ITT: People whining about paying for an AT&T contract when that's what's actually making the phone cheaper in the first place.
Cos, you know, it's the carrier subsidising the unit, not Apple.
So you are saying that the TCO is more then right? Some people don't care if the upfront cost is more or the monthly cost is more. The sad truth is that they didn't add much to the iPhone and are charging the same price as last year.
People are used to either getting a much better product or a lower total cost when a major update occurs. The iPhone is still a great product but there are others that are very close or will surpass it without all of the restrictions.