Apple Store No Longer Sells iPhone With 2-Year Contract on AT&T

[HobeSoundDarryl]

You also loose your unlimited plan by choosing AT&T next...

I see, so we're talking about a niche segment of the whole. If I'm those people, I pay full price for new iPhones and transfer my unlimited plan to the new phone. If I need to finance $700-$800, I can charge it onto one of those no-interest cards for 12-24 months and make small monthly payments just like this plan offers. Or I buy at Best Buy or similar when they are running 12-24 months same as cash for the same benefit.

 

[AppleScruff1]

lol not a chance.

Yep, because Verizon will probably soon follow suit too. Subsidized phones are going away at some point.

 

[NikRib]

then i guess ill be passing on this years iphone. horrible decision.




Also in the same boat. Though the clients won't mind, i often urge them to stay up to date.

You can always purchase your iPhone at an AT&T store (although I still prefer Verizon's service) and Apple may soon follow suit with Verizon and their "Verizon EDGE" Program, which AT&T imitated here.

 

[bytethese]

Why? If you look at the details, it's actually CHEAPER.

Pay $199 for a phone on Verizon or Sprint, but pay $0 for a phone on AT&T Next

$21/month is $504 after 2 years. But you get a savings of $15/month off your bill by going with AT&T Next - so you save $340 - actual cost is $504-$340 = $164. CHEAPER.

I actually think you'll get many more people making the switch TO AT&T when they find they can get a phone NOW for $0, and the other carriers force them to pay $200 up front. People will ignore the fact (at purchase time) that their bill will go up month to month. Then, of course, they'll complain later.

Right, but that only applies if you keep your phone for 2yrs. Folks like me pay for two lines so I get a new iPhone every year, either sell or give to family the old device. If I want a new device with this plan, I have to trade in my old device and I have nothing to show for it. Plus it seems I'd lose my grandfathered Unlimited plan.

 

[Cory Bauer]

So if one chooses the 64GB/$24.95/mo option, what is the total monthly bill with unlimited calling+text and say 1GB of data? Because I would rather pay $299 up front and have a lower monthly bill than pay $0 down and see my monthly bill jump to $90/mo.

 

[theFly]

I can't speak to unlimited plans because I don't have one but other than that how is Next worse than the 2 year contract? Either way you're paying off the phone in installments.

Most people are idiots and don't think they're actually paying full price for the phone on the 2-year contract, that they're only paying $199 for it. On the Next program, it specifically spells out that you're paying for the phone over two years.

See the difference, AT&T is being transparent about it on the Next plan and people are freaking out.

 

[jbachandouris]

Yeah I saw that rumor. But there article quoted for this macrumors article mentions that contracts will still be available at the ATT stores.
But it its NEXT or no upgrade. I'll just switch to Verzion. Their plans are cheaper.

In my area, their service is better as well. I only switched for the iPhone. I have 3 lines at the moment and 1 is my mother's flip phone. We have 3GB of data. My daughter goes to high school next year, so that means 1 more line. May have to see who is cheaper at that point...

 

[WildCowboy]

Why? If you look at the details, it's actually CHEAPER.

Pay $199 for a phone on Verizon or Sprint, but pay $0 for a phone on AT&T Next

$21/month is $504 after 2 years. But you get a savings of $15/month off your bill by going with AT&T Next - so you save $340 - actual cost is $504-$340 = $164. CHEAPER.

But with Next you have to trade in your phone at the end. Or make another six installment payments if you want to keep it.

 

[ThaRagingAsian]

I had a great system before. 2 year contract up, sell my iphone for 200. buy the new iphone for 200. keep my old and cheaper data plan.
I had checked to see if the new plans were any cheaper and they are not.
Just another move to get us to pay more.

Been wanting to switch to T-mobile so i can add my parents and get them iphones.

AT&T just gave me a good reason to do that.

 

[0928001]

I do a lot of iPhone upgrades at my job for AT&T. 9/10 people choose 2 year contracts. AT&T could go out of business for this.

Go out of business? Are you insane? You can still get 2 year contracts; just use AT&T's website instead of Apple's.

 

[theFly]

Right, but that only applies if you keep your phone for 2yrs. Folks like me pay for two lines so I get a new iPhone every year, either sell or give to family the old device. If I want a new device with this plan, I have to trade in my old device and I have nothing to show for it. Plus it seems I'd lose my grandfathered Unlimited plan.

If you're doing the Next 12 plan, you can upgrade your phone every year. You trade it in because you've only paid for half the phone, AT&T will second market the phone to make up the difference.

 

[johnmcboston]

You also loose your unlimited plan by choosing AT&T next...

Exactly. AT&T is crappy all around - the only reason they still have my business is unlimited data. Looks like Verozon is getting my biz for the next phone (They also have a "next" type of service)

 

[Locoboof]

I see, so we're talking about a niche segment of the whole. If I'm those people, I pay full price for new iPhones and transfer my unlimited plan to the new phone. If I need to finance $700-$800, I can charge it onto one of those no-interest cards for 12-24 months and make small monthly payments just like this plan offers. Or I buy at Best Buy or similar when they are running 12-24 months same as cash for the same benefit.

To me....this is a ploy to drive traffic away from the apple stores. A lot of people buy accessories on new iPhone day. If more people don't want AT&T next and buy from a AT&T store,it benefits them.

I used to enjoy the whole fanfare and spectacle of waiting outside a Apple Store and getting my phone on day one.

 

[jeremypodom]

Why? If you look at the details, it's actually CHEAPER.

Pay $199 for a phone on Verizon or Sprint, but pay $0 for a phone on AT&T Next

$21/month is $504 after 2 years. But you get a savings of $15/month off your bill by going with AT&T Next - so you save $340 - actual cost is $504-$340 = $164. CHEAPER.

I actually think you'll get many more people making the switch TO AT&T when they find they can get a phone NOW for $0, and the other carriers force them to pay $200 up front. People will ignore the fact (at purchase time) that their bill will go up month to month. Then, of course, they'll complain later.

I fully understand that math. But people don't care about the math. Part of the problem is Next doesn't have as good of a fine print for plan carryover - a lot of unlimited data plans will be lost. Tack that on top of the fact that AT&T has some of the most expensive monthly service to begin with, on top of financing MULTIPLE phones? People can't afford to pay that much per month for cell phones. Nobody budgets that way.

I know it technically saves money, but I'm going in to work later today and I'd bet a good amount I'm going to get some very angry customers almost immediately when I have to tell them they can only do Next.

 

[Locoboof]

Exactly. AT&T is crappy all around - the only reason they still have my business is unlimited data. Looks like Verozon is getting my biz for the next phone (They also have a "next" type of service)

We'll just have to order from AT&T online at midnight.

 

[SgtPepper12]

I always thought American mobile carrier traditions are sort of weird, and never understood why people just rolled with it. I know here in Germany it used to be very similar, you paid monthly for a plan and got the phone for free (or at least you thought that's how it worked). Nowadays, everybody knows that it's a huge ripoff, and the "subsidized" phones are generally a lot more expensive than just getting a cheap plan exactly like you need it and buying the phone somewhere else (although you can still buy your phone from the carrier, but I literally don't know a single person who was dumb enough to do that). I hope this slowly becomes a thing in the US, as it's a lot more transparent and flexible.

 

[2457282]

I switched over a while ago. $100/month for 15gig of data with rollover, plus $15 per line. works out well since I have several lines. I have at times bought out the phone out right (like for my daughter) and used Next at other times, like for my 6. I have no issues here as long as Apple still provides the option to buy the phone up front.

 

[john123]

Having looked at this, the new program is better for the user. After you've paid off the phone, you no longer pay the phone surcharge like you did with the 2-year contract (i.e., if you keep your phone longer then two years, your bill doesn't go down). You're free to keep your phone after that, but if you want to upgrade earlier, then you have to trade in your phone.

Of course, you're always free to purchase the phone outright, from what I'm hearing, on the new plan, they'll still honor the Unlimited plan folks.

I'd expect Verizon to follow this before the next iPhone comes out.

There are always outliers.

No, he's not just an "outlier." Your math and logic leave out a lot of important stuff—like the fact that it's easy to sell an iPhone two years later for roughly the same amount (and sometimes more) than you paid with the original subsidized price. Also, the AT&T site calculations are a little contrived; there's a variety of folks on different plans for whom the numbers work out pretty differently.

There are certainly some people for whom Next makes sense, but broadly claiming that it's "better for the user" is wrong.

 

[pavelbure]

You will still be able to keep your unlimited data according to this.

http://9to5mac.com/2015/06/01/apple...bsidies-this-month-as-verizon-changes-coming/

 

[mac.cali]

and now they will make a killing of rate plans ill just keep my unlimited data and pay full price

You will most likely have to purchase full price from AT&T as Apple doesn't sell the iPhone full price if you have an upgrade on your account.

 

[jeremypodom]

You will most likely have to purchase full price from AT&T as Apple doesn't sell the iPhone full price if you have an upgrade on your account.

^^^
false

 

[Tycho24]

then i guess ill be passing on this years iphone. horrible decision.

Isn't that like cutting off your nose to spite your face??
You say it's a horrible decision for them, then describe only how YOU will be negatively impacted... not getting a new iPhone in no way harms them, only you. I mean, I assume you'll continue to pay your bill, even if you keep your old phone, correct?

 

[frankmcma]

$21/month is $504 after 2 years. But you get a savings of $15/month off your bill by going with AT&T Next - so you save $340 - actual cost is $504-$340 = $164. CHEAPER.

BUT...does it end? So yes if you upgrade each cycle it could end up being cheaper..but what if you don't? Say someone got a new iPhone and held on for 3 or 4 years (yes parents do this) are they still paying $21 a month? Yes it is $504 after 2 years, but if that is a fixed rate, it's over $1000 for 4 years. My guess is that ATT starts making a lot of $$$ on people who don't upgrade.

I have ATT and been grandfathered in. Each year I sell my old phone on Gazelle and my new phone is very inexpensive..contract renewal years it's free (or I make money) after selling..off years it still only costs me a few hundred (paying full price and selling the old phone)

I always have bought my phone at the Apple store. Look like I may be switching to T-Mobile or some other one if this is the new deal...

 

[thadoggfather]

Is AT&T doing away with 2 year contracts all together or just for the iPhone?

So much for potentially getting a 6S+ with my subsidy.

might be worth holding onto my jailbroken 6+ for quite some time then

 

[tito2020]

You could thank t-mobile for this.