Early iPhone 3GS upgrade to cost $399-$499

By Tim Conneally | Published June 8, 2009, 4:06 PM

iPhone 3GS

AT&T subscribers who purchased an iPhone 3G and wish to upgrade to the 3GS early can do so by renewing their 2-year agreement and paying $399 or $499 for the 16GB or 32GB for the new device plus an $18 upgrade fee, the mobile operator said today.

In today's WWDC presentation, Apple listed the new handsets as costing $199 and $299, and did not include the unsubsidized price.

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Its a bad long term move for ATT, for a quick buck. What ATT needs to do is lock in iphone users who might jump to a Pre or Gphone. If you give these people a good deal on the new phone you are locking them in for another 2 year contract, but most won't at these new prices. A lot of people are going to let their contracts expire and when they do ATT will lose a ton of customers to a better provider who might have something better than an iphone at the time.

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I don't know why Apple charges so cheap for it's amazing iPhone. I'd expect the iPhone to retail for $10,000 and upgrades to start at $2,000. Apple practically gives away it's products.

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Re: cancelling cheaper... back in June last year AT&T changed their rules re the early cancellation fee and it should be prorated now, so you don't have to pay the entire $175 to cancel. But you will lose your number and you will need to wait a bit before re-applying. I don't think it is worth the hassle.

I'd rather wait for another 6 months and avoid the initial mayhem. Maybe by than there are enough rumors out about the next version of iPhone and I 'll wait another 6 months and get something even better! LOL

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I bought the iPhone 3G a couple days after launch last year so I called AT&T to see about my eligibility for the maximum discount. The guy told me they were knocking back the usual "20-month" for the maximum discount down to 1 year after the purchase of the iPhone 3G. So I guess people who got the iPhone 3G early will only have to wait only a month more to save $200+, or if you don't care about keeping your number, you can terminate and sign up again :P

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AT&T seem to not like iPhone users much, do they.

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Wouldn't it be cheaper to just cancel your contract and then sign up again?

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to whom this may concern, i'm sorry if it offends you in any type of way, but thats crazy renew contract and still pay like four to five hundred dollars thats ensane. then i would still have to pay an upgrade fee whats wrong with u guys i know the economy is bad and you guys are probably hurting, but hey you not the only one.

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FFS...give us one with a real freaking qwerty keypad already!

Sheesh.

...or at least someone come out with a thin "dock" that attaches to the phone allowing you to slide the phone to access an attached keypad.

Did I mention I hate touchscreen-only phones? ;)

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dude dont be stuborn go buy yourself a freakin slider already
"sheesh"

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*laughing*

I already own a Voyager. Best of both worlds.

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Why would they renew the agreement but not subsidize the phone?

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you could buy the phone without contract for the same price....whats the incentive here???

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