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View Full Version : For those people that think the Iphone is now cheaper than the Touch




cakbar
Jun 11, 2008, 12:51 PM
I will now be selling 8GB Ipod Touch's for $189.99. In order to get them for that price, all you have to do is pay $189.99 and 24 future payments of $15.00 (+ applicable taxes).

Any takers???



NT1440
Jun 11, 2008, 12:53 PM
I will now be selling 8GB Ipod Touch's for $189.99. In order to get them for that price, all you have to do is pay $189.99 and 24 future payments of $15.00 (+ applicable taxes).

Any takers???
That would be paying continuously for the ipod, the charges on the iphone (yes i get your pathetic joke) are from AT&T and for service, you pay apple 199, i repeat APPLE gets 199, so the iphone itself is cheaper, the service however is not.

Kohkane
Jun 11, 2008, 12:58 PM
That would be paying continuously for the ipod, the charges on the iphone (yes i get your pathetic joke) are from AT&T and for service, you pay apple 199, i repeat APPLE gets 199, so the iphone itself is cheaper, the service however is not.

As far as I know. I heard Apple gets a share from the monthly payments to :apple:

aethelbert
Jun 11, 2008, 12:59 PM
That would be paying continuously for the ipod, the charges on the iphone (yes i get your pathetic joke) are from AT&T and for service, you pay apple 199, i repeat APPLE gets 199, so the iphone itself is cheaper, the service however is not.
You obviously don't understand how a subsidy works. Apple will get more than $199 from each one sold. The provider pays the full cost of the phone and discounts it to draw in customers.

NT1440
Jun 11, 2008, 01:00 PM
As far as I know. I heard Apple gets a share from the monthly payments to :apple:

:confused: arent there a thousand threads stating that revenue sharing between AT&T and apple are over?

NT1440
Jun 11, 2008, 01:02 PM
You obviously don't understand how a subsidy works. Apple will get more than $199 from each one sold. The provider pays the full cost of the phone and discounts it to draw in customers.
alright, but you personally pay apple 199. the rest of the money comes from paying AT&T a rather standard fee.

i guess none of you will ever get over this tho.

only
Jun 11, 2008, 01:05 PM
it doesn't matter where the money goes or how much apple makes from each phone. those are the prices everyone is going to pay to obtain either an ipod touch or an iphone. bite your pillow and cry more?

ETA: also nice post cakbar, i lol'd :)

davidy
Jun 11, 2008, 07:36 PM
Just because AT&T is called AT&T, and Apple is called Apple doesn't mean that they are separate entities in reference to the iPhone.

You can NOT get one without the other. There is no sense in saying that you get the iPhone for $200 because you can not get one without the AT&T contract.

Saying you can get the phone for $200 is like saying you can buy a new car for only $1000 (the down payment).

The phone will cost you at least $600 over the 2 year contract period whether you pay for it up front or a little at a time.

copydeskcat
Jun 12, 2008, 04:13 AM
No matter what way you look at it - the 8GB iPod Touch is cheaper than the 8GB 3g iPhone.

One is a large up-front outlay (Touch) with no more to pay (other than small charges for software updates -- and the other is a small(er) up-front outlay with an ongoing subscription charge, plus call charges+tax (iPhone).

Either way, the iPhone is going to rip more out of your pocket over time than an iPod Touch.

tiguk
Jun 12, 2008, 05:51 AM
I think the more interesting thing is that, at the moment, it appears to be a change in Apple policy on pricing.

The Touch was priced cheaper than the iPhone when they launched (forget the monthly phone service costs), so Apple was obviously saying "Yes, we understand the Touch has less functionality, so we're selling it to you cheaper". Now though, it would seem that Apple are happy to price the Touch higher than the initial purchase cost of the iPhone.

Lets face it, we all have phones, so are probably paying some sort of monthly rate anyway. It's a little unfair to compare the Touch cost to the iPhone and include these ongoing costs.

.Andy
Jun 12, 2008, 05:57 AM
As an aside to clarify again: Apple is not charging AT&T $199/$299 for the iphones. Apple are charging AT&T considerably more (and is where Apple are making a profit themselves on the phones). AT&T are in turn subsidising and selling the phone at $199/$299. The difference between what Apple charges AT&T, and what AT&T charges the customer, is made up (with a profit) over the course of the contract with AT&T.

When you buy an iPhone from the Apple store it's the same price as buying it from AT&T because Apple are in essence just acting as an agent for AT&T. You cannot buy the phone from Apple without a contract from AT&T. So when Apple sell an iPhone in their store, AT&T pay apple for the phone (which is where apple makes it's profit) and the consumer signs a contract with AT&T (from which AT&T make their profit).

Except in the short term, there is no way you can get away with an iPhone for a lower price than an iPod touch.