few other features? With the software base so limited, it's hard to tell.[3] Enamored with the iPhone's touch-screen tech but stuck with another company's phone plan? Check out an iPod Touch.[2] Here in Canada, Rogers Communications Inc. (the sole carrier of the iPhone) has come under fire for the outrageous rates it plans to charge customers for the 'privilege' of using the iPhone.[4] Steve Jobs negotiated the world's lowest price from the carrier for unlimited use for the first iPhone. and everyone complained and criticized it as too slow.[4] When you compare it to high-Nokia models currently in the market, the price of an iPhone is comparatively quite low.[4] The price quoted probably is a fair price. They are subsidising it. That is priced out of the U.S. market, it is even at the high end of the Japanese market. That price is what the Apple should sell the phone for to other phone companies, and they will then be able to provide service and subsidize some portion of it. The only value this announcement has is to tell people how much the subsidy was.[3] Canada has the highest prices in the western world when it comes to cell phones & service.[3] The CEO of RIM (maker of the blackberry, a Canadian company) has said many times that the ridiculous prices of Canadian cell phone companies are impeding progress.[3] The cell phone situation in the U.S. sucks pretty hard right now for a medium-light user.[3] Are the hardware specifications of a cell phone the only relevant thing? Absolutely not. Hardware defines the device's potential, but the device's quality is determined in a large part by its software.[3] It's a comparable price with a high-end Blackberry, Treo, or HTC, and those sell just fine in the U.S. market. It's not riding coach, but it's not riding first class either. Expensive. but it's a smart phone, not a plain cell.[3] I know I'm going to be modded as a flame, but seriously, no one who wants a phone to USE will want OpenMoko. It looks cool as hell from a developer/hacker point of view, one of the guys I work with ( who loves his windows mobile phone, heh ) intends to order one to play with, but he just replaced his old phone with another Windows Mobile phone so he had one that actually worked along side the OM phone he hacks around on.[3] Because the software is shit? No one can even make the example videos of it look like its decent. I expect my phone not to lag, have you seen OpenMoko in use? Its a joke.[3] no one who just wants a usable phone wants to deal with an OS thats. pre-alpha at the very best, and will come with absolutely 0 support from your carrier.[3] Most "smartphones" - the broad name given to phones with Internet functionality - and an increasing number of standard phones have a full QWERTY keyboard tucked somewhere into the hardware. This is a small type pad that is laid out like a computer keyboard and speeds data entry.[2] The phone has to be activated within 30 days or the buyer will be penalized.[4] The plans do not include texting, which is available in four plans at additional cost. For $5 you get 200 messages, for 10 bucks more you get 1500 and for yet another five dollars there's unlimited SMS texting (for those texting nuts who write more than 50 messages a day).[5] Of, course, we don't want to pay court costs just to argue to try and save $189 dollars.[3] The fee will begin at $175 per device and decrease by $5 each month for the term of the agreement. [3] "The ECF is the greater of (ii) $100 or (iii) $20 per month remaining in the service agreement, to a maximum of $400 (plus applicable taxes), and applies on each line in the plan that is terminated."[3] AT&T will offer a no-commitment option of $599 for 8GB and $699 for 16GB. [5] Being tied to AT&T, whose service in eastern Nebraska is spotty, has likely hampered iPhone sales in the area.[2] Insurance is definitely offered on iphones. I guess you don't know what you are talking about or regret not buying the insurance yourself because I have an iphone and I have insurance @ 4.95 a month w AT&T. That's pretty standard for a smartphone.[3] Because there's something to be said for having walk-in support at the Apple store, the Apple user interface, access to the app/music store. shall I go on? People buying an iPhone likely aren't buying it based on specs.[3] Apple will be leveraging a newly minted group of developers who will be producing thousands of new applications specifically for the iPhone.[6] Do you know how many absolutely crappy palm apps exist? I'd guess about 10 crappy apps exist for every half way decent app. The advantage to making it 'harder' to developer for the iPhone is that in itself will weed out many of the crappy apps written by people who wont put much effort into it. [3] For some users, that's a huge problem. It might be a good idea to play with both keyboards before lightening your wallet. The original iPhone's 2 megapixel camera is back (it's on the rear of the handset), much to the chagrin of mobile photo-snappers.[2] With Wi-Fi or wireless, the iTunes mobile store is available. You can purchase songs and videos and download them directly to your iPhone.[2] If you still want a piece of the smartphone or touch-screen fun, but without changing carriers or waiting in line on Friday, here are three devices with similar features. [2] REFERENCES 1. Paying $599 for iPhone 3G that's still locked to ATT on Product Reviews Net 2. Omaha.com Business Section 3. Slashdot | AT&T To Offer No-Contract iPhone 4. Desicritics.org: The Apple iPhone 3G: How Steve Jobs Fooled Me 5. On July 11, AT&T To Open Its Stores At 8 For iPhone Launch 6. Local News: iPhone 3G | american, apple, iphone : Gaston Gazette Google Talk Comes To The Apple iPhone, iPod TouchCONTENTS:
Google has made its Google Talk instant-messaging application available for Apple's iPhone and iPod Touch browsers. Google Mobile Blog's team member and mobile software engineer, Adam Connors,'' explained that in addition to sending Gmail messages from the iPhone, users can now chat with their friends while they are on the move. If users decide to navigate to another browser window or application, their status will instantly be changed to "unavailable" and their Google Talk session will be restarted when they return. Other than that, Connors explains, "we've to keep the design as faithful to the desktop experience as possible, so it should be familiar to you." [1] All an iPhone user has to do is direct their safari browser to www.google.com/talk to use the web application. The web application has all the features of the regular Google Talk that is available for the Desktops and Laptops like changing their status, searching for contacts and talking to multiple contacts. However the Google Talk for iPhone is not perfect, if a user moves away from the safari browser their status is changed to unavailable, and they are logged off. IPhone does not support background processes, though Apple maintains it's trying its best to fix the flaw. Another major concern is Safari's tendency to randomly clear pages; this can cause the users to experience difficulty in having a continuous conversation over a long period of time.[2] When you navigate away from the Google Talk window, your status becomes unavailable. This is yet another major tool though to help users communicate on their iPhone and iPod Touch. Share and Enjoy: These icons link to social bookmarking sites where readers can share and discover new web pages.[3] Whatever your reason for not using a native app, Google's got ya covered with an all new interface for Google Talk, fully optimized for Mobile Safari. It's cool and all, but the moment you navigate away (or close) from Safari your status is set to unavailable.[4] You'''ll need to have Google Talk in an active browser window for it to work; surf to another window or app and you'''ll be rendered '''unavailable'''. Connors was quick to assure that besides those niggles, everything else came close to the desktop equivalent ''' contact list, multiple chats and the like. Is Google deciding not to hedge its bets on Android'''s success? Perhaps it'''s just deciding to go with the flow. If the iPhone 3G eclipses the success of its predecessor, why not get in on the action? Supporting the proliferation of mobile internet devices is something right up Google'''s alley. With all those people in 70 countries due to surf online, no point discouraging them from logging onto Gmail.[5] When you navigate away to another browser window or application, your status will be changed to "unavailable" and your Google Talk session will be restarted when you return. Other than that, we've tried to keep the design as faithful to the desktop experience as possible, so it should be familiar to you.[6] Google Talk on theiPhone (and also, of course, on the iPod Touch via WiFi and no doubt from other Apple devices) is a harbinger of the coming tide of convergent applications which will stripe right across desktop and mobile environments. Starting at the top-end with theiPhone, Windows Mobile, LiMo, Android and the newly liberated Symbian platforms, but eventually pushing down to the high-growth low-end as well and whatever platforms these end up running in a few years' time. Google Talk is a good peg on which to hang this discussion because its success, if it comes - and it's early days yet - will clearly be at the expense of mobile operator service revenues.[7] In a move that will further expand the messaging capabilities of the iPhone, Internet search leader Google Inc. has this week revealed a mobile version of Google Talk (GTalk) that will work with Apple's iconic touch-screen smartphone and its non-telephony iPod Touch stable mate.[8] Continues after advertisement. If users are happily using free chat services like Google Talk they will be less likely to take deals with large buckets of text messages included - or any text messages included. The same goes in spades for high value multi-media messaging which surely just morphs into pictures and other objects that are easily assembled and sent from a (Google based or other) mobile email application. There have been plenty of applications setting up camp on mobile phones with the intention of diverting operators' service revenue, includingVoIP and IM clients, and these have only so far had marginal impact on mobile service providers. The big difference is the cross-marketing that's famously available from the Google page and the relatively seamless convergence that this approach is able to accomplish.[7] For instance, in order to receive instant messages with Google Talk on your iPhone, the application needs to be open in your Safari browser.[6] Once you are signed-in, you must keep the application open on the Safari browser in order to receive messages, otherwise your status becomes unavailable. Share and Enjoy: These icons link to social bookmarking sites where readers can share and discover new web pages.[9] The new iPhone-compatible version of Google Talk is available now (US) and functions through the handset's Web browser, meaning that chat-loving owners will be able to sidestep any kind of software installation by simply signing in and chatting freely via the live Google Talk site.[8] On the bright side, though, if you're a Google-holic it integrates nicely with your contacts and otherwise works exactly how you'd expect a Google Talk Client (inside a web browser) to work.[4] In an effort to keep the iPhone version as closely aligned to the computer iteration of Google Talk as possible, users will still be able to search contacts, manage multiple conversations, and select contacts from an easy-access quick list.[8] Although it seems pretty clear that there's going to be a native chat client for the iPhone 2.0 that will support Google Talk (with background alerts to boot!), there may be those that have a religious injunction against installing applications. There may also be those who don't intend to upgrade because they don't want to mess around with losing either their unlocked or jailbroken status.[4] What we'''re really waiting for is a proper Google Talk app, hopefully on the cards for the Application Store???s launch next week. That should bring incoming messages, and proper multi-tasking to the handset.[10] The new Google Talk application requires you to download nothing, and also does not require any type of installation.[3] Until then, however, Google Talk'''s browser-based service could help you dodge text message fees, albeit in a very fiddly way.[10] Google launched the new instant-messaging app on Thursday, as it will allow users to send friends Gmail messages from the iPhone.[11] The software is entirely browser based, so there's no need to download or install anything. (Google didn't say if it is working on a downloadable version that will work with the iPhone 2.0 firmware, due next week.)[6] You can select from a quicklist of the people you contact most, search your contacts, and manage multiple conversations. I gave it a whirl first thing this morning. It works pretty well. The need to have an active browser window open is a bit of a hamstring, but it's better than not being able to chat at all.[6] Instead it works within the phone's browser, so users can simply go to the site www.google.com/talk, sign in, and start chatting.[12] The new version isn'''t a full-blown app, but instead runs inside the Apple phone'''s Safari web browser.[10] Where once critics and the public were lukewarm about the mobile internet, the iPhone just might help accelerate takeup for mobile data services. Now comes the killer- dealing with customers who will want unlimited data plans to go with their shiny new 3G-powered iPhones. Share and Enjoy: These icons link to social bookmarking sites where readers can share and discover new web pages.[5] While Apple continues to release new applications for the iPhone, a leading Mac OS X researcher, Charlie Miller, says Apple has not kept the iPhone operating system up to date with patches it has issued for the desktop.[12] Apple patched Miller's Safari vulnerability for the desktop in April but so far has not issued a similar patch for the iPhone. Apple did not respond to requests for comment on its software security policies.[12] There are some minor differences when compared with the desktop version, but otherwise Google kept it as similar as possible. Thank you, Google, for enabling this feature on the iPhone.[6] Google has managed to bring the connectivity that it achieved with desktop computers to the iPhone, and it should be interesting to see if other conventional instant messengers will follow suit.[13] If you navigate away from the web site while on your phone you will be listed as '''unavailable''' to anyone that was previously chatting with you on the Internet. [13] REFERENCES 1. Google Talk for iPhone 3G and iPod Touch Browsers : Palluxo! Mac Dose of All Things Apple 2. ITProPortal.com - Google woos iPhone Users with Google Talk for iPhone 3. Google Talk Gets A Release On iPhone, iPod Touch : dBTechno 4. Google Talk Optimized for iPhone | The iPhone Blog 5. Google Talk now on your iPhone - IPHONETOUCH.BLORGE.com 6. Google Gets Chatty, Creates New iPhone Instant Messaging Program - Google Blog - InformationWeek 7. TelecomTV - TelecomTV One - News 8. Google GTalk provides iPhone lovers with instant-messaging client - Software 9. Google Talk Comes To The Apple iPhone, iPod Touch : ChattahBox 10. Google updates chat app for iPhone | Electricpig 11. Google brings instant-messaging to iPhone 12. ENN - Google Talk finds a home on iPhone 13. Google Creates iPhone Instant Messaging - EON AT&T Stores To Open Early July 10 For 3G Apple iPhoneCONTENTS:Credit card companies will often reverse legitimate charges with very little documentation, just on an unscrupulous consumer's say-so, and AT&T reclaims the "chargeback" by applying the purchase price of the iPhone to the current account on which that iPhone is active. There's also been some confusion over news this week that AT&T will be offering the iPhone at a higher price for those who'd like to buy it without a two-year contract. The company has said they will offer the 8 GB and 16 GB models for $599 and $699, respectively, some time after the 11-Jul launch date for the iPhone 3G. Some early coverage has implied, incorrectly, that the non-subsidized phones will be "unlocked" to work on any carrier's GSM network. [1] When Apple unveiled the iconic first generation iPhone, it tried a new business model that no other handset maker had dared consider: demanding a chunk of the carrier's monthly plan fee. For that payment, the carrier got exclusivity on selling the iPhone in its country, and Apple was able to sell a very expensive device for what appeared to the consumer as a cheaper up-front cost. It also allowed Apple to sell the phone at its own stores without taking on the burden of signing up customers to a contract on the spot. Effectively, it greased the wheels for those iPhones to walk out the door of the Apple Store without the same sort of pain usually involved with buying a mobile phone.[2] The original deal between Apple and AT&T (later matched by arrangements with a handful of European carriers) was based on a new revenue-sharing model. Instead lower the purchase price of the phone through subsidies, AT&T agreed to share part of its monthly service revenues with Apple. The deal worked well for AT&T. One study, conducted this spring, found that nearly half of iPhone buyers had switched from other carriers.[3] Instead of following the industry standard of taking a carrier subsidy on the sale of each iPhone, Apple struck a deal for a slice of the subscription fee for every new AT&T subscriber. As it has turned out, both AT&T and Apple apparently underestimated the extent of subscribers and fees they lost from unlocked phones. At its Worldwide Developer Conference last month, Apple said it has sold about 6 million iPhones.[4] The company was never really comfortable with the arrangement. When I visited AT&T headquarters in Atlanta last month and met with AT&T Mobility CEO Ralph de la Vega and other top executives, it was clear that they found the new iPhone contract far more to their liking. This is a bit odd, because it actually may be a slightly worse deal for AT&T. Because the company has to pay the subsidy upfront and recover it over two years when it no longer has to make payments to Apple, AT&T has said the new deal will hurt earnings in the near term and boost them down the line. (For consumers, the gain from the subsidy is offset by the extra $10 a month they have to pay for service; on a net present value basis, it's a wash over a two-year contract.)[3] If you buy an iPhone 3G on or after July 11, you won't be able to leave the Apple or AT&T store (or, presumable, other carriers' stores outside the U.S.) without having signed up for a service contract. This may end up being a big step back for consumer freedom of choice.[3] AT&T announced that all of its thousands of retail stores will open bright and early July 11 to accommodate the throngs of consumers hoping to be the first to get their mitts on the 3G Apple iPhone. According to a statement from the nation's largest wireless carrier, all AT&T retail stores will open at 8 a.m. local time next Friday, when the iPhone makes its 3G debut. The early opening is an attempt by AT&T to avoid the massive crowds that descended upon its retail locations around this time last year when the first-generation Apple iPhone hit the shelves and went on sale at 6 p.m. local time.[5] Lessons learned from the first release of the iPhone have prompted AT&T Inc. to open its stores at 8 a.m. July 11 to accommodate customers wishing to buy the latest version of Apple Inc.'s smart phone.[6] Of course, as became very obvious just weeks after the official launch of the iPhone, the revenue-share model didn't work at all, thanks to hackers who were able to break every layer of protection in the iPhone repeatedly, making it possible to walk into an Apple Store, buy the iPhone (which was supposed to be usable only once activated with a carrier), run a simple utility and unlock the iPhone for use on any carrier. Customers also hated being forced to buy the iPhone from a carrier of Apple's choice, rather than their own.[2] As Apple looked to expand its iPhone coverage around the world, it must have drawn the conclusion that the one-carrier revenue sharing model wasn't going to work. It had the most chance of succeeding in the retarded U.S. telecommunications market, which frequently sees particular models of phone being sold only through one carrier.[2] In business as in life, the value of staying in one's comfort zone should not be underestimated. Why might this hurt consumers in the long run? The original deal hinted at a future where the carriers' grip on what handsets consumers get to buy might be broken. A significant number of iPhones--no one is sure how many--ended up being sold without contracts, unlocked, and used on networks other than those authorized by Apple.[3] Existing AT&T customers in the middle of an existing contract on a different phone, and AT&T customers whose accounts aren't current or who have a past history of payment delinquency, won't be able to upgrade at the subsidized price. (We hear users in the middle of a contract may be able to buy an iPhone 3G for $200 more than the subsidized price.)[1] Without a contract, users can cancel service without incurring an early termination fee. Both contract and contract-free phones will be "locked" to work only on AT&T's network, and the monthly service plans available will be the same, said AT&T spokesperson Michael Coe.[7] The first version of the iPhone was sold in the U.S. without a contract, but AT&T would activate it only with a two-year contract.[7] Customers already with AT&T will have to shell out $399 for the 8 GB 3G iPhone and $499 for the model with twice the memory. That option also requires a new two-year service agreement.[5] When Apple first launched the iPhone about a year ago, the company inked an agreement with AT&T that allowed the carrier to be the exclusive service provider for the iPhone.[4] AT&T will open the doors "bright and early to sell the iPhone 3G at 8 a.m. instead of last year's 6 p.m.," AT&T spokeswoman Cathy Lewandowski said. All activation will be done in-store this time, she added.[6] Now, it seems that Apple and the carriers are embracing the opportunity to sell iPhones totally unlocked.[2] An Apple Store Sydney employee confirmed to me that people would be able to buy the iPhone there from 11th July, but it will be curious to see whether Apple will only allow people to walk out of the store after going through a carrier activation process.[2] AT&T has provided a Web site to check upgrade eligibility. We've also heard of people purchasing used iPhones without realizing they're essentially stolen, and subsequently being billed by AT&T for the iPhone. This can occur if someone buys an iPhone at a retail store, resells the phone to an unsuspecting buyer, then disputes the credit card charge.[1] I'm going to break the next person that complains about no $200 iPhone!!! Add on a $70 a month AT&T plan for 24 months, and that is what you pay!!! On Optus you pay $79 over 24 months and you get a free iPhone.[2] I'm looking forward to being able to put my work SIM into my unlocked iPhone and not having to pay anything for calls or data, but the initial cost of $789 is a far cry from Job's promise of no more than US$199.[2] As previously announced, the cheapest monthly calling plan for the iPhone will cost $70 per month, before taxes and fees that can add $10 per month. That plan includes 450 minutes of calls and unlimited e-mail and Web browsing.[7] Are Optus going to care if you have an iPhone or not with the BYO thing? I can't see them caring whether it's an iPhone or some old random device, as long as you keep paying. Edit: I might sign up for one of the plans and just use my current HTC phone if they'll let me.[2] We're still waiting to hear back on the details -- whether it will require a contract, or whether BYO iPhone plans will be contract-free.[2] US$199 was always going to be the price with an attached telco contract -- I don't think Apple ever intended to sell the phones outright.[2] Of course, the original iPhone was a huge success in the U.S. and the new version will not only boost sales at home but help Apple become a significant player in the worldwide handset market.[3] Last year's iPhone launch, which happened in the evening, had Apple devotees camping outside stores in anticipation.[7] Since customers will need to activate each iPhone in the store, rather than taking the box home to activate the phone in iTunes, we're sure the process will take more than a couple of minutes per person.[1] The phone company also divulges the unsubsidized cost of the iPhone 3G, saying it will offer a no-contract-required option in the future.[4] AT&T also noted that it will also offer a no-contract option for users that don't want to be locked into AT&T, despite the iPhone not working on other networks.[5] Coupled with the increased availability of the 3G iPhones worldwide and an impending deal with one of China's mobile service providers, the demand for unlocked iPhones could shrink, analysts say. "All this will significantly reduce the unlocked iPhone market, says Ezra Gottheil, an analyst with Technology Business Research, "though it may not entirely disappear."[4] In most other parts of the world, most phones are sold through all carriers in a country, and carriers compete on pricing and coverage rather than handset exclusivity.[2] The contract-free versions will cost $599 and $699 and will be sold sometime "in the future," AT&T said.[7] The increase in $& contract time vs speed & gps isn't worth it for me now.[3] Even on a net present value basis, what Apple wants you to believe is a $200 price cut becomes a significant price increase.[3] REFERENCES 1. TidBITS iPod & iPhone: AT&T Waking Up Early Friday for iPhone Sales 2. iPhone 3G to be sold unlocked in Australia 3. Tech Beat Where the iPhone Failed - BusinessWeek 4. Apple, AT&T Try to Plug iPhone Revenue Gap - TheStreet.com 5. AT&T Stores To Open Early July 10 For 3G Apple iPhone - The Channel Wire - IT Channel News And Views by CRN and VARBusiness 6. AT&T opening early for new iPhone - Dallas Business Journal: 7. London Free Press - Business - AT&T iPhone costly without a service contract Apple , AT&T Try to Plug a Hole in iPhone RevenueCONTENTS:
Apple's highly-anticipated iPhone 3G, which also doubles as an MP3 player and mobile Internet device, goes on sale on July 11. In the U.S., exclusive service provider AT&T will charge $199 for an iPhone with an 8-gigbyte hard drive and $299 for a model with a 16-gigabyte hard drive, as long as the buyer also subscribes to its cell phone service. It also will sell an iPhone contract-free, at $599 and $699 respectively, and then give buyers an option to use AT&T services without a contract. With new details about iPhone subsidies this week, equity research analysts say their assumptions about the iPhone's average selling price were too conservative, thus helping to expose the unexpected gains Apple's likely to see. Thomas Weisel Partners' Doug Reid this week raised his average selling price estimate by $120 to $520. That makes for an additional $1.9 billion to Apple's top line this year, based on his assumption of 16 million iPhone 3Gs sold between July 11 and December. Analysts reckon Apple is pocketing as much as $352 per iPhone sold, based on estimates carriers pay about $525 per phone, which Apple is thought to spend about $173 to make, according to iSuppli, which tracks manufacturing costs.That means Apple could make between $12.3 billion to $15.8 billion in gross profit on the iPhone over the next two and a half years. [1] AT&T spokesmen said Tuesday it'''s has no further details to share about the contract-free deal. Those looking for a contract-free iPhone may have to wait a few months after the initial mania and retail shortages have died down. The U.S. carrier likely has an iPhone 3G release timetable that'''ll maximize its contractual data plans. The subsidized prices have already been announced for the United States from AT&T. Americans will pick up the new 8GB Apple-Phone for $199 and 16GB for $299 after they sign on the dotted line for a two-year contract. That'''s a much better deal than the Canadian rate offered by Rogers with a three-year contract and outrageous monthly data rates. Canadians who find a lengthy contract unlivable might want to hold out for the no-strings version to hit the market in the U.S. Predictably, the new iPhone product cycle may look like this.[2] The largest U.S. wireless phone provider said customers who have an iPhone or buy one before July 11 can get an 8-gigabyte iPhone 3G for $199 or a 16-gigabyte model for $299, prices subsidized by the service provider. They join customers who will activate a new line and existing subscribers who become eligible July 11 for an upgrade discount.[3] Does Apple sell unlocked iPhones anywhere on Earth? If so, I want one. Since I'm not an expert in cell phone fees, but know ATT has raised prices for iPhone 3G service plans (and presumably for the large cost in rolling out the 3G network), is it worth $400 to get out of its clutches over two years and take on a reasonable plan with another GSM carrier in the United States? If you divide $400 by 24 months, a person would only need to find a plan that is $17/month cheaper. That doesn't seem absurd, given the $70/month plus SMS cost of the starting ATT plan.[4] To summarize, to get the iPhone "contract free" all you need to do is fork out $599 + sign up and activate an AT&T contract + to run it on another network you will need a hack from someone to unlock the phone. What amazes me with the iPhone is not its user interface (superb I admit) or "coolness" (so so cool, I admit), it is that the people buying them cannot perform the simple math you need to work out HOW DAMMNED EXPENSIVE it really is. If AT&T buys the phones for $300 from Apple and sells them outright for $599 then it's pocketing $299 from each sale - not $99 as reported in the article.[5] The service contract requirement as well as the lower price for consumers is seen reducing the number of unlocked phones. By expanding iPhone sales into scores more countries this year, Apple will also able to sate pent-up worldwide demand, which will also help battle unlocking. "Some people will look at the iPhone and say, 'It's just so cheap to switch now to ( AT&T ) rather than unlock their phones.'"[1] Legal ones are sold in France by apple themselves (reqd by law) for a hefty price ($1200-1300). If they charge a huge price such as $499 for the 16G no-contract iphone, I'd be surprised if the phone is not unlocked. What way does it help Apple reach their 10million mark, if the brick is locked to ATT and the customer does not want to be with them? If Apple does not get a slice of the monthly revenue pie, then they should unlock the phone and let it loose in the market. I am certain that they will hit 10million mark within this quarter. Reply to this comment by carlhancock July 2, 2008 7:33 AM PDT Did you do any research for this article? ATT isn't allowing unlocked iPhones in the United States. They are selling iPhones WITHOUT A CONTRACT for a hefty price premium. These phones don't require a 2 year commitment with ATT but they are STILL LOCKED to ATT and would still require being hacked in order to unlock them.[4] I read somewhere that the nokia e66 is good. Reply to this comment by LunaticSX July 2, 2008 10:52 AM PDT Taking on "a reasonable plan with another GSM carrier" in the U.S. would be pointless for the iPhone 3G since the only other national GSM carrier is T-Mobile and their 3G network runs at the non-standard 1700/2100Mhz combination of frequencies, which the iPhone doesn't support. T-Mobile's barely begun to roll out their 3G network, anyway.[4] AT&T is the only U.S. carrier selling the iPhone. In territories, such as Australia and Italy, where Apple's selling through multiple carriers, there remains the possibility that iPhones sold there may not be locked to a specific network. It's claimed that iPhone sellers will insist on signing buyers up to contracts before they hand over a subsidised iPhone - though that's no great surprise. Many would-be unlockers are awaiting pay-as-you-go iPhones as a way around this, albeit at the cost of a higher handset price.[6] In order to get the service without the contract, you have to spend an extra $400 for the iPhone. In announcing its new policy, AT&T said the iPhones without a contract will cost $599 or $699. It didn't say when it would start its new policy, only saying it would happen "in the future," which covers a lot of territory.[7] AT&T said it has plans to offer a no-contract option, with the 8-gig phone costing $599 and the 16-gig $699. "No matter when you bought it" or "where they are in their contracts," iPhone owners will be eligible for the upgrade, spokeswoman Sue Perry said. The company made the change so iPhone owners would not get stuck with paying the full price for the new, speedier phone, she said.[3] No. Well, not yet anyway. According to AT&T, a "no-commitment" version of the iPhone 3G (perfect for those of us with commitmentphobia) is "coming soon", and will run $599 for the 8GB model and $699 for the 16GB model.[8] The wireless carrier, which for now has exclusive rights to sell the iPhone, said it would charge $599 or $699 (depending on the amount of memory in the phone) for versions of the phone without a contract.[9] Instead of following the industry standard of taking a carrier subsidy on the sale of each iPhone, Apple struck a deal for a slice of the subscription fee for every new AT&T subscriber. As it has turned out, both AT&T and Apple apparently underestimated the extent of subscribers and fees they lost from unlocked phones. At its Worldwide Developer Conference last month, Apple said it has sold about 6 million iPhones.[10] July 11 could look very different. To choke off the overseas black market for unlocked iPhones, AT&T and Apple insist that the new 3Gs be activated before they leave the store a retailing wrinkle that pretty much guarantees that any lines that have formed outside will move more glacially this year. To speed things up, AT&T's video (available here ) urges that buyers be "iReady," as they put it, and have all the necessary documents in hand or better still, visit the store ahead of time to get the credit check out of the way. It's hard to watch these videos to the end or run through the printable Get iReady checklist available here and not suspect that for a lot of customers, July 11 is going to be a nightmare. YouTube versions of both videos are pasted below the fold.[11] AT&T Inc. said Tuesday it has added current iPhone owners to the customers who can buy Apple's upcoming third-generation smart phone at a discount when they go on sale at 8 a.m. July 11 at AT&T retail stores.[3] AT&T says that's important. Because of the big subsidies it's giving customers, the company stands the risk of not recouping the entirety of what it paid Apple for the phone if customers aren't locked into a contract. "Under the current model, where we are subsidizing it, it's very important to get the service activated," said AT&T spokesman Michael Coe. For its part, AT&T has said it expects the subsidies to Apple to cut into its earnings by 10 cents to 12 cents a share this year and next.[1] If you are eligible for an upgrade and your account is in good standing (check your My Account page AT&T's website to find out if you qualify), you can also take advantage of the $199/$299 pricing. Otherwise, you can purchase an "early upgrade" which will run you $399 for the 8GB or $499 for the 16GB model. Both of those cases will require you to extend your current contract for another two years, and you'll have to pay an $18 upgrade fee to boot.[8] Keeping mine too. There's nothing really compelling for me with the 3G phone and nothing that justifies the increase in service price, had they kept the 200 texts in the data plan and not tried to sting us for an $18 upgrade fee (that's just cheap on their part) I might have jumped for the new tech lust but that urge really disappeared when I found out the new contract prices.[12] Compared to other smart phones and rate plans, the AT&T deal isn't bad. I think paying a couple hundred dollars or more to avoid being locked into a 2-year contract is a bad bargain. iPhoners who choose this option will still have to use AT&T service, they just avoid having to pay an early-termination fee.[13] AT&T's early-termination fee is a maximum of $175 and, as of May 25, that fee is reduced by $5 for each month you own the phone. That's a lot less than $400. Why would you do this? When I asked an AT&T spokeswoman, she said it is an option for people who don't want to sign a contract. We agreed someone really must hate contracts to spend more than twice the termination fee for this privilege.[14] How much is the fee for breaking the two-year contract? Even if you break, you probably save more money than paying full price. I doubt if they charg $400 for a broken contract, usually it's $150 or so.[5] The first version of the iPhone was sold in the U.S. without a contract, but AT&T would activate it only with a two-year contract.[15] A few of the details of the new situation have been made available. Apple announced the iPhone 3G, but so far AT&T -- the exclusive carrier for this smartphone in the U.S. -- has kept fairly quiet about it. AT&T revealed ]] AT&T revealed that there will be a few changes for those who want to upgrade from the current model.[16] While the consumer will be paying about $200 less for each iPhone, Apple is seen as making more money, thanks to the subsidies that the phone's carriers, including AT&T Inc. (T), will pay.[1] When Apple first launched the iPhone about a year ago, the company inked an agreement with AT&T that allowed the carrier to be the exclusive service provider for the iPhone.[10] I wouldn't. Unlike last year, customers won't be able to activate their new iPhones over iTunes'''instead, clerks will have to activate them in the store, contracts will have to be signed on the spot, and new AT&T subscribers will have to undergo credit checks. It could take a good 10-15 minutes per customer'''and that's if things go smoothly.[17] Besides releasing rate plan details, AT&T has also posted answers to some of the lingering queries that new and existing AT&T customers might have about snagging themselves an iPhone 3G. Here are a few that we hope will answer questions that readers have frequently been asking us.[8] There is an $18 fee for subscribers who upgrade to the iPhone 3G. New customers must pay $36 to activate services.[3] The plans which accompany the contract are the Unlimited iPhone 3G data plans at $30 a month (in addition to which voice plans starting at $39.99 a month need to be purchased).[18] At +$10/mo. for the 3G data plan and +$5/mo. to keep my same number of txt messages, I just think the additional $360 for the life of the contract is a bit steep.[12] I'd only really want to use data features over wi-fi anyway, and GPS isn't exactly what I'd call a necessity. With the rest of the hardware and software more or less the same, there's really no reason to subject myself to a three-year contract and those hellish plans just for a second-gen unit. (Plus I still think the first-gen case looks a bit more professional.[12] U.S. iPhone carrier announced it would cut a deal for consumers on Apple'''s upcoming wonder-phone with no contract.[2] FYI - I went to do the "pre-credit check" and was informed by both store reps and a customer service rep on the phone that there is no point. Because they don't have access to the "necessary things" yet for the iPhone, they told me they would have to run the credit check again on the 11th anyway. Although the iReady Checklist clearly says that doing a credit check ahead of time will save customers time on the 11th, this seems NOT to be true (unless the 3 people I spoke with just didn't know the deal).[11] By the time it is over and you've seen the GPS tracking, the App store, the games, the enterprise functions the contrast between the iPhone and your run-of-the-mill smartphone (never mind your dumb, featureless cell phone) couldn't be clearer. It's hard to watch it to the end and not harbor iPhone 3G lust.[11] It'll be a new process for everyone'''especially for Apple Store employees, who aren't accustomed to processing cell phone contracts'''so I'm anticipating (dreading, actually) a train wreck next Friday. Even if you're dying to lay hands on the iPhone 3G, you might want to wait a week or so until they get the kinks worked out.[17] For me, the most exciting thing about the new iPhone is the upcoming App Store, which will be stocked with scores of 3D games, chat clients, productivity apps, RSS readers, you name it'''and the App Store will be available July 11 as a free upgrade to the old iPhone. That'll keep you busy till the 32GB iPhone comes out. I've seen the future of cell phones, folks, and it's called the HTC Touch Diamond. With its gorgeous VGA screen, beautiful touch-screen interface, and compact, light-weight shell, the Diamond is the first phone to make me green-eyed with envy since ''' well, since the original iPhone.[17] I'm one of those guys who wait in line the day a shiny new gadget goes on sale, and the iPhone 3G is one of the shiniest gadgets of all. While I'll be out there waiting in the wee hours of July 11 (it's my job, after all), the rest of you should think twice before losing sleep on launch day.[17] With the July 11 launch of the iPhone 3G less than two weeks away, Apple and AT&T each posted videos Tuesday designed to soften the ground for what's shaping up as another frenzied triumph of Apple event marketing.[11] According to an Associated Press report, an AT&T spokesman confirmed yesterday that contract-free iPhones will remain locked and only work on AT&T's network. That will leave buyers keen to use the handset on other networks once again waiting for Italian hacker Zibri to update his popular ZiPhone unlocking tool for both iPhone 2.0 and the anticipated iTunes update - version 7.7 - that Apple will push with the new handset.[6] AT&T has revealed that non-contract, unsubsidised 3G iPhones will be tied to the network, dashing hopes that PAYG models might be more portable than the cheaper, subsidised versions of the handset.[6] AT&T said it would deal the 8GB model for $599 and the 16GB model for $699. That could be great news for Canadians.[2] The analyst firm ballparks Apple will get about $300 per unit from wireless providers. The second fact is the dropping cost of parts for the iPhones. It is estimated that the new 3G's materials make it 62% cheaper to build.[18] A GPS receiver has been added and the ability to run native third-party applications that have been approved by Apple. Aside from these, though, the iPhone 3G is quite similar to its predecessor. It will be available in an 8 GB version for $200 and a 16 GB version for $300.[16] The telco is believed to be writing a cheque to Apple for $300 for each handset it flogs. Selling them without contract means that AT&T will make about $99 in profit quickly.[5] The cheapest monthly contract from AT&T (which will continue to serve as the sole service carrier) will be about $80 a month.[13] AT&T says it subsidized part of the cost for contract customers, getting the money back over the life of the contract. AT&T says it's offering the no-contract option in response to customer demand.[7] The phone company also divulges the unsubsidized cost of the iPhone 3G, saying it will offer a no-contract-required option in the future.[10] Sure, Steve Jobs has touted the $199 price tag for the iPhone 3G, but as with anything where a non-Apple company is involved, the truth is not quite that straightforward.[8] Apple's stock price, which has jumped 43% over the past 12 months, likely reflects some of the iPhone optimism. RBC Capital Markets analyst Mike Abramsky recently raised his target for Apple shares to $220 from $200 because of "upside potential to iPhone estimates."[1] Individual AT&T stores sold out quickly, but many Apple stores had plenty of iPhones in stock in the days and weeks after the big day. (Indeed, there weren'''t any serious iPhone 1.0 shortages until just recently.)[17] The AT&T ( T ) video shot against a somewhat chaotic AT&T store backdrop and hosted by a red polo shirt-wearing spokesman named Larry Meyer has a tougher job to do. It's trying to minimize what's likely to be human gridlock when the doors open at 8 a.m. Friday July 11 at Apple and AT&T stores across the U.S. (and in 21 other countries around the world). iDay 2007 went surprising smoothly, at least at Apple's retail outlets, despite lines that formed days ahead of time and snaked around whole city blocks.[11] All devices will have to be activated in the store at the time of purchase. This seems to be an attempt to cut down on the number of iPhones that are purchased and then unlocked to be used on another carrier's network.[16] Coupled with the increased availability of the 3G iPhones worldwide and an impending deal with one of China's mobile service providers, the demand for unlocked iPhones could shrink, analysts say. "All this will significantly reduce the unlocked iPhone market, says Ezra Gottheil, an analyst with Technology Business Research, "though it may not entirely disappear."[10] The advantage to spending more money up-front and avoiding the carrier'''s subsidy is simple. You can hold out for a better deal than Rogers is offering with its three-year iPhone 3G ball-and-chain deal.[2] Canadians can now bring home a hacked iPhone 3G and buy a SIM card from Rogers with a standard month-to-month plan.[2] According to AT&T's cutely named iReady checklist (PDF link), prepaid plans are not available for iPhone 3G.[8] The iPhone 3G will be getting GPS and, of course, 3G'''but for now, you can't download music tracks over AT&T's 3G network or access AT&T's streaming video service.[17] "We can't wait to offer iPhone 3G to our customers, and we want to make sure the buying process is as easy as possible," said Ralph de la Vega, president of AT&T's wireless unit.[3] Perhaps the iPhone has a removable SIM card. That's what an "unlocked" phone offers, meaning you are not tied to any specific wireless carrier.[14] Who knows, maybe by next summer a brand new carrier will offer more interesting and flexible rates for your unlocked GSM cell phone.[2] Make sure you sync your existing iPhone with iTunes before trying to sync your new phone so that all your data is current.[8] For information on the new iPhones and pricing of services, visit AT&T.[13] Jul. 2--As someone who is familiar with the coverage that surrounds the iPhone, I was puzzled by Tuesday's announcement from AT&T about a new way to buy the gadget.[14] AT&T will no longer allow users to buy an iPhone and then active it on AT&T's network later at home.[16] As previously announced, the cheapest monthly calling plan for the iPhone will cost $70 per month, before taxes and fees that can add $10 per month. That plan includes 450 minutes of calls and unlimited e-mail and Web browsing. [15] A recent study by hardware analysts iSuppli estimates that the manufacturing cost for each phone is $173.00 (the original cost $280.82).[18] Based on AT&T's roughly 6 billion shares outstanding, that equates to projected costs of $600 million to $720 million a year. You can use this link on the day this article is published and the following day.[1] Even though you do not need to take out a 2 year contract, you still need to sign up for an AT&T plan of some kind.[5] The cheapest option is a free basic cell phone with a 1yr contract from any provider. One does not really need to carry the TV and internet hanging off their belt. unless you are a fireman or policeman.[13] If people sign up for a contract it will take AT&T a while to get the money back on the subsidised phone.[5] If you bought the Rogers contract you shouldn't cancel the contract because you'll pay out the nose. The purpose of buying one from AT&T is first, it's not Rogers, second you'd have to unlock it, that means hacking and risk a bricking.[2] Since the early termination fee for ending a contract is normally $175, it isn't immediately clear if many consumers will pay an extra $400 just to avoid a contract.[7] First off, the fee for unlimited data service is going up from $20 a month to $30 a month. This is likely a result of the upcoming model offering significantly faster wireless access.[16] Although EDGE connection is slow, there's nothing inherently wrong with first generation iPhone and $20/month for unlimited data and 200 SMS seem to be heck of a deal to me.[12] Based on analysts' forecast that between 35 million and 45 million iPhones will be sold before the end of 2010, that could add $4 billion or more to Apple's top line.[1] While the companies involved won't comment on the plan, industry observers now suspect the subsidies may total more than $300 a phone, giving Apple an extra $100 or more on each phone sold.[1] Will truly unlocked iPhones still be available in China? I put a lot of faith in the efforts of crackers to defeat whatever Apple comes up with, but I would personally be wary of getting an unlocked iPhone that might not accept upgrades, mostly because iPhone software needs upgrades. [4] More about the iPhone 3G The iPhone 3G is the second-generation of Apple's smartphone. As its name suggests, the major improvement in this model is support for 3G cellular-wireless networking, but that won't be the only change.[16] Word of hundreds of massive overseas shipments bound for Apple (which began arriving as early as March) leads me to believe that there's a healthy supply of iPhone 3Gs on hand.[17] The cost of manufacturing the iPhone is expected to drop by at least 30% by 2010, according to iSuppli, which tracks the costs of components for high-tech goods. Apple spokesman Steve Dowling declined to provide additional details about its arrangements with carriers or its pricing strategy.[1] The Apple ( AAPL ) video, shot against a minimalist backdrop and hosted by the same black T shirt-wearing spokesperson who led the original iPhone tour guide, comes across as an earnest summary of what's new in the 3G version.[11] You might want to give the Diamond a serious look before committing to a new two-year iPhone contract.[17] According to Zibri, unlocking iPhone 2.0 will require a baseband downgrade. His advice: don't dash to upgrade an exiting iPhone or buy a new one until the status of unlocking tools like ZiPhone are more clear.[6] Anyone who wants to use an iPhone on T-Mobile in the U.S. might as well get a 1st gen iPhone and hack it to be unlocked, unless you really want to pay that premium just for GPS, improved battery life, and a flush headphone jack.[4] Including subscribers in countries outside the U.S., the percentage of unlocked iPhones could range from 30% to 40% of all iPhones sold, analysts estimate.[10] Remember last year, when we all got in line early for the iPhone because we were afraid it would sell out? Well, that didn't quite happen.[17] Last year's iPhone launch, which happened in the evening, had Apple devotees camping outside stores in anticipation.[15] Thanks to the success of the iPod, the launch of the iPhone and the renewed interest in the Mac, Apple has made believers out of millions of customers - and made a lot of investors rich.[11] Without a SIM and phone service, the original iPhone essentially becomes an iPod touch. [12] I'm not buying - keeping my old one - but I believe the newest version will draw more cell phone-philes to a great product. The iPhone is so good, it's made competitors better, including Blackberry and Sprint which have released similar smart phones with touch screens and better video-playing capabilities.[13] A real bargain for consumers will come when the iPhone is offered with service from other carriers.[13] With a traditional "unlocked" phone, you pay more for the phone because it is not tied to a specific carrier and, therefore, it is sold without the usual subsidy. Many people, this blogger included, have bought phones this way.[14] Many phones ended up being "unlocked" from AT&T's network and shipped overseas.[15] If the contract-free phones sell well, perhaps to overseas punters, then AT&T gets long-term and short-term revenue.[5] Windows users used to laugh at Mac owners and called us a cult. WHere did all these "cool" or "status" come from and why? Apple just ships higher end useful product. This is a very interesting article. Certainly highlights the differences between these two corporationsget Apple stuff and be cool, but you have to put up with AT&T crap to get there!! There's always a cloud around your silver lining, it would seem.[11] AT&T also announced Tuesday it has posted tips and answers to frequently asked questions at att.com/iphone for individuals preparing to buy the updated Apple product. This material may not be published, broadcast, rewritten or redistributed.[3] The company makes a $26.00 profit on each handset. Mobile phone providers have always lost money on delivering handsets, but made them up via subscriber fees. [18] Eligibility is based on the amount of time remaining on a contract and customer's payment history, the company said.[3] We'''re being assured that 40% of the new bands are reserved for new entrants into the wireless carrier biz. That could be good news if you'''re sick of Rogers and by the comments we'''ve been receiving it sounds like we are. [2] A prepaid option was available to buyers of the first iPhone who failed a credit check.[15] REFERENCES 1. New IPhone Rules: More Apple Revenue, Fewer Unlocked Phones 2. ATT Contract Free iPhone ''' Possible Relief for Canadians | Gizmo Republic 3. Discount for current iPhone users- al.com 4. Will iPhones via China Mobile be unlocked? | Sinobyte: CNET Blog on technology and the impact on China's environment, politics, and international affairs. - CNET News.com 5. AT&T dumps two-year Iphone contract - The INQUIRER 6. AT&T: pay-as-you-go iPhones will be locked | Register Hardware 7. AT&T To Offer Contract-Free iPhone 8. iPhone 3G questions, answered - Network World 9. IPhone users can't cut the cord on AT&T -- Courant.com 10. Apple, AT&T Try to Plug a Hole in iPhone Revenue - TheStreet.com 11. FORTUNE: Apple 2.0 How to launch an iPhone: A tale of two videos « 12. TUAW Poll: What are you doing with your original iPhone? - The Unofficial Apple Weblog (TUAW) 13. Consumer Talk | Sun-Sentinel Blogs: Buying iPhone without contract too costly 14. Chicago Tribune Tech Buzz Column - Technology - redOrbit 15. FOXNews.com - AT&T offers new option of iPhone without contract - Science News | Science & Technology | Technology News 16. Latest iPhone details from AT&T outlined 17. 5 reasons to hold off on the iPhone 3G : Ben Patterson : Yahoo! Tech 18. Apple iProfits Revealed / Infopackets.com AT&T to offer users new Apple iPhone without two-year contractCONTENTS:
NEW YORK (AP) - AT&T said today it'll sell the new version of the iPhone without a service contract for $400 more than the price with a 2-year plan. That's a break from the rules Apple set forth when it debuted its popular touch-screen gadget last year. Two new iPhones models go on sale with 2-year AT&T contracts July 11th for $199 and $299, depending on the amount of memory they contain. [1] The iPhone will be available at the no-contract price sometime after July 11, AT&T said. The $199 price is available to new customers, people who purchased the previous iPhone model and current subscribers who have neared the end of their contracts, if they sign up for two more years of service. By publicizing the unsubsidized price of the iPhone, AT&T can tell customers they're getting a $400 discount for signing the two-year contract, said Jennifer Fritzsche, an analyst at Wachovia Securities Inc. in Chicago. She expects AT&T shares to outperform the broader market. "It's a marketing attempt by the company to get people in the door with the lure of no contracts,'' Fritzsche said. "Given the exorbitant price they're charging without the contract, once they're in the door it's an easy sale.''[2] DALLAS - AT&T Inc., seeking a wider base of customers for Apple Inc.' s new iPhone, will offer the device without a service contract and instead make users who don't want a two-year commitment pay an additional $400 and get a month-to-month plan. That gives the biggest U.S. mobile-phone carrier a way to ensure that only people who sign longer contracts will get discounts on the new device, which runs on a speedier third-generation wireless network.[3] As a satisfied AT&T iPhone customer, who will be upgrading to the new phone on 7/10, I'm not sure what everyone's beef with AT&T is. I find that my coverage is as good as any other network, my rate plan is fairly reasonable - BTW when you're comparing T-Mobile don't forget that their unlimited data plan is $59 vs. $29 on AT&T. It's not a ripoff, it's business! Don't get mad at the phone company because they have the idea to sign an exclusive contract. Others have been doing it for years. I'm so surprised at Apple for what they are doing with At&t.[4] AT&T also said not everyone will get the $199 price for the base, 8-gigabyte model touted by Apple co-founder and Chief Executive Steve Jobs during a speech last month. That will be reserved for new AT&T customers, as well as those far enough into existing contracts to qualify for a phone upgrade and owners of the original iPhone. Under those conditions, the beefier 16-GB model will cost $299.[5] The spokesman noted that ATT offers other phones like the BlackBerry Pearl and Samsung BlackJack at a low contract price and higher no-contract price. '''I kind of wonder whether someone was checking some box off somewhere because they had to,''' said Mr. Moffett, referring to ATT'''s management. '''At that price, why bother? If nothing else, psychologically, it makes people think they are getting a good deal if they sign up for a contract.''' That'''s particularly true if early reports on the value of the iPhone'''s parts are true. iSuppli, a market research firm, did a virtual (read: quick) teardown of the new iPhone 3G and suggested the hardware and cost of manufacturing was valued at $173, $53 less than the original iPhone. One other nagging question ATT cleared up in its news release Tuesday about all things iPhone: the cost of text messaging. |