I’m just pointing out the difference between a price drop and a subsidy. the price of the iPhone went up, but was subsidized by the carriers for a lower upfront cost.My comments on this were speaking to the consumer price for the iPhone which dropped significantly at the beginning. The price was slashed 33% to 40% within just three months and even more later as already discussed. The iPhone was overpriced out of the gate (Ballmer was riight on that point) and without these notable price drops, the iPhone's long-term future would not have been nearly as good.