AT&T sees "tremendous demand" for free Apple iPhone 3GS

AT&T sees
If you are curious to know which device AT&T chairman Ralph de la Vega considers responsible for most of the new subscribers that have signed up with the carrier recently, it is the Apple iPhone 3GS. The executive says that AT&T is seeing "tremendous demand" for the phone which is free with a signed two-year contract. The device was originally launched in June 2009 and de la Vega says, "we’re getting more new subscribers coming on to the 3GS on the average than other devices. So we have an inventory sold out on that device."

While the Apple iPhone 3GS is the first of Apple's touchscreen handsets to be offered for free with a 2-year pact, you can also buy an 8GB version of the Apple iPhone 4 for $99 with a signed 2-year contract. As far as the brand new Apple iPhone 4S is concerned, sales are continuing to do very well and de la Vega says he is very optimistic about smartphone growth for AT&T's fourth quarter.

source: MacRumors

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113 Comments

1. ZayZay

Posts: 571; Member since: Feb 26, 2011

Duh, everyone wants the "free phone" and once again this is a 2 year old technology that is basically but not limited to be called "crap"

7. iwebdroidberry7

Posts: 230; Member since: Jan 17, 2011

Like most BOGO Android phone out on the market huh? Go figure.

40. ardent1

Posts: 2000; Member since: Apr 16, 2011

You aren't paying attention to Apple's strategy or namely the late Steve Jobs' strategy. Apple is a very patient competitor and very few people remember how when Steve Jobs came back to Apple for his second tour, Apple's market share in the PC was about 1% and the recent figure is about 10.7%. The 3GS is a 2-year+ old technology that allows people to join the Apple franchise. Next year, I wouldn't be surprised if the 3GS is discontinued and the iPhone 4 takes its place as the free phone for ATT, Sprint & Verizon. Apple has figured out how to increase the longevity of its products and the older generation iPhones will serve as a foothold to capture the price conscience buyers.

44. Kease

Posts: 36; Member since: Sep 30, 2011

Wow, he increased their market share by almost ten percent. No other mean on earth could have done that....

46. Sniggly

Posts: 7305; Member since: Dec 05, 2009

No, more like 1000 percent. Kickass marketing does that. As for people wanting this phone, of course it's because it's the "free iPhone," which is how it's advertised. I can't really knock Apple for doing this, because Android devices drop down to low prices or free all the time. Aaanyway, this won't kill Android. How weird is that? Just two years ago the question was whether Android was the iPhone killer, and now it's pretty much flip flopped- iFanboys are trying to predict whether the iPhone can come back and regain its top dog status from Android.

49. taco50

Posts: 5506; Member since: Oct 08, 2009

I like how you compare a phone (iPhone) to an operating system (android). Did you know that android is not a phone?

54. Sniggly

Posts: 7305; Member since: Dec 05, 2009

Since every phone running iOS is called an iPhone, does it really matter? I'm typing on my phone. iPhone comes up quicker in autocorrect. Did you know that you can't arbitrarily only choose sales comparisons which allow you to claim victory?

68. InspectorGadget80 unregistered

Taco u troll too much

70. gallitoking

Posts: 4721; Member since: May 17, 2011

Wow Apple the Android killer... please Sniggly stop smoking that s**t..... until Apple plans around android then I will believe it... ok remember the Rzr ... the Nexus.. all were plann around the released of the iphone... lol poor bastard... your hate towards a company makes you dumber than you think...

73. Sniggly

Posts: 7305; Member since: Dec 05, 2009

Wait wait wait. The guy who claims that Motorola is "copying" Apple by sealing in the battery is accusing me of being/looking stupid? Thanks for the compliment!

99. gallitoking

Posts: 4721; Member since: May 17, 2011

calling you an idiot is a compliment.. true.. you could be a a** hole... well Apple copied the notification bar... according to you.. use the same metric to the battery, but you wont... you hate Apple to much... please.... say it... lol,,,, Sniggly intelligence chases you... but you manage to outrun it....

102. Sniggly

Posts: 7305; Member since: Dec 05, 2009

Um, Gallito, it's pretty obvious that Apple copied the notification bar from Android, as that's kind of how ANDROID HANDLES NOTIFICATIONS. However, considering that this is the absolute thinnest phone anyone has ever produced, you somehow think that "copying Apple" came first in Motorola's mind when they have a track record of making their phones very much unlike iPhones and have not sealed in the batteries on any of their (considerably popular) phones? Motorola has changed up how they handle batteries before when design called for it. The Motorola Devour, for instance, had an aluminum body which was really thin because they dropped the screen section down into it. So, instead of building a frame for a battery door on the back, they put the battery door on the side so you had to slide the battery in. The phone was ultimately terrible, but that's beside the point. The point is that Motorola would only change how they handle the placement of the battery if the design necessitated it, like making the phone impossibly thin and water resistant. To make the phone water resistant AND to include a battery door, they would have to have made a lot of nonexistent room for a rubber seal around the battery. It'd be easier to just seal it inside the device. I mean, I'm sorry, but this should be a massive "DUH."

111. gallitoking

Posts: 4721; Member since: May 17, 2011

like i said.. you think what you want ., and so will i ... the fact of the matter is that nothing changes..right...

113. Sniggly

Posts: 7305; Member since: Dec 05, 2009

The fact of the matter is that you were full of s**t and you know it. Thanks for not acknowledging that I showed why you were wrong.

57. Matty

Posts: 15; Member since: Jul 06, 2011

The real strategy is that it will bring more customers to Apple who will then inevitably buy apps, books, music, games, postcards?! etc from Apple which is where they will make up a lot of revenue. Once you are on the Apple ecosystem its hard to get off even if you dislike the new iphone (like many customers faced this year) since you will have to rebuy alot of the same apps on another ecosystem like android. On android, you might prefer a HTC phone one year and next might be enticed by a beast from Samsung and then easily move your apps across.

58. Sniggly

Posts: 7305; Member since: Dec 05, 2009

That is something else I've run across a couple times. People like Android, they're willing to switch, but they can't bring themselves to let the money they spent on apps with Apple to just go to waste. I wish there was something I could offer to them to counter that and compensate them; a ladder out of the walled garden, so to speak.

59. taco50

Posts: 5506; Member since: Oct 08, 2009

Good point other than make up revenue. Apple still makes good profit on the free 3GS thanks to carrier subsidies.

93. ardent1

Posts: 2000; Member since: Apr 16, 2011

It's commonly referred to as stickiness. Once you invest in an ecosystem, it's hard to walk away from it.

61. 530gemini

Posts: 2198; Member since: Sep 09, 2010

@zayzay. I know huh. Only android phones should be for free to attract customers. But it wouldn't be right for the ip3gs to be given for free with a contract. LOL. Android fanboys have amazing mentalities :-)

75. andro.

Posts: 1999; Member since: Sep 16, 2011

The 3gs is free,the iphone 4 8gb is free in my shop. The massive demand for the 3gs is because most know its a proper functioning phone,the problems with the 4s dropping calls etc is widespread knowledge judging from my customers and now the iphone 4s is the exact same phone but dearer but with more problem risks like battery gate and yellow screens so many are choosing the safe bet of a 3gs. The 3gs is two year old tech but then islaves are used to having devices behind the market curve so this doesn't matter to them

108. Landmarkcm

Posts: 507; Member since: Aug 11, 2009

Lol ridiculous. Im a newbie with my Sprint 4S. Best phone ive ever owned & ive had alot!

2. networkdood

Posts: 6330; Member since: Mar 31, 2010

Many of the average 'joes' has a reg. phone and that phone is their first smartphone. Over half of AT&Ts customers have a SP.

16. networkdood

Posts: 6330; Member since: Mar 31, 2010

have....ughhh

3. Astreo

Posts: 105; Member since: May 05, 2011

People dont really want it because its an Iphone but instead because its a FREE Iphone that they think will bring them up to date with everyone else. while it isnt a great phone it is dated now. I cant count the number of times people come into my store and their first question is " which of these are free? "

4. ZayZay

Posts: 571; Member since: Feb 26, 2011

That's what I'm saying. All these customers are so use to a Radio Shack, Best Buy target world, they think a lot of real expensive phones should be free.

6. networkdood

Posts: 6330; Member since: Mar 31, 2010

Well, online is a free HTC INSPIRE 4G - I would have that phone - faster processor and data speeds.

26. Astreo

Posts: 105; Member since: May 05, 2011

I find it funny how many downvotes i have but no replies as to why ,to say what they found wrong. oh well carry on.

41. ardent1

Posts: 2000; Member since: Apr 16, 2011

The phone may be free, but there's a catch such as the monthly contract cost. I just can't see myself paying $80 to $100 a month for mobile service. I am the type that would rather buy the phone outright. For my last two cell phones, I paid the "rack rate" to avoid a contract.

50. taco50

Posts: 5506; Member since: Oct 08, 2009

Who's your carrier again? How's the service? I know T Mobile offers cheaper monthly rates if you bring your own phone. Too bad they don't have 4G

55. Sniggly

Posts: 7305; Member since: Dec 05, 2009

They have the same level of 4G as T-Mobile, and their speeds were pretty good when I tried them.

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