The question is "What is the total price of phone + 2 years of service?". Historically, the phones have been dirt cheap (sold at a loss), with the hardware loss recovered via locking people into astronomically high rate plans. Because every carrier is using that strategy, and consumers are usually incapable of thinking more than a month ahead, they don't realize the extent to which they are being raped. For instance Cingular's current unlimited data plan is something like $60 / month, on top of the already-expensive voice service. When I found that out, I started second-guessing the idea of getting an iPhone.
But from this email, it sounds like Cingular may be introducing new plans specifically for the iPhone. This can only be a good thing -- it sounds like you might pay more up-front for the iPhone, but get cheaper service plans. In the long run, this could potentially yield a much cheaper phone than the competition.
I for one am completely willing to fork over $600 for a phone, if the monthly charges are lower. I'm tired of the current "free phone, but $120 / month for the service you need!" crap. This is especially true of Cingular's data service, which is abolutely ridiculous -- I used to have unlimited data access for $20 / month, so Cingular's prices are astronomical. And, of course, it wouldn't make sense to have an iPhone and not get data service... here's hoping they do something more sensible with the price.
