Got the iPhone 3G? Prepare to shell out extra $$$ for the new iPhone

Mon Jun 8, 2009 6:54PM EDT

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If you bought the iPhone 3G on AT&T last year and you were expecting to grab the new iPhone 3G S for $199 (for the 16GB model) or $299 (32GB)—that is, the prices announced during Monday's Apple keynote—think again.

The Unofficial Apple Weblog and AppleInsider are reporting that those of us who were eager (dumb?) enough to buy last summer's iPhone 3G will not be eligible for the discounted $199/$299 iPhone 3G S pricing that Apple SVP Phil Schiller announced during Monday's WWDC event in San Francisco.

Instead, prepare to pay $200 extra for an "early" upgrade, which comes out to $399 for the 16GB iPhone 3G S or $499 for the 32GB version. (As for me, I'm not eligible for the "standard" upgrade $199/$299 pricing until late December.)

According to TUAW, some iPhone 3G owners aren't even being offer the "early" upgrade option—in which case, they're stuck with AT&T's "no commitment" pricing of $599 for the 16GB iPhone 3G S or (gulp) $699 for the 32GB model.

But wait—didn't most of us who upgraded from the iPhone to the iPhone 3G last year get the discounted $199/$299 pricing from AT&T, despite the fact that we were barely a year into our two-year contracts?

Well, yes, but according to an AT&T spokesman I've been trading e-mails with, "there was a difference between iPhone and iPhone 3G—you and other 3G owners got an attractively subsidized price." Huh.

So that appears to be the (extremely) disappointing deal for us iPhone 3G owners who'd been looking forward to upgrading to the 3G S—and I have to say, the revelation is giving me serious pause.

OK, any iPhone 3G owners out there who'll hold off on the 3G S until they're eligible for the "standard" AT&T discount? And anyone else feeling burned that this wrinkle wasn't discussed during the Apple keynote today?

Related:
iPhone 3G owners and AT&T upgrade woes [TUAW]
iPhone 3G users to pay $200 premium for early upgrade to iPhone 3G S [AppleInsider]

 

 

Comments on Got the iPhone 3G? Prepare to shell out extra $$$ for the new iPhone

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  • 46 Posted by hav0k2 on Tue Jun 9, 2009 3:17PM EDT Report Abuse

    I skipped the 3G. Woohoo! (an uproar will ensure over this and Im willing to bet Apple/ATT&T fix the problem)

  • 48 Posted by cerberus5k on Tue Jun 9, 2009 3:17PM EDT Report Abuse

    Shocking that a company who has a stranglehold on such on over hyped piece of technology would put it to consumers so hard. Please note the sarcasm.

  • 49 Posted by wsudaveyo on Tue Jun 9, 2009 3:19PM EDT Report Abuse

    what is the problem, this is how all wireless companies have always operated. SOP in the wireless world. although if it starts the 2 year commitment over, then that would be fair. they only subsidize it if they know they have you locked in for the 2 years.

  • 50 Posted by doughoge on Tue Jun 9, 2009 3:19PM EDT Report Abuse

    I'm with 5. Just because a new one comes out does not mean you are entitled to it. Besides, you are already in better shape than #5 is with the new car. With the 3G you still get the software upgrades. The only thing you won't have is the internet speed. darn. Anyone remember 10 years ago, (even less), when people were excited they had a color screen? Or that the phone held up to 25 numbers? Or saying how does this text message thing work? Don't let technology get you too bummed out. And if your phone is only 2 months old, then what do you need a new one for?

  • 51 Posted by llone_7 on Tue Jun 9, 2009 3:19PM EDT Report Abuse

    Yeah it is going to be worth it only if I have better signal or coverage here. They need to work with AT&T better for the that.

  • 52 Posted by gmoney2330 on Tue Jun 9, 2009 3:20PM EDT Report Abuse

    For those original iPhone owners who waited out past the 3G realizing that it would get better will get the good upgrade. And those who just got one recently, you should always have your ear to the ground when buying high tech products. The 3G S has been rumored to come out in now for over 9 months. And the next gen iPhone is not scheduled to be out till 2011 when 4G comes fully online. The 3G S is worth it now for those who can afford it.

  • 53 Posted by jamessjones42@att.net on Tue Jun 9, 2009 3:20PM EDT Report Abuse

    ATT is the one who pays the price difference. If they want to hold you to your 3G contract for a while longer so be it. Be glad it isn;t a full 2 years. I bought the original iPhone. Non-subsidized. That is the big difference. They waived the contract because of that last time around and they didnt have to. Give it some time. Soon enough they'll be so hot to sell these things that even waiting til December won;t be necessary. Another thing. AT&T didn;t invent the contract. Apple didn;t invent exclusivity. ALL phone companies and carriers have done and will continue to do this. Get over it.

  • 54 Posted by santakrooz on Tue Jun 9, 2009 3:20PM EDT Report Abuse

    If you're an iPhone customer in the middle of an ATT contract and are being offered the highest prices (499/599/699) then you probably have a balance due on your ATT account. If you pay off the balance you should immediately see the phones offered for ($299/399/499). I think you have to get 3/4 the way thru your current contract before you can get the (99/199/299) prices.

  • 55 Posted by starskeyva on Tue Jun 9, 2009 3:20PM EDT Report Abuse

    you can always buy one on ebay with the new contract price, and just call att and have them switch the phones, i do it all the time when my phones break

  • 56 Posted by lynn_kraum on Tue Jun 9, 2009 3:21PM EDT Report Abuse

    AT&T HAS TAKEN ADVANTAGE OF ME MANY TIMES. I AM ALL DONE WITH THEM. I WOULD NOT SIGN ON WITH THERE SERVICE IF THEY WERE THE ONLY PHONE COMPANY IN THE WORLD. HOW MANY MORE OF YOU HAVE BEEN SHAFTED BY AT&T?

  • 57 Posted by aalasseigne on Tue Jun 9, 2009 3:21PM EDT Report Abuse

    Well, any AT&T customer "should" know that you cannot upgrade, regardless of the phone, until 3 months prior to your contract's expiration. It doesn't take a genius to figure that much out. Apple is no exception to the rule. The original iPhone had serious flaws, hence the option to upgrade to the 3G last summer. The 3G S upgrade is now just a personal preference to "keep up with the times." heck yeah I believe that if you want it, you have to pay. Just upgrade your software two days before the 3G S is released and you will have almost everything the new iPhone will have, and stop asking for handouts.

  • 58 Posted by breashes02 on Tue Jun 9, 2009 3:21PM EDT Report Abuse

    well this really sucks because I have been looking forward to being able to send and recieve sms messages and the video camera of the new iphone. but now I dont get a good price on the upgrade. i think all cellphone companies need to do away with the two year contracts, for a reasonable price you should be able to switch to another phone wheneva you want to if you are a loyal customer like myself. I been with Cingular/ATT for 5 years now. My family has two iphones and a razor for my daughter. I'm leaving!!!!!!!

  • 59 Posted by nicola441971 on Tue Jun 9, 2009 3:22PM EDT Report Abuse

    Cry me a river...I'm Verizon and because I don't want crappy AT&T service I'm STILL waiting for my iPhone...at any price.

  • 60 Posted by rickgut2004 on Tue Jun 9, 2009 3:23PM EDT Report Abuse

    I bought my Iphone 3G about 7 months ago. I would love to upgrade to the new 3G S. However, being a recent Apple/ATT customer forces me to pay an extra $200!! I guess it's the SCREW OUR USERS TAX. Thats what we should call it! Thank you ATT/APPLE makes me feel warm an cozy inside. LAME!

  • 61 Posted by woodworthw on Tue Jun 9, 2009 3:23PM EDT Report Abuse

    This is a phone that a computer tech might find useful but, for the average person it's just another gadget for their kids to want. I have an older Katana phone. I love it. I like the color, the style and I don't want any cell phone if it's not a flip phone. I find all this stuff on the phones like internet, pictures, email, texting, etc., to be overkill. Kids bug their parents for these phones cause they want to be "in". It's ridiculous.

  • 62 Posted by anthonynex on Tue Jun 9, 2009 3:24PM EDT Report Abuse

    Agreed that the whining needs to stop. Tech products will always get improved, and there will always be something better on the horizon. You knew you were signing a 2 year contract and that you weren't eligible for a subsidized phone until that contract was up- it's been that way for the 20 years I've had a cell, so it shouldn't be a surprise.

  • 63 Posted by cgazcougar on Tue Jun 9, 2009 3:24PM EDT Report Abuse

    well well, seems like we have yet another instance of the ridiculously proprietary nature of Apple and their dealers getting consumers right where they want them. Nothing wrong with running your business model like this, especially when you have the Apple lemmings who will jump over any cliff for the latest gadget coming out of Cupertino......

  • 64 Posted by sfmatrixlive on Tue Jun 9, 2009 3:25PM EDT Report Abuse

    As new as this phone might be it is ages behind the new Palm Pre... The new WebOS is so advance it makes the iPhone's OS seem like winME LOL but seriously Palm's chairman is the father of the iPod and came over to Palm a few years ago to design this phone and let his imagination run wild on this phone. Save yourself the headache and get the Pre I love mine and apps coming out like hot cakes. Just my 0.02

  • 65 Posted by oyeahitsmeagain on Tue Jun 9, 2009 3:25PM EDT Report Abuse

    I am a longtime ATT customer. I don't have an iphone, but when I went online to try to purchase the $99 (old version) iphone, they said that I wasn't eligible for that price until the middle of next year! I would have to pay $200 and agree to another 2 year term...I don't care about the 2 year term....I am already a customer, but why are they punishing people for being loyal by charging extra for the phone?

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