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If you think it is fair for a company to raise your cost 75% overnight, then you need the education, not me..
Total cost for the folks who bought the iPhone before the price drop:
$599 - $100 + ($20 x 24 months) = $979

Total cost for the folks who bought the iPhone after the price drop:
$399 + ($20 x 24 months) = $879

Total cost for the iPhone 3G:
$199 + ($35 x 24 months) = $1039

For the first group of people, the iPhone 3G ends up costing 5.7% more.

For the second group of people, the iPhone 3G ends up costing 15.4% more.

$20 Data on 7.10.08 to $35 on 7.11.08 is a nice price hike. I do not care if you agree with my opinion, but the price hike is a large one based on %
You stated a fact that most everyone would agree with. 75% is a large price hike.

What you didn't state was that the $399 device cost on 07.10.08 switching to a $199 device cost on 07.11.08 is a nice price cut. A large one, based on both $ and %.

... and the net cost increase between the two is nowhere near 75%.
 
Total cost for the folks who bought the iPhone before the price drop:
$599 - $100 + ($20 x 24 months) = $979

Total cost for the folks who bought the iPhone after the price drop:
$399 + ($20 x 24 months) = $879

Total cost for the iPhone 3G:
$199 + ($35 x 24 months) = $1039

For the first group of people, the iPhone 3G ends up costing 5.7% more.

For the second group of people, the iPhone 3G ends up costing 15.4% more.

Data cost went up, device cost went down. Net effect is nowhere near 75%.

The 3G iPhone also has a GPS built in and much faster internet access.

It should cost more.

Why do people think these things should cost the same?

It is like asking why Volvo charges more for the turbo version of one of their cars.

Because it does more.
 
Total cost for the folks who bought the iPhone before the price drop:
$599 - $100 + ($20 x 24 months) = $979

Total cost for the folks who bought the iPhone after the price drop:
$399 + ($20 x 24 months) = $879

Total cost for the iPhone 3G:
$199 + ($35 x 24 months) = $1039

For the first group of people, the iPhone 3G ends up costing 5.7% more.

For the second group of people, the iPhone 3G ends up costing 15.4% more.


You stated a fact that most everyone would agree with. 75% is a large price hike.

What you didn't state was that the $399 device cost on 07.10.08 switching to a $199 device cost on 07.11.08 is a nice price cut. A large one, based on both $ and %.

... and the net cost increase between the two is nowhere near 75%.

$20 to $35 is a 75% price increase, that is what I was referring to.

Your numbers you posted are also a bit slanted....If you paid $599, you did not get $100 cash back, you received a $100 gift card towards more Apple products. (But I get your point)

You will also need to add $39 for a dock, but I see the numbers are still within a $100 of eachother.
 
$20 to $35 is a 75% price increase, that is what I was referring to.
No problem. I was just pointing out that at the end of a contract, the majority of the 75% price increase on data is offset by the lower price for the phone itself.

Your numbers you posted are also a bit slanted....If you paid $599, you did not get $100 cash back, you received a $100 gift card towards more Apple products. (But I get your point)
Yeah, if you factor in the full $599 price, the 3G iPhone actually is cheaper that the original iPhone (at the end of the contract).

You will also need to add $39 for a dock, but I see the numbers are still within a $100 of eachother.
Yup. If you want a dock, you'll have to factor that in.
 
The thing that bothers me most is that there is speculation that there will be no text messaging at all in the 3g iphone plans. I feel that is greed on the part of AT&T by making people pay for texts. Granted 200 isn't enough for some people but the option was there at least. To me it seems that AT&T would be bleeding more money out of customers on an already expensive pricing plan to begin with.
 
The thing that bothers me most is that there is speculation that there will be no text messaging at all in the 3g iphone plans. I feel that is greed on the part of AT&T by making people pay for texts. Granted 200 isn't enough for some people but the option was there at least. To me it seems that AT&T would be bleeding more money out of customers on an already expensive pricing plan to begin with.

haha yeah, welcome to america, outrageous prices and poor speeds for broadband services
 
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