Rumor: AT&T to reduce cost of entry iPhone plan
The Street is reporting on a rumor today that AT&T is planning to drop the cost of the entry-level iPhone plan in the US from $69US per month to $59 per month. The suspected drop will take place when new iPhone models are released, as early as "...next month."What's AT&T's motivation here? To attract price-conscious customers, woo Apple away from a rumored Verizon deal or simply clear inventory for the next-generation iPhone? As a person who's on this plan, I honestly don't care why -- I just hope it happens.
The change would trim $120/year off of the current plan, reducing the overall cost of the 2-year plan to $1,760. [The original $240/year mention was due to an editing error. -Ed.]
[Via The Apple Blog]


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Reader Comments (Page 1 of 2)
THJ said 1:06PM on 5-07-2009
That would be nice, but after watching Jim Cramer talk about manipulating stock prices w/ Apple rumors on the Daily Show, I have a hard time believing anything from thestreet.com.
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Andy S. said 1:17PM on 5-07-2009
Am I missing something here? The math doesn't quite add up the way I'm reading it...
With a price drop of $69/month to $59/month, that's a delta of $10/month. Over the course of 12 months, that's $120, not $240. And at a cost of $59/month, that's a total cost over two years of $1416, not $1640.
Am I wrong?
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jrflesch said 1:26PM on 5-07-2009
You are locked in to a 2 yr contract so the total savings must be considered over 2 years respectively making a $240 savings over the current offering.
Graham said 1:20PM on 5-07-2009
A $10 drop in monthly fees results in a $120/year reduction in fees, not $240.
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Andy S. said 1:33PM on 5-07-2009
It looks like now the yearly savings total has been corrected, but the 2-year total cost is even further off. How do you get $1760? Every calculator I can find tells me that $59 * 24 = $1416.
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alf said 1:37PM on 5-07-2009
knowing at&t, this is some underhanded bait & switch scam they're running. did i mention the horrid coverage......
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Schell said 1:40PM on 5-07-2009
iphone plan? How is this different than having a regular service plan and then adding an iphone data package?
Similar? Different?
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Mark said 1:41PM on 5-07-2009
What about those who already have the plan? Would they lower the price to KEEP us or at the very least make us very happy??
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ack154 said 1:56PM on 5-07-2009
I can only say... "YAY!"
My current contract (Helio) is up at the end of this month and I will be dumping my Ocean for an iPhone (to replace my iPod Touch) as soon as I hear details on whatever "new model" may be coming.
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SquiggiE said 2:02PM on 5-07-2009
Wait a minute...I must be missing something...
AT&T iPhone plans as of right now:
$39.99(voice)/450 min + $20.00(data) = $59.99
$59.99(voice)/900 min + $20.00(data) = $79.99
$99.99(voice)/unl. min + $20.00(data) = $119.99
How does this differ from the already existing entry level plan of $59.99???
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Jon said 2:07PM on 5-07-2009
The iphone 3g data plan is $30.
$20 was the price for the original iphone data plan.
SquiggiE said 2:17PM on 5-07-2009
Ahhhh...I see, checked my account and see that now.
I must have been remembering when I signed up with the 2g iPhone before my upgrade. ;-)
JAQ said 7:26AM on 5-08-2009
"How does this differ from the already existing entry level plan of $59.99???"
It doesn't. The iPhone plans are just standard AT&T voice plan rates with standard AT&T data plans ($20 for EDGE, $30 for 3G) added on.
Darwin Smith said 2:02PM on 5-07-2009
They need to drop the cost of text messaging too! Either way this is a huge win for all iPhone users, maybe even enough to keep me from switching.
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George said 2:02PM on 5-07-2009
Sounds to me like they are just reducing 3G data plans to $20. Otherwise the iPhone voice plans are just standard AT&T rates.
I assume this doesn't apply to existing users…
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Galley said 2:02PM on 5-07-2009
I'm already paying $60 for the cheapest plan with data. Does this mean I won't have to pay an additional $10 to get 3G service when I get the new iPhone?
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puhsitch said 7:46PM on 5-07-2009
If it's true that they're lowering the price, I'd guess that it's because of us original iPhone users. We're hitting the two-year mark for the first iPhone contracts, and there's probably a good chance that a lot of folks would hesitate to buy the new model and stick around for another 2 years if it means having to pay $10 more per month for the required 3G service.
Thank goodness there's still competition in this market.
PSM said 2:36PM on 5-07-2009
I just wish they would offer a plan with less than 450 minutes. I use less than 100 minutes a month (and this is my only phone!), and with rollover minutes I already have like 2,000 minutes I'll never use. It seems like the carriers are stuck in this mindset that people primarily communicate through phone calls. It would be nice to see more flexible options putting more emphasis on the data and text plans so people can choose what fits their needs best. But then we wouldn't be forced to pay them for things we don't need, and they wouldn't like that.
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J said 3:08PM on 5-07-2009
I've used 5 non-weekend/night minutes this month (cycle ends on the 13th). I have over 3300 roll over minutes...I would love if they would bundle a lower voice minutes plan but that's not going to happen. I reap the benefits of unlimited txts though, I sent just over 3100 so far this mth.
dastranger said 3:08PM on 5-07-2009
Totally agree with PSM here. I'm at around 100 min or less. I'd love to be able to purchase an iPhone plan @ 200 min, heck even 300 min. I never even come close to using my monthly 450 minutes.
Alas, this probably won't happen ever or anytime soon.