Slashdot Mirror


iPhone 3G Finally Available In US Contract-Free

Engadget is reporting that the iPhone 3G is finally available contract-free if you are willing to pay a much higher premium. Without a contract consumers are looking at $599 for an 8GB model and $699 for the 16GB. AT&T has the added restriction that you must be an existing AT&T customer, but Apple (retail stores only, sorry) will sell one to anyone willing to pay the premium. This change brings the model much closer to the prevailing European model where phones are sold as hardware and the plans are handled completely separately.

43 of 265 comments (clear)

  1. European Model... by MLopat · · Score: 4, Informative

    I love how marketers in North America continue to push the idea of "European". We've all seen the infomercials where they state "This is a best selling product in Europe..." or "In Europe this retails for $60 but..."

    The way that it really works in Europe is that you pay for your phone over the course of your contract. For example, if you want a phone that is $600 and you are on a 3 year agreement, you pay $16.67 as a line item on your monthly bill to pay for the cost of the phone. That's much better than the hidden subsidy cost that most (if not all) North American carriers provide.

  2. So it's true by BigHungryJoe · · Score: 4, Funny

    The contracts WERE in order to subsidize the cost of the phone... and the whole time I thought it was so they could lock me in and deliver shitty service. But seeing that the phone is $400 more without a contract pretty much proves what the cell phone companies have been saying all along.

    1. Re:So it's true by cayenne8 · · Score: 4, Insightful
      I"m wondering when the NEW iPhone will come out? Still rumored to be in June?

      I wonder how much that will be.

      Or, are they maybe trying to sell the current phones they have on stock out now, and this is a ploy to sell them faster?

      --
      Light travels faster than sound. This is why some people appear bright until you hear them speak.........
    2. Re:So it's true by ausekilis · · Score: 5, Informative
      Lets do a little math with AT&T's contract
      • $36 activation fee for each new line
      • $175 early termination fee of contract
      • $199 8G iPhone w/2yr contract
      • $411 to get an iPhone via broken contract

      Or I could spend $599 for one without a contract, and still give AT&T a boatload of money.

      How exactly is this a good deal?

    3. Re:So it's true by quangdog · · Score: 5, Insightful

      See, AT&T (and many other carriers) count on the fact that most of the general public has difficulty doing simple arithmetic. When most people are standing in the store holding the shiny new phone, they just can't (or don't care to) add.

      --Kimball
      http://www.incredicode.com/velocity.html

    4. Re:So it's true by cayenne8 · · Score: 2, Insightful
      "I don't know why they are so quick to push out new iPhones. "

      Well, this new iPhone hardware is rumored to have much greater processing power, larger memory (32G?), and I think about double the network speed of the current 3G phone.

      And upgrading hardware on about any tech gadget these days, is common....annual upgrades are pretty much the norm, lest you get stale and lose customers to the next..

      ....OOH...Shiny!! I want one of th.....

      --
      Light travels faster than sound. This is why some people appear bright until you hear them speak.........
    5. Re:So it's true by Anonymous Coward · · Score: 2, Insightful

      Given the amount of fine print on a cellphone contract, I can't blame them for not taking your word for it.

  3. Re:European Model... by Feminist-Mom · · Score: 2, Insightful

    I'm not sure, but there is almost always someone in the US who will sell you something where you make monthly payments. Of course, there usually is an unreasonable interest rate.

  4. Re:European Model... by Nursie · · Score: 4, Insightful

    The UK must not be in Europe then.

    In the UK the phone is "free" (or not) and then you get contracts that provide you with minutes/texts that do cover the cost of the phone, but it's still hidden.

    Most phones are available without a contract if you want to pay that much, and you can get contracts without phones that are considerably cheaper. But it's not necessarily the most economical way of doing it.

    No, the UK way is to have the phone covered by the contract but the contract only lasts a single year, after which the companies are obliged to SIM Unlock the phone for a nominal fee.

    Or of course just to use pay as you go, if that's your thing.

  5. Okay... by CSHARP123 · · Score: 2, Interesting

    Does it work with other carriers? They may sell it but they never said it will work with other carriers.

    1. Re:Okay... by Samschnooks · · Score: 2, Insightful

      It is still locked to AT&T - so this sounds to me like one more attempt to fool the masses.

      Seriously, who would want to buy a $599 *phone* that only works with one carrier when you can buy the same fxxking phone for $199 when in both cases you have to pay AT&T monthly fees just to use it.

      WTF? Some one please explain how this all makes sense.

      You're not locked into a contract. So when, not if, AT&T treats you like shit, you can leave.

      But I agree with you, you're stuck either way if you really are married to the idea of using the iPhone.

  6. But why *must* I have an iPhone? by bogaboga · · Score: 4, Funny

    To me, this product from Samsung is better in every way compared to the latest iphone.

    1. Re:But why *must* I have an iPhone? by iluvcapra · · Score: 4, Insightful

      Much lower screen rez, 240x440 versus 320x480. Also, the screen isn't multitouch and I've seen many phones with a Flash UI, and they're all uniformly miserable. No app store...

      Honestly, it looks more like they were trying to rip off the Storm than the iPhone.

      --
      Don't blame me, I voted for Baltar.
    2. Re:But why *must* I have an iPhone? by ByrneArena · · Score: 3, Interesting

      My daughter has that samsung. That phone isn't in the same ballpark as the iPhone... in fact I am not sure it is in the same sport.

    3. Re:But why *must* I have an iPhone? by akozakie · · Score: 5, Insightful

      O-kay... Now WHY is parent modded as funny? Fanboy mods probably think that any comment suggesting that some product is better than iPhone must be tongue-in-cheek (with the possible exception of Android).

      Just like iPod never was the perfect MP3 player, iPhone is not and never will be the perfect phone. Sure, for many users, including a couple of my friends, the iPhone is great and nothing comes close, but "many" isn't the same as "all".

      I played a bit with the iPhone. It's fun. It's well designed. It's not for me. I definitely wouldn't exchange my Nokia E61i for it, and that's an old phone now, better ones are available. If I had a choice - get iPhone for free or buy E61, E71, or something like that - I'd reach for my wallet. For me it's far more functional.

      For example - I don't really like touchscreen interfaces, especially with small (<10") screens, multitouch doesn't change this. Typing an SMS or working with SSH is so much faster on a full qwerty keyboard, after you get used to it you can actually touch-type with your thumbs.

      Still, I read articles in newspapers and feel that I'm expected to want an iPhone. Even here on /. it's the same thing - it seems that I should want one. So many interesting designs on the market, but only iPhone and Android seem to get any attention.

      So, the parent was right in both the title and the comment. The iPhone is not for everyone and it is a bit irritating to see it mentioned everywhere and get weird looks from iPhone owners when they show it to you and you say "It's nice, but I prefer something else".

      Unless of course I missed the joke?

    4. Re:But why *must* I have an iPhone? by Fahrvergnuugen · · Score: 3, Insightful

      He was modded funny because the Samsung F700 is a joke compared to the iPhone.

      --
      Kiteboarding Gear Mention slashdot and get 10% off!
  7. Re:can I just pop the card out of my KRZR into thi by aaarrrgggh · · Score: 3, Insightful

    Unfortunately, you pay "full" price, but the phone is still locked to AT&T. Dumb move in my mind, but maybe that is what we will end up seeing in another month.

  8. Re:European Model... by Extensa30 · · Score: 2, Interesting

    well, that is not true AT ALL. I've been living in 4 different countries so far, with mobile phones bought in the 4 of them (spain, france, england and germany so far). Pretty much each country does different: in some of them the higher the forfait you agree to pay monthly, the cheaper the phone is, in others there is not such an agreement (well, allways a 5 euros or so), but I've NEVER seen paying money just for the line (and with that I mean money that does not come, or can not be spent in calls) The parent is shimply lying.

  9. Pointless... by nweaver · · Score: 4, Insightful

    Its cheaper to buy the phone and break the contract if you want a "no contract" iPhone, as its only $400 or so that way.

    --
    Test your net with Netalyzr
  10. Re:can I just pop the card out of my KRZR into thi by athakur999 · · Score: 3, Informative

    T-Mobile and ATT use different frequencies for 3G. T-Mobile uses 1700/2100, ATT uses 850 and 1900. You can connectivity with EDGE but you won't be able to do 3G.

    Anyway, just because it's contract free doesn't mean the phone is unlocked. It probably still has the ATT SIM card restriction in place.

    --
    "People that quote themselves in their signatures bother me" - athakur999
  11. Re:Jail-breaking by iluvcapra · · Score: 4, Informative

    Lets define our terms:

    • "Jailbreaking" is performing a procedure so that you can run any executable you wish, and not just those permitted by the App store.
    • "unlocking" is performing a procedure so that you can use the phone with a different carrier.

    This story would appear to be an instance of the second thing.

    --
    Don't blame me, I voted for Baltar.
  12. Re:European Model... by rmav · · Score: 3, Informative

    No, it does not work like that, at least not everywhere. There is one provider in Italy that does this, I know of no one in any other country.

    You can either:

    1. Buy a phone, then use the card you want; or

    2. You get a subsidised, locked phone with your contract - the preferred way in Germany, where people end up paying much more for the iPhone than the americans, even.

    In italy route 1 means that the iPhone is factory-unlocked, in Germany it will cost you more than in Italy and still netlocked to T-Mobile. I bought my iPhone in Italy and have used that several times in Italy, UK, north america and even Chile. With prepaid cards - sometimes even international sims (and will end up spending much less). In Germany and Italy I even have pay-as-you-go data plans that allow me to purchase 500Mb (italy) or 1Gb (germany) for about 10 euros.

      Roberto

  13. There's no excuse for locked phones by AnalPerfume · · Score: 3, Insightful

    Yes, the cost is subsidized over the length of the contract but that's an excuse for a locked phone, not a reason.

    If you sign a contract to pay $40 per month for 2 years and walk away with a free phone, it don't matter if you use it or not, or switch provider or not.....you STILL have to pay the $40 per month you agreed to, with all the usual debt collection / court hassles for defaulting.

    If you switch carriers and set up a separate contract with a separate sim card you need to pay for that in ADDITION to the contract you signed. Not only that, but your $40 per month contract would include free minutes / SMS as part of the deal which you wouldn't use. The propaganda they use would have you believe that if you switched the sim card and started using another carrier the contract you signed would be void and they wouldn't get paid. This is bullshit, and they need to be called on it.

    The only reasons I can think that you'd want to pay for both at the same time is if you either object morally to the contract company (in this case AT&T, or Apple's iPhone partner in the UK O2) or if you don't get a strong enough reception from them. You may have a long term deal through your employer, or even a number you've been using for a long time that all your contacts know....why should you be forced to change? Yes you can often bring your old number to the new phone but it's not the point.

    Locking you in is inexcusable. An unlocked phone would mean they have to actually compete to keep you. The point here is that a locked phone to enforce at least the cost of the phone on a contract is a red herring. It's even more of an insult to have a pre-pay phone locked to a carrier.

    Personally I live in an area where O2 is the only constant strong reception, so my carrier is dictated by signal strength. I refuse to buy any locked phone, even if it is locked to O2.

    Mobile phones should ALL be unlocked, sold as phones on their own at full price, or with a contract with the provider of your choice, with a selection of deals / prices / free stuff on offer, with an optional cheaper rate per month by buying the phone at the start or a subsidy at a higher rate per month. This is not rocket science.

  14. $100 for an extra 8GB? by Timberwolf0122 · · Score: 2, Insightful

    Come on apple we all know it's just a freaking HCSD card in there and they do not cost that much.

    --
    In the not too distant future, next Sunday A.D.
    1. Re:$100 for an extra 8GB? by ColdWetDog · · Score: 3, Funny

      Come on apple we all know it's just a freaking HCSD card in there and they do not cost that much.

      Do you have any idea how much elves and pixie dust cost these days? It's not like you can just pick them off trees, you know.

      --
      Faster! Faster! Faster would be better!
  15. Re:It's funny. In Japan, they can't give them away by BadAnalogyGuy · · Score: 2, Informative
  16. Re:Doesn't sound like a deal if it's still AT& by iluvcapra · · Score: 2, Interesting

    Since you did win it in a contest, you know that you could abandon it now at no cost to you and just use what you'd prefer, a Nokia, Blackberry, whatever. But it would appear that you get enough use out of this "hamstrung, nerfed piece of junk," (and Apple's been providing pretty decent support to you on it) that you haven't gotten rid of it.

    No snark, but how bad could the thing possibly be if you haven't replaced it? I have known some pieces of junk in my time... I do not think this term means what you think it means.

    --
    Don't blame me, I voted for Baltar.
  17. Re:It's funny. In Japan, they can't give them away by je+ne+sais+quoi · · Score: 5, Informative

    Low iphone sales in Japan is FUD to which the blogosphere and the WSJ caught on. In fact, Japan ranks second in iphone sales. Of course the U.S. is where the majority of sales are, but the idea that iphones aren't selling in Japan is the result of somebody trying to manipulate Apple's stock price. It's all exposed here.

    --
    Gentlemen! You can't fight in here, this is the war room!
  18. Re:It's funny. In Japan, they can't give them away by BadAnalogyGuy · · Score: 2, Informative

    You're right. It is definitely possible that they have been able to move a lot of iPhone inventory since they started giving the phone away for free.
    http://news.cnet.com/8301-13579_3-10172786-37.html

  19. Re:European Model... by rgviza · · Score: 4, Funny

    Well you know that Sham-Wow is made in Germany and Germans always make great stuff!

    --
    Don't kid yourself. It's the size of the regexp AND how you use it that counts.
  20. Re:It's funny. In Japan, they can't give them away by BadAnalogyGuy · · Score: 2, Insightful

    I know Belgium isn't a very big country, but do you really think that the people in your office constitute a statistical sample?

  21. Re:Here in Canada by Kabuthunk · · Score: 2, Interesting

    Pay as you go, my friend... pay as you go.

    I as well have a cellphone (albeit not an iphone... I hate them, personally) and am on the Rogers network. However, I just bought my phone outright from Wireless Wave (I'm sure anywhere that sells cellphones, you can get it non-contract), popped in my SIM card from my old POS nonworking phone, and off I went. I don't use it much, so I'm putting $15 a month on it tops. Helluva lot cheaper than any plan. Downside is I don't have voicemail and maybe some of the other extras, but I can text, send, and receive calls, so it's plenty good enough for my phone usage.

    Screw plans if you don't use your phone a great amount.

    --
    Planet Zebeth - Metroid with a twist
  22. Not exactly the same as everywhere else by tepples · · Score: 2, Informative

    if you want a phone that is $600 and you are on a 3 year agreement, you pay $16.67 as a line item on your monthly bill to pay for the cost of the phone.

    So the same as everywhere else then.

    The difference is that the networks in mainland Europe are more likely to itemize this charge, and they don't bill it to people who bring their own phone.

  23. Rogers Canada Worse Than AT&T by javacowboy · · Score: 3, Informative

    For all those Americans who think that AT&T offers a lousy deal, look to the Great White North:

    Mandatory 3 year contract. There's no option for an unlocked phone or a shorter contract.

    $60 + sales tax for 500 Mb
    $75 + sales tax for 1 Gb

    Pretty lousy, eh? There's not even an option for an unlimited plan. Rogers had a temporary 6 Gb plan for early adopters that's no longer available.

    --
    This space left intentionally blank.
    1. Re:Rogers Canada Worse Than AT&T by dadragon · · Score: 2, Interesting

      Give it a little time. SaskTel, Telus, MTS, Bell, Shaw, Yak, and I think a few others are all building GSM networks. Rogers didn't get offered iPhone exclusivity in Canada, so soon there will be several carriers with iPhone plans.

      Yay competition.

      --
      God save our Queen, and Heaven bless The Maple Leaf Forever!
  24. Re:European Model... by jasonthedce · · Score: 2, Insightful

    A line-item for the phone would be a great feature for us in the U.S. Currently, your phone is "subsidized" by the lock-in to the contract. Theoretically, this means that after the initial 2-year lock-in, your monthly price should go down as they aren't subsidizing the phone anymore. In reality, of course, the price stays the same and they keep the difference as added profit. Or, you can take your existing phone into another contract and have your already paid-for phone subsidized again.

    --
    A refreshing blend of nerd and cool.
  25. Re:Wow. Are we still this rich? by SydShamino · · Score: 3, Interesting

    It's all relative. My phone was $6.50 refurbished from Virgin. I pay $90 pre-paid each November for a year of service. That's $186.50 for 2 years of service at about 75 minutes a month.

    As much as as I like gadgets, I just can't imagine paying $15/MO for a phone. I'd much rather put that money towards blackjack and hookers. In fact, forget the blackjack. Ah, screw the whole thing.

    --
    It doesn't hurt to be nice.
  26. Re:It's funny. In Japan, they can't give them away by Koiu+Lpoi · · Score: 2, Informative

    Thanks for that. It just seemed odd that I can walk down a street here and see people whipping them out from time to time (more than I did living in the states), yet be told that "nobody's buying them". Something just wasn't lining up.

  27. Re:European Model... by Wellington+Grey · · Score: 2, Insightful

    The UK must not be in Europe then.

    Ask any British person, and they'll tell you it isn't.

  28. Re:Jail-breaking by akorvemaker · · Score: 2, Informative

    In this case it's option three: Still locked, but simply not bound to a contract. You still can only use it on AT&T, but are not locked in to a specific monthly plan.

  29. Re:European Model... by Apaine · · Score: 2, Interesting

    I second that. Coming from Continental Europe, visiting Britain - it is more akin to visiting US or Australia than Spain or Poland. Things are done differently, and engineering practices are compatible with continental Europe only when they absolutely have to be. Personal experience about engineering practices - In continental Europe - workmanship/quality comes first - cost/time to manufacture comes second. It is usually the opposite in Britain.

  30. Re:European Model... by rmav · · Score: 2, Interesting
    No, you do not need to resync.

    In fact, the iPhone is the only handset I know where you can hot-swap the SIM cards - I never switch it off, I just pop one off and put the new one in. VERY handy. No resyncing. Just works. Very smooth - and Apple implemented it in an amazing way. That's why simlocked or netlocked iPhones are a technological crime!!!

    Roberto

  31. Re:European Model... by dudeeh · · Score: 2, Informative

    In Belgium, I just go out to the store, by myself a cellphone of my own choice, pop in a sim card of whatever operator and buy prepaid cards. Want to switch providers? No problem, you can keep your number and everything.

    As far as I know (seem to remember reading something about this in the paper around the time the iphone first came out), it's even forbidden here to couple contracts to cellphones.