Thursday, May 01, 2008

$199 iPhones?

Fortune reports AT&T plans to reduce the cost by chipping in $200.00 on each iPhone sold.
When the 3G iPhone is introduced this summer, AT&T, the exclusive U.S. iPhone sales partner with Apple, will cut the price by as much as $200, according to a person familiar with the strategy.

AT&T is preparing to subsidize $200 of the cost of a new iPhone, bringing the price down to $199 for customers who sign two-year contracts, the source says. Apple is expected to have two versions of the new iPhone, an 8-gigabyte-memory and a 16-gigabyte-memory model with price tags widely expected to be $399 and $499.

AT&T and Apple declined to comment.

It would be nice, but AT&T is already losing money on the iPhone. I guess we will find out in June.


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