iPhone 3G Will Cost You More Than a First-Gen iPhone In The End

by Jody Mitoma on June 11, 2008 at 1:22 am

AT&T’s service plan for the iPhone 3G - in comparison to the first-generation iPhone - jumped up $10 per month. This, in turn, means that even though the iPhone 3G itself is cheaper up-front, you will still be paying MORE than if you were on a first-generation iPhone plan. The extra $10/month ads up to an extra $240 for a two year plan. This means that even though the iPhone 3G is cheaper by $200, you will still end up paying an extra $40 every two years to own an iPhone 3G.

Okay, so it’s not a big deal. It’s only $40, right? Well, as true as that may be, you can almost say Apple has lied to the masses about this one. It’s almost as if it where false advertising - but then again, that’s how advertising works, right? What else is new.

Here’s a look at the math via Yahoo:

Old iPhone: $399 (for 8GB of storage), plus $60 per month for 450 voice minutes and unlimited data. Two-year total (since you’ll be signing a two-year deal for either handset): $1,839.

New iPhone: $199 (for 8GB of storage), plus $70 per month for a basic voice plan (presumably the same 450 minutes) and unlimited data. Two-year total: $1,879.

Anyway, just thought I’d mention this to y’all in advance. In a sense, the iPhone 3G really isn’t $200 cheaper. It’s $40 more expensive. But hell, it’s worth it, right? In fact, if you look at the grand scheme of things, at least with the iPhone 3G you’ll have more time to save up the money to pay your monthly cellphone bills, and only have to pay $199 up-front instead of $399 (or a whopping $599 - such as the iPhone was at launch, last year!)

I’ll still be getting my 3G iPhone on July 11th, waiting in line with Eric at one of the Toronto Apple Retail Store line-ups!

(Source: Yahoo) (Thanks for the tip S. Z!)

4 Responses to “iPhone 3G Will Cost You More Than a First-Gen iPhone In The End”

Max said:

June 11th, 2008 at 1:52 am

Hmm ok.. sounds interesting.. However in Australia there is talk prepaid plans will be available, as in no contract and no monthly fee. It would be recharge as you need it

It could possibly be cheaper that way
neoflux said:

June 11th, 2008 at 3:15 am

This is obviously in the advantage of te European iPhone users. In most of the European countries, they can’t sell an iPhone with a service plan or whatsoever. That’s why they stopped giving their iPhone exclusively to one operator.

So actually the iPhone now is cheaper in most of the countries in Europe than in the USA…

For example: In France, mobile operator Orange has the exclusive right to sell the iPhone WITH a service plan. So in France you will pay actually more than in the USA.

BUT, in Belgium it’s illigal to sell a phone WITH a service plan, so you’ll just have to $199 or $299 pay for your iPhone, and therefore it’s way cheaper…
Jody Mitoma said:

June 11th, 2008 at 10:55 am

That is very true Max and neoflux. Those select countries will in fact get a good deal while us in the U.S. and Canada will be stuck paying these raised hefty plan fees.
James said:

June 11th, 2008 at 2:12 pm

And this is why I will never buy a contract phone. Ever. Doing the maths in UK Prices:

Cost of iPhone plus 18 month contract = £99 + 18(£30) = £639

Hmm, not too bad, actually. Nonetheless, come October (when I start Uni and have some spare money about), I’ll still be going for the cheap-as-chips Pay & Go plan from O2.