Roberto Baldwin's picture

iPhone 3G - It's like a magical money tree.   According to Oppenheimer analyst Yair Reiner, AT&T is paying a subsidy of $325 for each new iPhone 3G. The typical smartphone gets a subsidy of about $200. The analyst goes on to state this high rate "reflects AT&T's faith in the iPhone's ability to attract new subs and increase ARPU (average revenue per user)." If the trucks of cash headed to Apple weren't full enough, AT&T will pay $100 for each new subscription that signs up at the Apple Store. That means, for every iPhone sold at the Apple Store, AT&T will pay Apple a total of $425. The analyst doesn't state if there is a price difference for the 8GB and 16GB models. No wonder AT&T is charging $5 for 200 text messages. Via AppleInsider

Roberto Baldwin's picture

 Gizmodo spoke with AT&T and found out that the mobile carrier will require current AT&T customers to be eligible for an upgrade before they'll hand over the iPhone 3G at its subsidized price.

Susie Ochs's picture

Another day, another round of articles about the iPhone 3G and the iPhone 2.0 software and OMG have you heard that Apple makes this cool phone?