AT&T revealed this week that the iPhone 3G, announced at Apple’s Worldwide Developer Conference last month, will go on sale at Apple and AT&T retail stores in the United States at 8am local time on Friday, 11-Jul-08. This is a change from last summer’s original iPhone roll-out, for which stores closed early and then reopened at 6pm.
We suspect the early morning start time is a realistic nod to the likelihood that most transactions this time around won’t be quite as quick as last year’s iPhone sales. Since customers will need to activate each iPhone in the store, rather than taking the box home to activate the phone in iTunes, we’re sure the process will take more than a couple of minutes per person.
As Glenn reported (see “Current iPhones Keep Cheaper Plan on Reactivation,” 2008-07-01), existing iPhone users, new AT&T customers, and other existing AT&T customers eligible for an upgrade will be able to buy an iPhone 3G at the $199 and $299 subsidized prices. Existing AT&T customers in the middle of an existing contract on a different phone, and AT&T customers whose accounts aren’t current or who have a past history of payment delinquency, won’t be able to upgrade at the subsidized price. (We hear users in the middle of a contract may be able to buy an iPhone 3G for $200 more than the subsidized price.) AT&T has provided a Web site to check upgrade eligibility.
We’ve also heard of people purchasing used iPhones without realizing they’re essentially stolen, and subsequently being billed by AT&T for the iPhone. This can occur if someone buys an iPhone at a retail store, resells the phone to an unsuspecting buyer, then disputes the credit card charge. Credit card companies will often reverse legitimate charges with very little documentation, just on an unscrupulous consumer’s say-so, and AT&T reclaims the “chargeback” by applying the purchase price of the iPhone to the current account on which that iPhone is active. The moral of the story? Don’t buy a used iPhone from someone you don’t know and trust!
There’s also been some confusion over news this week that AT&T will be offering the iPhone at a higher price for those who’d like to buy it without a two-year contract. The company has said they will offer the 8 GB and 16 GB models for $599 and $699, respectively, some time after the 11-Jul launch date for the iPhone 3G. Some early coverage has implied, incorrectly, that the non-subsidized phones will be “unlocked” to work on any carrier’s GSM network. In fact, these phones will still work only with AT&T service, but customers will be able to select month-to-month plans and cancel without penalty. (I’d rather pay the $175 early cancellation fee than the $400 surcharge!)
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Original post by mha@tidbits.com (Mark H. Anbinder) and software by Elliott Back