Become a MacRumors Supporter for $50/year with no ads, ability to filter front page stories, and private forums.
So why would anyone do this, its much cheaper buying from apple on contract and canceling.

$299 + $30 + $175:
$504

vs

$699
 
So why would anyone do this, its much cheaper buying from apple on contract and canceling.

$299 + $30 + $175:
$504

vs

$699

because it'll be locked phone...locked to att...you'll have to unlock/jailbreak it after every firmware update...
if you buy the 699 one, it'll be hardware unlocked....
 
because it'll be locked phone...locked to att...you'll have to unlock/jailbreak it after every firmware update...
if you buy the 699 one, it'll be hardware unlocked....

No it won't. All iPhones sold in the US are locked to AT&T. The reason the prices are different is because when you sign a new 2 year contract, AT&T pays some of the cost up front for you. They obviously make this and more back over the 2 year period of your contract.
 
because it'll be locked phone...locked to att...you'll have to unlock/jailbreak it after every firmware update...
if you buy the 699 one, it'll be hardware unlocked....

I'm not sure where you are getting the idea that it will be unlocked. It will not be and has never been advertised as such. If I am wrong, I will gladly issue a mia culpa.

As I have previously posted, the $599/$699 pricing is just a no-commitment price (meaning no contract). It does not mean the iPhone will be unlocked.
 
No it won't. All iPhones sold in the US are locked to AT&T. The reason the prices are different is because when you sign a new 2 year contract, AT&T pays some of the cost up front for you. They obviously make this and more back over the 2 year period of your contract.

so ok, when you buy the 699 one, you won't need a contract BUT it'll still be locked to ATT...meaning; you'll have to jailbreak it... is that it?

then yeah, buy with contract and cancel it, it's certainly cheaper that way...
interesting...
 
so ok, when you buy the 699 one, you won't need a contract BUT it'll still be locked to ATT...meaning; you'll have to jailbreak it... is that it?

then yeah, buy with contract and cancel it, it's certainly cheaper that way...
interesting...

What would jailbreaking the iPhone accomplish in this scenario (in other words, why would you jailbreak other than the normal reasons to jailbreak)? It still could not be used on another network unless it is unlocked.

As for your conclusion, yes that is true. It is less expensive to buy the iPhone on contract, wait 31 days and cancel. You will pay:

$199/$299
$36 activation fee
~ $100 for the 1+ month of service
$175 ETF
Taxes

So you pay ~$510/~$610 + taxes.

The question is, is the savings worth the hassle. For many, the ~$89.00 savings may not be worth their time to deal with the whole buy on contract and cancel process.
 
What would jailbreaking the iPhone accomplish in this scenario (in other words, why would you jailbreak other than the normal reasons to jailbreak)? It still could not be used on another network unless it is unlocked.

As for your conclusion, yes that is true. It is less expensive to buy the iPhone on contract, wait 31 days and cancel. You will pay:

$199/$299
$36 activation fee
~ $100 for the 1+ month of service
$175 ETF
Taxes

So you pay ~$510/~$610 + taxes.

The question is, is the savings worth the hassle. For many, the ~$89.00 savings may not be worth their time to deal with the whole buy on contract and cancel process.

Well, for me NO. I wouldn't even bother with it, but for some people (looking for the cheapest way) may very well be the best option.
 
Well, for me NO. I wouldn't even bother with it, but for some people (looking for the cheapest way) may very well be the best option.

What someone has to consider in making this choice is how much is their time worth. The whole process as outlined in my previous post could take as little as an extra 30 minutes but it could take some as many as several hours.

I am always looking for the best deal but I look at this and all the potential downsides and it just isn't worth the hassle. If I wanted a contract free iPhone I would just suck it up and pay the $599/$699. But for me, going contract free would cost me more than one on contract given my usage. YMMV.
 
1) Contract price new customer / upgrade eligible customer: $199 / $299

2) Replacement phone / non upgrade eligible customer: $399 / $499

3) No commitment phone: $599 / $699

I wonder in the case of number 2 if you break a replacement phone if you still get that price for a third one or if you then have to go to the #3 price.
 
1) Contract price new customer / upgrade eligible customer: $199 / $299

2) Replacement phone / non upgrade eligible customer: $399 / $499

3) No commitment phone: $599 / $699

I wonder in the case of number 2 if you break a replacement phone if you still get that price for a third one or if you then have to go to the #3 price.

I have seen reports go both ways. I am guessing that once the no-commitment pricing comes out there will be more reports of people being charged #3.
 
I have seen reports go both ways. I am guessing that once the no-commitment pricing comes out there will be more reports of people being charged #3.

It's out, from my post earlier in this thread best buy is showing the non contract price in their latest ad. So I guess we'll start hearing stuff about it over the next few weeks

picture-2.jpg
 
Well it turns out that maybe this was just a mistake or advertising gimmick by Best Buy as the employees are saying that you have to sign a contract.
 
Register on MacRumors! This sidebar will go away, and you'll see fewer ads.