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iPhone Users Angry Over AT&T Upgrade Policy

All is not sweetness and light in the wake of the Apple WWDC kickoff announcements, especially concerning the evolution of the iPhone. Reader Hugh Pickens writes: "AT&T will offer the new iPhone 3G S when it debuts later this month at a cost of $199 and $299 for the 16GB and 32GB models, but only to new customers and those who qualify for the discounted price. AT&T subscribers with an iPhone 3G who are not eligible for an upgrade — those not near the end of their two-year contracts — will have to pay $200 more — $399 for the 16GB model and $499 for the 32GB model. 'This is ridiculous and slap in the face to long-time loyal iPhone customers like me who switched from T-Mobile and the only reason was the iPhone,' writes one unhappy iPhone customer. 'We have to mount a vigorous campaign to change this policy. Call your local AT&T and ask for the manager and complain. Send e-mails and post in forums everywhere.' The issue is spurring heavy debate on support discussion forums, with some customers supporting AT&T. 'The option you have is to honor the contract you freely committed yourself to,' says one forum member. 'If you want to upgrade early then you will have to pay full price with no subsidy discount. You can't blame anyone but yourself for your predicament.'"

18 of 789 comments (clear)

  1. BooHoo by Anonymous Coward · · Score: 5, Insightful

    You know Apple releases a new phone every year, and you know AT&T makes you sign a 2-year contract. Either pay the higher price for the upgrade or live through the horror of not having the latest shiny product until your contract runs out.

    1. Re:BooHoo by Skye16 · · Score: 5, Insightful

      Or you could boycott the particularly onerous terms of your contract by paying your ETF and not giving AT&T your money any longer. You and I both know it doesn't cost them even remotely close to 95$ a month for your service - their profit margins are obscene. It's absolutely their right to request you pay that amount each month, and if you were suckered into a contract, that's a blow to you. Learn by your mistake by terminating the contract in the legal manner (and if that means waiting until they change the terms of the contract, so be it) and don't fucking enter another one like it again. Until you tell them you're not interesting in paying obscene costs or entering into their service with any contract (even forgoing your precious ball and chain for a while), they'll keep bending you over and blasting your asshole repeatedly. If you want to just lay there and take it, that's your prerogative, but kindly have the decency to shut the fuck up about how you're not receiving a perceived fair bargain from the entity you willfully signed your custom away to.

    2. Re:BooHoo by icebike · · Score: 4, Insightful

      All well and good to posture, but those having an iPhone under the only contract terms available have sunk costs and can't do a thing to recover them.

      The phone is locked to ATT.

      ATT subsidized the iPhone heavily and wants to recover their costs. Its understandable.

      Yes, ATT should allow you to pay off your ETF (which by the way should ONLY include what they owe Apple for the phone) and let you start a new contract with a new phone.

      What could be more fair?

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    3. Re:BooHoo by roc97007 · · Score: 4, Insightful

      This is genius.

      1) Apple culture heavily weighted towards having latest shiny object

      2) AT&T contract requires 2 year ownership or pay $200 penalty

      3) Apple maintains 1 year design cycle

      4) Profit!!

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    4. Re:BooHoo by gumbi+west · · Score: 4, Insightful

      AT&T has a profit margin of 10%. If you think that is insanely high... I'd rather not be in business with you.

    5. Re:BooHoo by MrCrassic · · Score: 4, Insightful

      You know what's somewhat ironic about all of this? At this point, the iPhone is probably the easiest phone to unlock EVAR, and is also the poster child for phones chained to tailored calling plans.

      Education goes a long way...

    6. Re:BooHoo by Forge · · Score: 4, Insightful

      A mere price doubling? These people should consider themselves fortunate.

      I remember nearly a decade ago when our then only phone company sold it's top end cellular to staff at a 30% discount with a 2 year interest free payment plan. They thought it was really a great deal, ontil 18 months later when a new phone matching or exceeding all features of that model started selling for less than the monthly installments.

      As for myself, I have never bought a cellphone costing more than 2X the absolute cheapest phone on the local market. But, that's just because I am not rich.

      Here is a more general rule of thumb: If your phone is crushed by a car 15 minutes after your last backup and those backups are safe, you should only be upset over the inconvenience of being out of touch for a few hours and having to restore on the new phone. If the loss of the phone instrument itself is a cause for concern, you payed too much.

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    7. Re:BooHoo by Korin43 · · Score: 4, Insightful

      Pretty much any phone these days comes with Bluetooth, and if you have Bluetooth, you can use Bitpim.

  2. never should have given the retro price cut by Lehk228 · · Score: 4, Insightful

    So the issue is that a new model has been released and only people who are eligible for a new phone can get it at a discount? Apple never should have caved on the iphone price change retroactivity, now they can't improve anything without the existing users demanding free upgrades for life.

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  3. iPhone Users? by sthomas · · Score: 5, Insightful

    Looks like only one user was upset in that forum. The rest all saw the logic and understood what a subsidy is used for.

    1. Re:iPhone Users? by Anonymous Coward · · Score: 5, Insightful

      Really, I just bought an iPhone in February, and will be amazed if I can get a discount beginning February 2010 or even August 2010, and I understand completely. I could sell my phone right now for $400 easy, so it wouldn't make any sense for AT&T to sell me the better version of my phone for $200.

      Stuff like this makes Slashdot look silly too, a massive jump to conclusions over a small minority shouldn't be news.

  4. Really? by Anonymous Coward · · Score: 5, Insightful

    'We have to mount a vigorous campaign to change this policy.'

    A vigorous campaign? Really? I'm sorry, but in this context, the author simply sounds pathetic.

  5. Holy Shit by yerktoader · · Score: 5, Insightful

    The general consensus here on Slashdot so far:

    1)"tsfroggy"(RTA) agreed to his/her terms in a contract and has to deal with the pricing like everyone else.

    2)A past discount is not an obligation for a future discount.

    3)"tsfroggy" is a whiner.

    4)AT&T is clearly in the right on this, even if the pricing is too high.

    I must say, Congrats gentlemen. I'll be interested in seeing how long this lasts in this particular thread.

  6. Re:Slap in the face? WTF? by Bloopie · · Score: 5, Insightful

    How does one user complaining about upgrade policies on a forum, with almost all the other users thinking the policies aren't so bad, qualify as a "collective sense of entitlement"?

  7. Not Crybabies.... Fanboys. by PC+and+Sony+Fanboy · · Score: 4, Insightful

    Bunch of crybabies.

    No, its a bunch of rabid apple fanboys who want to piss away more money to apple, but can't stand the idea of paying AT&T a little extra cash for the contract they willingly accepted.

    I'd be upset too, if I didn't know that apple released new products yearly with their masterplan of planned obsolescence.

    1. Re:Not Crybabies.... Fanboys. by ScrewMaster · · Score: 4, Insightful

      Bunch of crybabies. No, its a bunch of rabid apple fanboys who want to piss away more money to apple, but can't stand the idea of paying AT&T a little extra cash for the contract they willingly accepted. I'd be upset too, if I didn't know that apple released new products yearly with their masterplan of planned obsolescence.

      No argument from me.

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  8. Confused Definition by afabbro · · Score: 4, Insightful

    'This is ridiculous and slap in the face to long-time loyal iPhone customers like me who switched from T-Mobile and the only reason was the iPhone,' writes one unhappy iPhone customer.

    Long-time? Even if you bought an iPhone the day it was released (June 29, 2007), you are not yet at the end of your initial 2-year contract. How "long-time loyal" can you be?

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  9. Re:anonymous coward angry over first post by Trahloc · · Score: 5, Insightful

    This is perfectly normal, they give a $200 discount so people sign a 2 year agreement. A few give reduced discounts before the contract is up but a majority only give discount prices when your out of contract. Anyone who doesn't understand this and feels its a 'slap in the face' should grow up, it's not like they hide this fact at signup.

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