3G iPhone Contract and AT&T
Apple made a questionable mood last year when they announced that the iPhone would only be available via AT&T in the United States. This highly anticipated device was something that many consumers wanted desperately to get their hands on, and it seemed they were being denied by this AT&T exclusivity. This didn't deter sales, however, as users flocked to iPhone stores to purchase the latest tech toy and the people seemed pleased, until they tried to turn it on. The only option available on the phone before activation was the option to place an emergency call o your local 911 number. This decision disappointed many Apple faithful as it meant they had to wait even longer to access the cool new device. What made the device so interesting is that it could access web pages via safari, had a bult in Youtube app, could play your music and videos, and could do many other things that most cell phones aren't capable of. This isn't to suggest that the iPhone breaks too much new ground however, as many other manufacturers out there make similar devices.
However the iPhone did it with a style that few others could manage. Once activated by AT&T you were treated to 200 SMS messages a month, a $20 data plan (cheaper than 3G options) and a $39 400 minute talk plan. All of this plus the $400 for the phone it's self was not cheap. Apple recently announces the 3G iPhone, which will also be tied by a contract to AT&T. This new phone has some interesting features, such as GPS, however it's the fast speed that most users are interested in. Regardless, one of it's most attractive things is it's $200 price point. However over the long term the 3G iphone's contract causes it to cost $160 more than the standard iPhone, as it is more expensive monthly and doesn't have free SMS messages included. Most users will be more than happy to pay the increased cost for increased speed though, and it's still an affordable device considering it's 3G functionality.
