Apple Considering Launching 8 GB iPhone 3GS Before Christmas?

[MacRumors]

Boy Genius Report posts a brief tidbit noting that it has heard from two separate sources that AT&T (and thus Apple) is considering launching a $99 iPhone 3GS in time for Christmas.

We've heard now from two sources that AT&T, and we guess Apple, are contemplating launching an 8GB iPhone 3GS at the $99 price point before Christmas. One source said this was AT&T's way of combating the DROID madness.

No further details, such as whether Apple would simply replace the 8 GB iPhone 3G currently offered at that price point or retain the iPhone 3G model at an even lower price point, are provided.

Since the introduction of the iPhone 3GS earlier this year, Apple has continued to offer the older 8 GB iPhone 3G hardware in order to be able to position a product at the psychologically important low-end price point of $99.

Article Link: Apple Considering Launching 8 GB iPhone 3GS Before Christmas?

[thegoldenmackid]

Phil. You Liar.

[eawmp1]

Makes no sense.

[mspy]

Originally Posted by eawmp1

Makes no sense.

I agree. Unless they are running out of the 3G hardware supplies they had.

[azentropy]

8gb iPhone 3GS - $99 w/2 yr contract
8gb iPhone 3G - FREE w/2 yr contract

Make sense now?

[Bobjob186]

Originally Posted by azentropy

8gb iPhone 3GS - $99 w/2 yr contract
8gb iPhone 3G - FREE w/2 yr contract

Make sense now?

couldn't make anymore sense really.

[mspy]

Originally Posted by azentropy

8gb iPhone 3GS - $99 w/2 yr contract
8gb iPhone 3G - FREE w/2 yr contract

Make sense now?

It does. That would cover just about every price point of a potential buyer.

[OceanView]

Originally Posted by azentropy

8gb iPhone 3GS - $99 w/2 yr contract
8gb iPhone 3G - FREE w/2 yr contract

Make sense now?

If that happens, there will be big migration to AT&T.
I wonder how much it costs Apple to make these phones.

[macduke]

Originally Posted by azentropy

8gb iPhone 3GS - $99 w/2 yr contract
8gb iPhone 3G - FREE w/2 yr contract

Make sense now?

Crap...at least the $30/mo data plan will keep it from becoming the "new Razr." Still, there will be lots of people sucked in by the "free" part, who don't consider the data plan because their eyes glaze over any time they hear the word "free." Those people will continue to spiral into debt because even after everything our economy has gone through, they are still encouraged to spend more than they make.

I'm not bitter!

[KindredMAC]

I think it would be a VERY smart move on AT&T's part... especially if Apple is getting ready to cut them loose in July as the exclusive US carrier.

I might even make the move to 3GS from my 2G iPhone finally is there were an 8GB for $99.

A better alternative to "Free" 3G iPhone would be $49. That way there is still $$$ rolling in for each purchase.

There is only one problem though... If AT&T gets a huge influx of new users at the holidays, say bye-bye to the network.

[FSMBP]

I don't get why you people think that setting the iPhone to $0.00 would increase it's popularity. People setting up a 2 year contract, wanting an iPhone, won't mind spending a one time fee of the $99 or $50 or $20. It's the DATA plan people are concerned about.

I would gladly buy an iPhone for $200 with a two year contact with NO DATA plan. It would be the same price as an iPod touch but it doubles as phone/texting device.

Back on topic though; I can see Apple doing this after the Holidays...maybe towards January-ish - with leaving the 3G and going for a $99 3GS. I don't think "Droid" mania is as big as everyone thinks; it's mostly popular among geeks who frequent Gadget sites (which are a minority of people).

[rdowns]

Originally Posted by OceanView

If that happens, there will be big migration to AT&T.
I wonder how much it costs Apple to make these phones.

There are reports of what the raw materials cost but no one knows what Apple's real costs are. In any case, their cost is immaterial to the discussion as ATT eats most of the cost of the phones in exchange for the 2 year contract.

[kgeier82]

Originally Posted by KindredMAC

I think it would be a VERY smart move on AT&T's part... especially if Apple is getting ready to cut them loose in July as the exclusive US carrier.

I might even make the move to 3GS from my 2G iPhone finally is there were an 8GB for $99.

A better alternative to "Free" 3G iPhone would be $49. That way there is still $$$ rolling in for each purchase.

There is only one problem though... If AT&T gets a huge influx of new users at the holidays, say bye-bye to the network.

I have learned to accept the "bye bye to network" in the last two years of ipHone releases.

Still the best phone, with decent enough service. Id rather have an awesome phone on B+ service, then a ok phone on Verizon (A)

[scott523]

Originally Posted by FSMBP

I don't get why you people think that setting the iPhone to $0.00 would increase it's popularity. People setting up a 2 year contract, wanting an iPhone, won't mind spending a one time fee of the $99 or $50 or $20. It's the DATA plan people are concerned about.

I would gladly buy an iPhone for $200 with a two year contact with NO DATA plan. It would be the same price as an iPod touch but it doubles as phone/texting device.

Back on topic though; I can see Apple doing this after the Holidays...maybe towards January-ish - with leaving the 3G and going for a $99 3GS. I don't think "Droid" mania is as big as everyone thinks; it's mostly popular among geeks who frequent Gadget sites (which are a minority of people).

Not only the data plans. It's the minute and text plans also! They really think that lowering the price of the iPhone 3G would make a difference.. 4 years passed and I haven't seen AT&T changed their plans like T-Mobile has last month.

[MacFly123]

Originally Posted by thegoldenmackid

Phil. You Liar.

http://kellylowenstein.files.wordpre...-lie-photo.jpg

Haha, that was my first thought. I think it makes sense as far as 3Gs finally running out and only having "one" product again for assembly and parts, but I'm not counting on it.

[gjkiii]

Maybe they are trying lock in as many customers as possible because next year they might be losing the exclusivity rights

[nickXedge]

Originally Posted by azentropy

8gb iPhone 3GS - $99 w/2 yr contract
8gb iPhone 3G - FREE w/2 yr contract

Make sense now?

My thoughts exactly when I read this article. How would anyone think this doesn't make sense?

Originally Posted by gjkiii

Maybe they are trying lock in as many customers as possible because next year they might be losing the exclusivity rights

That doesn't really make sense. Apple doesn't care about releasing a product to lock people in with AT&T. And in the end, it's Apple's decision whether or not to release another version of their product. AT&T can't make an 8GB iPhone 3Gs.

[mickhyperion]

I would think if Phil Schiller just said there will be no more new products this year, then that means there will be no more new products this year.

[Chupa Chupa]

Originally Posted by azentropy

8gb iPhone 3GS - $99 w/2 yr contract
8gb iPhone 3G - FREE w/2 yr contract

Make sense now?

Not really. The 3GS is not worth $99 more than the 3G w/ the same amt. of memory. If you want the boost the GS offers then you are going to want at least 16GB RAM too. I can't see a $99 8GB 3GS being a huge seller next to a free 8GB 3G. At this point the 8GB consumer is one that wants cheap not the latest and greatest. I don't think Apple would be so dumb as to make that move. Now making the 8GB 3G free that would make Verizon cry.

[GeekLawyer]

Originally Posted by mickhyperion

I would think if Phil Schiller just said there will be no more new products this year, then that means there will be no more new products this year.

An 8GB iPhone 3GS isn't a new product. It's a new capacity for an existing product. That's the way I'd read this, anyway.

[thejadedmonkey]

Originally Posted by azentropy

8gb iPhone 3GS - $99 w/2 yr contract
8gb iPhone 3G - FREE w/2 yr contract

Make sense now?

No, it makes less sense now. Apple is NOT one to compete in the low end market, and unless this is changing, I can not see Apple pricing any iPhone for free. This would give the impression that the iPhone is now a free phone, old, outdated, and ready to be dethroned.

[azentropy]

Originally Posted by Chupa Chupa

Not really. The 3GS is not worth $99 more than the 3G w/ the same amt. of memory. If you want the boost the GS offers then you are going to want at least 16GB RAM too. I can't see a $99 8GB 3GS being a huge seller next to a free 8GB 3G.

Faster processor, compass, better camera, video recording, voice control ... To many that would be worth the extra $99.

[Bobjob186]

Originally Posted by azentropy

Faster processor, compass, better camera, video recording, voice control ... To many that would be worth the extra $99.

Absolutely, the performance improvements alone between the 3g and the 3gs are worth $100.

[azentropy]

Originally Posted by thejadedmonkey

No, it makes less sense now. Apple is NOT one to compete in the low end market, and unless this is changing, I can not see Apple pricing any iPhone for free. This would give the impression that the iPhone is now a free phone, old, outdated, and ready to be dethroned.

Maybe, but I think people are smarter than that. In other countries iPhones have been offered for free with contract.

[Yvan256]

With the monthly fees Rogers are asking for the iPhone in Canada, the price of the iPhone isn't the real problem.

Even if the iPhone was free, I couldn't afford the monthly plans. I also don't want to sign a THREE years contract for a phone.

I hope Telus and Bell have more sensible plans.

Hum, just checked the coverage map for Telus and Bell. No coverage for my area, so forget it. A free iPhone could only be used as an iPod touch.