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You'll also get prorated credits for the same amount. When you change phones, the system will expire old codes to make your data and messaging work, and put on new codes. The charges and credits for this zero each other out since they'll be the same dollar amount.
That's what I assumed but the chat lady didn't see it that way. Oh well.
 
all the years I and my wife got new iPhones, we were hit with the activation fee.

Because you were probably getting them subsidized on a contract, no?

Bottom line: if you buy a new iPhone outright at an Apple store, there is no AT&T upgrade fee. If it's a new line, then of course there will be one.
 
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