I think you have it backwards. I think it is much more likely that Steve would push to have a lower priced data plan. Apple is trying to introduce an internet capable phone to many customers that have not owned one before. Many of these customers are going to have sticker shock at the $20/month data price. I don't think Steve is willing to risk sales because the data plan is too expensive. For me, that is the only thing that could keep me from getting the iPhone.So, if we apply that same line of thinking, then it's entirely possible that Steve dictated the data plan to be priced higher than the others. This would be in line with his thinking about the "superiority of the iPhone" and thus one must pay a premium price.
Time will tell.
I wish I did have it backwards. I just read (sorry forgot to capture the link) where it was Steve that forced AT&T to sell the iPhone at full price.I think you have it backwards.
Of course, this is just my opinion and maybe even wishful thinking .
I pay AT&T $29.99 per month for an unlimited data plan (no video) for my BlackBerry.I think $20 for unlimited is the most they can charge without risking losing potential customers. They may charge more, but I doubt it will be above the $40 price that AT&T currently charges for PDA phones.
Where did it say that the discount is out of the goodness of their hearts?Do you really think that AT&T is giving you a discount on a BlackBerry out of the goodness of their hearts?
That would mean AT&T would be sharing profits on the phone with Apple... which is not how I think the agreement works. Apple provides the phone (and thus the profit); AT&T provides the service. I hardly doubt AT&T is going to offer any less expensive plans but that remains to be seen.My hope is that instead of discounting the phone, AT&T will offer the data plan at a cheaper rate since they don't have to make up for a discount on the phone.
I'm with you, and I believe you have it correctly.That would mean AT&T would be sharing profits on the phone with Apple... which is not how I think the agreement works. Apple provides the phone (and thus the profit); AT&T provides the service. I hardly doubt AT&T is going to offer any less expensive plans but that remains to be seen.
The voice and data plans are priced in such a way so the company makes money. For this to happen they have to be priced high enough for them to make a profit after recouping the costs of all of their expenses including the cost of subsidizing phones. You must sign a contract to get a subsidized phone so they are guaranteed that you will use their service for long enough for them to recoup their subsidy. Competition from other providers only forces them to reduce their profit margins, not eliminate them.Where did it say that the discount is out of the goodness of their hearts?
What the post read is the discounted price was because the phone was "subsidized".
This is a common practice amongst ALL US carriers, Sprint, Verizon, T-Mobile, AT&T, Alltel, etc.
So it applies to every brand and every type of phone sold period. The BlackBerry was just an example because it's an expensive smart phone in the general price range of the iPhone.
How do you think the carriers are able to give away "Free Phones" ? Simple.... it's called subsidized.
Regarding your theory of them making up the difference in the fees for the data and voice plans. That too is incorrect. As every carrier charges extra for those services as well. They are all very close in data plan and voice plan pricing because of the the competition.
I am not sure this is true. I have not found any web pages that I am unable to visit with my current plan. I was under the impression that the difference between my plan and the PDA plan had to do with the efficiency of the server and thereforee bandwidth. It doesn't really matter to me though since the browser on my WM5 phone is too painful to use for long .The reason you have a MediaNet plan for $19.99 per month is because if only offers "limited" access to the internet, even though you get unlimited data usage. It's not the full gateway to the net.
When one selects an unlimited smart phone, or BlackBerry, PDA plan it's full internet access, and unlimited data usage.
I don't think you understand what a subsidy is. AT&T is paying a portion/all of the cost of the phone for you. For them to turn a profit they need to make more on the service they sell you than if they had not payed a portion of the cost of your phone.First of all this concept of "making it up by charging more for whatever" is incorrect. This is coming from people who do not understand what a subsidy is. (see the dictionary).
There is nothing to have to "make up for" no matter what price the phone is sold for, or who get's what share of the profits from the phone. We are talking about two different categories of income. One from the hardware (phone) and one from the service (carrier).
Actually it's quite simple, basic businesss 101 if you will. First of all I will keep it simple and easy to understand.I don't understand how you can say "There is nothing to have to "make up for"".
Not doubting, but I'm having a hard time finding a Thinkpad that has similar specs to a MBP. Can you point me to the model and specs you are comparing? For what Apple offers in the MBP the price is not bad at all. I think this applies to the argument that the iPhone might be high-priced just because it has an Apple on it; an outdated argument.I just bought a new MacBook Pro for my personal use, and a New Lenovo ThinkPad for work. Both of these are configured the same. Same processor, same ram, same graphics card, same hard drive, both with 3 year warranties.
I paid $711 dollars more for the MacBook Pro, than I did for the ThinkPad. While I love the Mac, I cannot see $711 dollars difference. $200 more perhaps but not $711.00
Oh well.... the price of admission to AppleWorld
As a long time Cingular / AT&T customer, having many phones and a few plans currently, here is how the rate plans typically are setup.So all the subsidization talk aside, does the data plan include everything I would want/need with my phone...including minutes, texts, etc. Or is the data plan an add-on. In other words, if it is, what will the total service run me per month?