Did you get fully subsidized iPhone 4 price even with AT&T contract 6+ months from completion?

Invisible Shield for Apple iPhone 4!In AT&T’s June 7, 2010 press release, AT&T Mobility’s CEO Ralph de la Vega, stated, “We know that people are eager to get iPhone 4, which is why we moved up the upgrade eligibility date for current iPhone customers by up to six months.”

Six months.

So, then why did we get fully subsidized pricing on our iPhone 4’s when we are Day One iPhone 3GS buyers (not to mention Day One iPhone and iPhone 3G buyers)?

We paid $299 for each of our iPhone 4 32GB models, yet we bought our iPhone 3GS models less than 12 months ago. And, last June 19th, we paid dearly for the privilege.

Was the $299 price we got during our iPhone 4 pre-orders a computer error? Will we be charged another $200 per unit on June 24th? Or did we get it because we paid the full (unsubsidized) price for our iPhone 3GS units last June?

Has anyone else pre-ordered iPhone 4 models at the fully-subsidized prices ($199 for 16GB, $299 for 32GB models) who was also more than 6 months from the end of their 24-month AT&T Mobility contracts?

[Thanks to MacDailyNews Reader “Joe Architect” for proposing these questions.]

55 Comments

  1. Bought two 3GS Day One, or Week One in the case of one unit, subsidized pricing. Ordered two new iPhone 4 units, one 16gb and one 32gb, both at subsidized pricing. Both were able to keep unlimited data. To JustMe’s point, I think some of it may be related to profitability. My entire family bill is over $300 monthly [lots of people], so maybe they’re making their money.

    Just a note to JustMe: is such language really necessary? Do you suffer from such a paucity of language command that you cannot get your point across any other way? It’s your prerogative, but I doubt it makes people take you any more seriously.

  2. I bought the 3GS the day it came out, at the $299 price and 2 year contract with At&T;. I pre-ordered my iPhone 4 on 6/15/10 through Apple’s site with the full subsidized price of $299.

    I remember reading an article somewhere (for the life of me can’t remember) that At&T;uses a profitability scale to determine upgrade dates. More profitable you early the more eager they are to sell you the new iPhone and keep you.

    For example I pay for 450 minutes BUT RARELY use any (I have like 8+ rollover minutes left. And I consume little data. Low cost customer for At&T;because I always pay my bill in full and on time. Never call customer service etc….

    And Yes I still kept my unlimited data plan

  3. I bought the 3GS on day 1 last year and got the subsidy for my new 4G. Both the date of purchase and the date of delivery are over 12 months by a few days, so this makes sense in terms of what Rob posted.

    The odd thing is that my original eligibility date was in October or November…

  4. If you paid the full unsubsidized price for the 3GS then it did not affect your pricing bonuses. If you bought the 3G 2 years ago at the $299 price point, then full price on the 3GS, your last subsidized bonus for pricing was 2 years ago. Which should make you eligible this year for full subsidization. You’re lucky in the US, only having to sign 2 year contracts. In Canada, we are forced to take 3 year contracts.

  5. I can understand how there will be so many Verizon fans here, wishfully thinking there is a sign in this. There is NOT.

    Apple’s exclusivity agreement with AT&T has been confirmed by several insiders (on condition of anonymity) three years ago. People have short attention span and nobody remembers this anymore. We get to look forward to two more years of Apple-AT&T marriage.

    As for upgrade eligibility, AT&T is just doing some (apparently effective) marketing, buy advertising something they’ve already been doing before.

    If you have a phone (any phone) on AT&T, you can upgrade it anytime between 12 and 18 months since signing the contract. How soon will depend on your cumulative spending with AT&T. If you spent enough money to pay back for the phone, AT&T will automatically upgrade. If now, they’ll hold you to the 18-month date, as stated when you log in and check your account.

    Again, no amount of wishful thinking will bring iPhone to Verizon (or any other carrier) before the summer of 2012, unless somehow Apple manages to wiggle out of that 5-year agreement.

  6. We have a family plan- 2 first day 3GS phones (as well as first day original iPhones)… 1 phone upgrade path bounced forward from Nov to June and is avail for immediate upgrade. That happened a month or two ago. When that occurred the other phone was listed as upgradable in Nov 2010. I have a screen capture of that page. After iPhone 4 announcement and the “generous offer by AT&T;- that makes all upgrades till the end of the year subsidized” I went and looked again and they DELIBERATELY PUSHED MY NOVEMBER DATE FORWARD TO FEBUARY 2011!!!!!! That now makes my upgrade $499!!!!
    I am furious! We both have unlimited everything and pay a FORTUNE each month to AT&T;, not to mention our ipads etc…. AT&T;used to have good customer service- if you called with a legitimate issue they took care of you, but lately not only is their tech service garbage, but they have taken on a “too bad for you” attitude.
    So now I’m sitting here trying to sort through this issue with them for days and watching the ship dates on the iPhone 4 roll further and further into the future….
    JERKS!!!

  7. If I remember correctly AT&Ts;policy is that you can get a fully subsidized price as soon as 18 months (depending on how much you pay). Therefore if they took another 6 months off of that it goes to 12 months. Thus, if this policy is repeated, so as to make the customers a bit irate, one could get a fully subsidized iPhone every year when they come out.

  8. @Mad

    I’m with you. Same thing happened to me with family plan. I was able to order one for my wife since she had the 3G. But, with my 3GS, I’m stuck at Feb 2011. 🙁

  9. Both my wife and I bought 3GSs last July. I upgraded from a 2G, my wife was a new iPhone user. We both are able to upgrade on 6/24/10 to a new iPhone 4 without paying any extra penalty. Don’t know the full reason, but I’ll take it. Don’t forget how ATT got skewered last year when it was going to charge extra for 3G owners to upgrade to 3GS, even with a new 2 year agreement.

    I suspect ATT wants to lock us in to another 2 years before Verizon gets the iPhone in a few months. No biggie; I’ve been pretty happy with ATT. I seriously doubt Verizon will be much better, and I’m sure Verizon (or T-Mobile or Sprint) will have their own issues.

  10. @Mad, Snow Leopard:

    I am in Snow Leopard’s boat: The 3G is upgradeable as expected, but the 3Gs eligibility has been moved to February as well. It was at 18 months, like Mad observed, before.

    And to Jeff, singidunum, et al: the window is not 18 months as has been stated — even AT&T tells me so. If true, every first day 3Gs owner would be eligible and that is not the case. It is technically between 12 months and 2 years (based on monthly bill) with AT&T now moving dates around for some people for no given reason. (My wife’s and Mad’s upgrade switch is proof of that.)

    This is one of the reasons why people are getting irate: AT&T is not forthcoming when asked about upgrade schedules and it gets worse when you know others on the same schedule who pay less per month and are eligible yet you are not! This would negate the “the more you pay the sooner you can upgrade” rule that they tout. They are definitely not following any logical rules.

  11. I bought iPhone1 on day one and got full subsidy when I bought an iPhone 3G on day one. I then got full upgrade subsidized price when I bought (thru pre-order) a 3GS on day one.

    I just got a 32GB iPhone4 for $299, or full upgrade subsidy thru the apple store pre-order. What I am now worried about is that I was not one of the lucky 600,000 and didn’t get to order my iPhone 4 until day 2. I guess we’ll see in a year.

    I think there must have been something special for always buying on day one when the new model came out.

  12. I’ve purchased every iPhone model on release days. On my second try around 8:00 AM EST, I got my iPhone 4 – 32GB for $299 and unlimited data. I thought for sure that I’d be slapped with an extra $200 when I show up to pick it up; like I did with my 3Gs, which I am selling in gazelle.com for $215.00. All I really know is that I would be thrilled if I can get my phone for $299.00.

    I can see myself know …looky here! $299, printed on my pre-order receipt, sir. What do ya mean I have to pay an extra $200.00. Are you insane?

  13. To clarify:

    At&t;weighs how much your line is worth, and gives you discounts accordingly. If your line is worth more than $100 before taxes, you are able to upgrade after one year or 12 months. On the opposite side of the spectrum, if you are a $10 secondary line with no other features, you must wait at minimum for 21 months. Everything else in between varies.

  14. I got my 3GS around the middle of July 2009 for the fully subsidized price. I was shocked that my iPhone 4 pre-order was priced at $299 for the 32GB model, since my contract is currently under 12 months old. Even with the 18 month number, I shouldn’t be upgrade eligible until January 2011. I thought I’d have to wait or pay the $499 early upgrade price.

  15. @pickles
    That link you posted clearly states that everything written on that page EXCLUDES iPhones….
    AT&T;has no clear posted iPhone upgrade policy. It’s completely random and not definable.
    Yes, I am a second line on a family plan, but have unlimited minutes, unlimited data and texts + ipad usgae and other world connect type charges etc. I am high dollar to them, yet they altered my upgrade date AFTER iPhone 4 was announced from 18 months to 21 months!!!
    Makes no sense and frankly makes me want to buy unlocked version and tell at&t;where they can stick it!

  16. My wife an I both got are 3gs in November an only I’m aloud to get the 32 gig for $299. Hers is $699. I’m the primary an have been with AT&T;for 5+ years. Pay close to 200$ a month. But I barely had my 3gs for 8 months. My wife isn’t happy about paying 699$ for the iphone4 when she had her 3gs 2 weeks longer then me. So I think it has to do with how much the primary person pays a month an if they pay on time. I’m not gonna ask AT&T;any question about it now, that’s for sure. I’m just gonna get mine for $299 and get my wifes for 699. We already sold are 3gs. The messed up thing is, I called AT&T;before we thought about selling the 3gs’s just to make sure the websight was right an he told me my wife’s would be 599$ an mine $299. Till I found out today hers is 699$. We already pre ordered from best buy buy they only take $50. So today I triple checked at apples websight. They also said $299 for me then I found out $699 for the wife’s. That’s when she got pissed off. She woulda kept hers 3gs if she woulda known it would be $700 for a phone! luckily we will only pay $450 if minus what we got for our phones. But still, it worries me until I pay an get the phones in our pockets. Mine better not go up.

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