AT&T To Offer iPhone 3G Without Contract

July 01, 2008 | by Geoff Duncan

AT&T has announced its U.S. pricing plans for Apple's iPhone 3G...and they include future contract-free offerings for $599 and $699.

AT&T has unveiled its service plan pricing for Apple's upcoming iPhone 3G, due to splash into the consumer marketplace on July 11 at 8 a.m. local time. Two versions of the iPhone 3G are set to go on sale—an 8 GB version for $199 and a 16 GB version for $299—but the details of AT&T's service plans had not been announced.

AT&T plans to offer a variety of individual and family plans for the iPhone 3G; as expected, text messaging will be an additional fee on top of voice and data service. A basic plan with 450 "anytime" minutes, 5000 nights and weekend minutes, and a $0.45/minute fee above those limits starts at $69.99; an unlimited voice and data plan will cost $129.99 a month. FamilyTalk plans—which include two lines and can add up to three more for $39.99 each—start at $129.99 a month for 700 minutes and ramp up to $359.99 a month for 6,000 minutes; an unlimited family plan runs $259.99 and $129.99 per additional line.

Text messaging service is $5 a month for up to 200 messages, $15 a month for up to 1,500 messages, and $20 a month for unlimited texting. Family users can either pay $0.20 per text message or $30 a month for text service.

AT&T requires a two year contract with purchase of an iPhone 3G, which puts the total minimum out-of-pocket cost for an 8 GB iPhone 3G with no text service at $1,878.76—not counting taxes and activation fees. Want a 16 GB iPhone 3G with unlimited voice, data, and text messaging? If you buy it July 11, by uou'll have spent $3,658.76 by the middle of 2010—again, omitting taxes and fees.

AT&T also says it will offer a "no-commitment option" in for the iPhone 3G, charging $599 for the 8 GB version and $699 for the 16 GB version. Current iPhone customers can also purchase an "early upgrade" to an iPhone 3G, getting the 8 GB version for $399 and the 16 GB version for $499; AT&T will require users to sign a new two-year contract, but it's a quick way out of an existing iPhone contract for folks who must absolutely have the latest and greatest.




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