Why is there always someone in every discussion of cell phones who thinks the rest of us don't understand this yet?
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Walmart Cuts iPhone 3GS Price in Half Ahead of WWDC
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Why is there always someone in every discussion of cell phones who thinks the rest of us don't understand this yet?
Even in a recession, people still want to have nice things and while Wal-Mart is often viewed as the Microsoft of Retail, they do have vast selection at great prices, giving Rural America a way to better their lives on a budget.
Enter the $99 3GS... while it's easy to say "just spend the extra Benny and get the 4G model", the truth is $99 is a lot of money to many people, especially when there are free models to choose when signing up for a cell phone plan. Decent, reasonable phones that do more than just make calls. Many people who'll be buying the lowered priced 3GS will be doing so a tight budget. The 3GS is an awesome phone and the option to get one so cheaply is a terrific thing that is happening.
Certainly, when it comes time to upgrade for me, and right soon, I'll be getting the next gen model, it's still good to see that Apple and Wal-Mart are offering an amazing value to a proven and excellent product.
Enter the $99 3GS... while it's easy to say "just spend the extra Benny and get the 4G model", the truth is $99 is a lot of money to many people, especially when there are free models to choose when signing up for a cell phone plan. Decent, reasonable phones that do more than just make calls. Many people who'll be buying the lowered priced 3GS will be doing so a tight budget. The 3GS is an awesome phone and the option to get one so cheaply is a terrific thing that is happening.
Certainly, when it comes time to upgrade for me, and right soon, I'll be getting the next gen model, it's still good to see that Apple and Wal-Mart are offering an amazing value to a proven and excellent product.
Dream
iPhone 3GS 16GB for $99 most likely will happen but unlocked iPhone for the price you are asking will never happen
iPhone 3GS 16GB for $99 most likely will happen but unlocked iPhone for the price you are asking will never happen
Why is there always someone in every discussion of cell phones who thinks the rest of us don't understand this yet?
No contract or contract chances are we would have paid $1920 for 2 year service anyway
With T-Mobile US, if they make changes to plans and your forced on it, you can get out of you contract free.
+1. Correct me if I'm wrong but last year if you weren't at your upgrade time but still in contract you got the 3GS for $399/$499? And it will be a while before they sell them unlocked
.
It is really a different world. If I have understood the pricing correctly, the US pricing is something like this:
- Phone: $99
- Phone + contract: $80/mo.
In Europe, the equivalent would be:
- Phone: 20 /mo. for 24 months
- Contract: 20 /mo. (incl. data)
Depending on the country, it is also possible to buy the phone unlocked for approximately 500 - 600 (incl. VAT). This would mean the unsubsidized tax-free price of the phone is approximately $500. (Hong Kong / Singapore prices would give a better reference, as there is some duty-related and some market-related mark-up in the European prices.)
Again, making accurate comparisons is a bit difficult, as different contracts include different things. There have been unlimited data plans for a reasonable price (for example, I am using an unlimited HSDPA data plan with my computer for under $20/mo. including the modem), but it seems that as the bandwidth hogging smartphones have become more widespread, the carriers are creating all sorts of limits.
But it is still remarkable that the US prices are higher than those in Europe. Ours include VAT (15-25 % on top of the tax-free price), and the general price level is higher on this side of the Atlantic. It seems that the real mobile carrier competition is lagging behind in the US. The contracts play a big part in the US, as changing from one operator to another is not very easy. On the other hand, if I want to change the carrier, I give my new carrier a call. They do all the paperwork, and my phone number remains the same.
The trend used to be that mobile services were much less expensive in Europe, especially in northern Europe, but the difference is dissolving. Also, the European way of selling the phone without a contract is fading, as well. Contract-free phones would be the best for competition, and customers, but too many customers are unable to calculate total costs.
Our local legislation says:
- contracts are legal
- all services must be sold also without a terminal (phone)
- all contracts can be terminated for "a reasonable" ETF (100 seems to be the standard); after termination the phone must be unlocked
- the contract price tag must show both the phone and the service separately
However, this is a matter of national legislation, the EU level legislation is not there yet.
Complicated? Yes.
I actually think this is a sign of the 3GS getting discontinued as well.
If the 3GS was getting cut to $99, then why bother with this cut now to clear inventory, when you'll be able to clear it just as well at the same price on June 8th? You'd cut it to $150 - that's a significant saving which gives you a nice sales bump now, and then you get *another* sales bump when Apple cuts the price to $99, and you got an extra $50 each for, say half of your sales in comparison to what is actually happening.
The only reason you'd want those phones out of your inventory entirely is if they're getting replaced by something like a low end 16GB iPhone HD model, with 32GB and 64GB versions filling the main price points. Though it must be said, if that were the case I'm surprised we've not seen more international carriers also trying to dump their old stock, unless they're getting much better at inventory management.
Phazer
If the 3GS was getting cut to $99, then why bother with this cut now to clear inventory, when you'll be able to clear it just as well at the same price on June 8th? You'd cut it to $150 - that's a significant saving which gives you a nice sales bump now, and then you get *another* sales bump when Apple cuts the price to $99, and you got an extra $50 each for, say half of your sales in comparison to what is actually happening.
The only reason you'd want those phones out of your inventory entirely is if they're getting replaced by something like a low end 16GB iPhone HD model, with 32GB and 64GB versions filling the main price points. Though it must be said, if that were the case I'm surprised we've not seen more international carriers also trying to dump their old stock, unless they're getting much better at inventory management.
Phazer
I know it's wishful thinking.
Well, I guess it depends in how Jobs want to give the finger to Google. Nexus One is $529 unlocked, but Google is going to stop selling it online. After a bunch of jabs Google made to Apple at I/O, wouldn't it be nice if Steve did this and said "we're going to sell iPhones unlocked straight from Apple, at an even groundbreaking low price. 4G iPhone, the true Super Phone." With T-Mobile US, if they make changes to plans and your forced on it, you can get out of you contract free.
+1. Correct me if I'm wrong but last year if you weren't at your upgrade time but still in contract you got the 3GS for $399/$499? And it will be a while before they sell them unlocked
Can someone please confirm this? I'm only 5 months into a new contract and while I wouldn't mind splashing 6 bills on a new phone, if I can get it for a few hundred bucks cheaper, I'm all for it. Thanks!
sweden along with most european countries is tiny compared to the US. over here the population is more spread out as well. not just in a few cities. and people want their phone to work everywhere they go which means a lot of overhead for the carriers.
all the cell phone companies are public companies that release their financials every 3 months. they aren't swimming in money. their margins are on the low end
Originally Posted by MacRumors
Wal-Mart will be cutting the price of the iPhone 3GS down to $97 with $1,920 contract starting on Tuesday
Thank you. I can't believe how many posts there are misrepresenting the price of the iPhone.
Wal-Mart will be cutting the price of the iPhone 3GS down to $97 with $1,920 contract starting on Tuesday
Thank you. I can't believe how many posts there are misrepresenting the price of the iPhone.
I don't care how cheap the product, I will NEVER shop at Walmart. Anti-christ of all companies.
No offense, but Target is far worse. My aunt worked for both and said Target is just mean. (any holiday was a firing offense if you did not come in)
Good for the consumer, Walmart, AT&T, & of course...... Apple. Now it says something of a statement if AT&T is the only iPhone carrier they are offering on their posting.
I don't care how cheap the product, I will NEVER shop at Walmart. Anti-christ of all companies.
Penn and Teller call bulls**t on your hate.
http://www.youtube.com/watch?v=AloHq0ih4mw
Remember, owning an iPhone is way down on the list of priorities for most people who don't belong to this forum.
So I called ...
... my local Walmart and asked if I can come in and get one. "Sorry, no stock!" was the answer. "Oh, who around here has them, then?" was my reply. "Nobody!" was the answer to that ... so what good is it then, to theoretically have them, but practically, it's a joke.
Hmm.
Sent from my Abacus.
... my local Walmart and asked if I can come in and get one. "Sorry, no stock!" was the answer. "Oh, who around here has them, then?" was my reply. "Nobody!" was the answer to that ... so what good is it then, to theoretically have them, but practically, it's a joke.
Hmm.
Sent from my Abacus.