Yes, I have the first generation iPhone and yes I waited in line and bought it on June 29, 2007 and YES many people I know have a 3G iPhone, but I am not upgrading, unless it breaks! I have enjoyed the “unlimited” plan of data and paid my extra money for “unlimited” txt messaging. I have even upgraded my iPhone to the latest software to have access to all those widget/buttons/apps whatever you want to call them. I have liked my iPhone, I get weather, maps, email (finally the latest version I can do bulk delete), and notes (one of the best features, but no sync… wtf?!). I like my iPhone, I may not love it due to limitations such as I can not pair my laptop and iPhone via bluetooth and connect to the edge 2.5 network for basic sub-broadband speeds to surf the web while waiting at the airport, train station, or cafe. I am also a bit unhappy that my shinny 2007 Toyota Prius does not support the iPhone bluetooth profile, so I cannot view my phonebook or import contacts.
So why all this bitching about not upgrading to a 3G iPhone, lets start with price. The price of $199/$299 is very reasonable. I have no problem paying that and rather enjoy paying that over the $599 for the first release (Although, Thanks Steve for that $100 check due to lowering the price to $399, which was used to buy Lepord OS X). The thing that I am bitching about is at&t and their shitty service and hidden fees!
Okay, lets start off with the fact that I have a FAN and therefore qualify for a discount with at&t. Well the first generation iPhone is NOT a business phone, as you can see from my previous blog complaint about my “none business phone” as well as other bandwidth tests and javascript tests. Now the 3G iPhone or second generation DOES qualify as a business phone. If I upgraded to the 3G I would get the
FAN discount (Which I should be getting now!), BUT (oh and its a big BUT) lets walk through all the detailed fees about this.
First off if I was “renewing” my “plan” as a current iPhone customer, I would have to pay at&t $18. This is an “activation plan” a “new” customer would have to pay $36 (Price gauged, yet?). Okay so I would have to pick up this iPhone from an Apple store, cause you can’t find them at any at&t store due to “stock shortage”. Wait, you have that FAN number which DOES NOT give you a discount on your first generation iPhone and the genius Apple people tell you to visit an at&t store to “remove” the FAN from your account. Apple WILL NOT DO THIS; THIS IS WHAT BROUGHT ON ALL THE LONG LINES AND MORE ISSUES WITH APPLE/at&t! Okay, so theoretically I have now visited an at&t store, several hours later my FAN account will disappear and now I go back to the Apple store. Okay, so now you drop $199/$299 on your iPhone depending on size…after waiting in line (mmm more lines!). Okay, now you have to choose a new plan and signup for another 2 year contract. The base plan starts at $69.99 per month for 450 minutes, but if you use SMSes, you’ll have to add on an extra package ($5 for 200 SMSes, up to $20 for unlimited). So now you’re at $89.99 for 450 minutes and unlimited texting (plus theirs local government tax, state tax, and a $1 service charge for being an at&t customer).
Note that the first generation iPhone rates started at $59.99! Well I spend some time on my phone and pay for the 1350 minutes and spend $99.99, well that plan now under the 3G iPhone is $109.99 an additional $10 per month higher then my current plan.
Now say for example I want this new 3G and I will cut back on minutes to “afford it”, well if you downgrade your plan at anytime, your rollover minutes are capped at the total amount of minutes you downgrade to. So if I switch from 1350 to 900, and have 4,000+ roll over minutes, I will now only have 900! WTF! Okay so lets take this new $109.99 rate plus the $20 for unlimited texting, I am at $129.99 a month before taxes/service charges. Granted this is only up an additional $10/month for the 3G network. Since we want this amazing “3G” network, where can I get it? Well luckily I have moved back to civilization and spend my time near NYC area and not in states that canNOT get the iPhone (such as Vermont!). Now say I lived more towards Scranton, PA or parts of Arizona such as Tombstone, will I have 3G coverage? Most likely not! Now maybe I am totally wrong and your reading this saying WTF, just upgrade or stop bitching about it, well that’s true, but let me explain how much I pay for bandwidth vs Gasoline.
Bandwith vs Gasonline is an interesting argument. Although I have internet in my pocket and its 2.5G, its still the internet, so I have this “amazing” phone bill for access to the interwebs. I also have (will have) my FiOS bill for broadband plus my 3G laptop card.
So I have 3 bills for broadband for a device at my home. Now lets get into gasoline, I drive a 2007 Toyota Prius. Now since I have moved into the NYC area, I do not drive this car as much since I am taking public transportation (still relatively expensive) and walking to where I need to go. I tend to travel to Boston or make a weekend road trip one to four times a month. I tend to average about 500+ miles per weekend, so that’s about 1 to 1.5 tanks for each of these trips, plus driving around town running errands is another 100+ miles. So I tend to fill up my tank about 2 to 6 times a month. I have a 12 gallon tank, so with gas at even $4/gallon that’s $48 max per tank! So with 2 to 6 times that $96 to $288 per MONTH! Okay, so FiOS is what $39.99 plus $59.99 for 3G card, plus my phone say $30 for the “unlimited broadband” which is $128. So on slow driving months I pay more for internet then for gasoline. Seems like I should be investing in broadband!doesnt make sense with the article…
So we cover the new cost and even “upgrades” so I would have a bigger sized hard drive (possibly) and a “faster” connection with 3G. Just to note, I would NOT have made this post if I could have used my 3G connection from my iPhone to my laptop via WIFI, so my iPhone would act like an access point. If I could do this and cancel my 3G laptop card, I would be an awe and be jumping up and down… but I am not and NO Apple won’t let you, they even take down the App that does and phone home. So for the rest of you saying that I guess I am a cheap basterd, well suck it Trebek suck it long and suck it hard!
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I will, eventually, when AT&T gets to Burlington, upgrade … just before my next trip to Japan. Then, when I get back, I’ll be able to scream about the roaming fees
But as you say, the pricing structure is a price gouging one … and will be as long as there is no competition.