AT&T relents, offers iPhone 3G S discounts to some 3G users

Wed Jun 17, 2009 1:54PM EDT

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Got an iPhone 3G? Mad that you'll have to pay $200 extra to trade up for the iPhone 3G S? Well, good news: AT&T has announced that it's opening the discount eligibility window for some—but not all—iPhone 3G owners.

In a press release sent out early Wednesday afternoon, AT&T writes that those iPhone 3G users who wouldn't normally be eligible for a fully discounted handset upgrade until July, August, or September 2009 will get the "best" iPhone 3G S upgrade pricing starting tomorrow, June 18.

That means upgrading to the iPhone 3G S will cost you just $199 for the 16GB model and $299 for the 32GB version—just as advertised during Apple's big iPhone announcement last week.

That said, if you're an iPhone 3G owner and you're not eligible for a fully discounted phone upgrade until after September, you'll still have to settle for "early upgrade" pricing—that is, $399 for the 16GB iPhone 3G S or $499 for the 32GB variety.

Another option is "no-commitment"—or no-contract" pricing, which is a whopping $599 for the 16GB 3G S or $699 for the 32GB handset.

OK, but what if you're now eligible for the full discount but already paid for an "early" iPhone 3G S upgrade? In that case, expect a credit from either Apple or AT&T (depending on who you ordered your iPhone from).

So that's the latest—and that's about all we're probably going to get, given that carriers like AT&T typically only grant discounts to subscribers who are at least 18 months into their two-year contracts, and the iPhone 3G has barely been out a year.

Happy with AT&T's concession? Still feeling burned? Let us know.

P.S. You can check your upgrade eligibility on AT&T's Web site, although we're told that the new iPhone 3G S policy won't be reflected in the tool until Thursday. You can also read AT&T's iPhone discount F.A.Q. here.

Comments on AT&T relents, offers iPhone 3G S discounts to some 3G users

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  • 1 Posted by don.berry on Wed Jun 17, 2009 2:18PM EDT Report Abuse

    Bought iPhone 3G on 7/12/08 and I'm not eligible. If everyone had to do a 24 month contract. Then who is eligible? The who paid full retail for the iPhone 3G in July....

  • 2 Posted by purdone on Wed Jun 17, 2009 2:21PM EDT Report Abuse

    It is ludicrus that everyone is focusing on the “poor” iPhone 3G users. Guess what, anyone that bought a new phone less than 2 years ago IS STILL UNDER CONTRACT. That contract clearly says in 2 years, you will be eligible for a discounted price on a new phone. I’m saddened that AT&T would cave to the Apple-worshiping cry babies. Maybe if I can get enough people to whine to my bank they'll let us all off of our mortgages.

  • 3 Posted by vinay_mohan2001 on Wed Jun 17, 2009 2:41PM EDT Report Abuse

    This is Weired , iphone 3g was released last year in July with 2 year contract. And how in the world AT&T is expecting to complete the contract by this year July - September. It is 2009 or 2010. And in the case for just iphone users, their contract will be over in coming months.....and they are generally comes for upgrade. so what in the heck at&t is doing favor for the iphone 3g users

  • 4 Posted by mwbudd on Wed Jun 17, 2009 2:59PM EDT Report Abuse

    The whole problem is the $200 "UPGRADE" fee. This is ridiculous. Nice way to build customer loyalty.

  • 5 Posted by purdone on Wed Jun 17, 2009 4:02PM EDT Report Abuse

    It is the $200 that AT&T subsidized and built into your monthly service cost. The iPhone 3G should have been $200 more expensive than it was, but AT&T cut everyone a huge deal.

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