Verizon's iPhone 4 is going to cost $50 more off-contract versus AT&T's offering
posted by John V. / Jan 24, 2011, 1:43 PM
Granted that Verizon will be matching AT&T in terms of subsidized pricing for the venerable smartphone, at $199.99 for the 16GB version and $299.99 for the 32GB one, we find different structures regarding their phone-only prices. Specifically, Verizon will appear to sell the 16GB and 32GB version of the smartphone at the no-contract price of $649.99 and $749.99 respectively.
Naturally, that's a $50 premium over what AT&T is offering their customers, but some speculate that it has something to do with the cost of making the CDMA iPhone 4.
source: Verizon via SlashGear
- Display 3.5" 640 x 960 pixels
- Camera 5 MP / 0.3 MP VGA front
- Processor Apple A4, Single core, 1000 MHz
- Storage 32 GB
- Battery 1420 mAh(7.00h 3G talk time)
Of course it does, it proves that Verizon is taking advantage of its customers and pocketing that money for themselves, so consumers can choose from either a spotty network or a company that will rape their wallet, talk about choices! Cant say I feel sorry for a person who would choose either option though, as an Ipod Touch costs almost 400$ less and is the same thing outside of having no 3G radios.
posted on Jan 24, 2011, 4:11 PM 1
ummmm....its not raping them at all. you are not taking into account the r&d used to create a cdma iphone or the fact they have to pay qualcomm for their chip...so course its going to b more expensive. Be nice if it wasnt but it cost more to make than to just keep rolling with GSM. i mean if at&t released an iphone 4g that WAS 4g would you expect it to cost the same? new signal, new tech, new money to have funded that tech. seems pretty straight forward to me
posted on Jan 24, 2011, 5:07 PM 1
Posts: 3165; Member since: Jun 19, 2010
a CDMA chip costs approximately the same as a GSM chip, maybe a bit more, and the costs are relatively small, a phone manufacturer pays about 30$. Doesn't explain the 400$ markup over the Ipod Touch, does it?
posted on Jan 25, 2011, 9:55 PM 0
Posts: 3295; Member since: May 17, 2009
So VZW will subsidize the more expensive CDMA iPhone 4 and charge what ATT charges if you sing a two year contract. But if you don't want a contract, the company will charge you what VZW was charged, and that's rape??? Now VZW is the worst as far as nickel and dime-ing customers, but this isn't rape! If that 50 bucks is such a big deal, why not take the 2 yr contract, pay the $300 for the 32gb, agree to the $350 ETF. And even if you only stay only 31 days, all you pay is $625 for a $750 phone. It's really not that big a deal, and real doesn't sound much like rape.
posted on Jan 24, 2011, 6:12 PM 0
To anyone planning to take advantage of what Whateverman posted, double check his math - it doesn't add up. $300 for the iPhone plus $350 for the ETF does not add up to $625. Beyond that, he forgot a few things...First, Verizon recently changed their "Worry Free Guarantee" to allow service cancellation within 14 days and not 30 days as was the previous time period. Secondly, most states in these great United States charge a sales tax on most goods and services. Even if you cancel your Verizon service on the 14th day, you're on the hook to Verizon for the original service activation fees, and all prorated service charges for your usage of the phone for the 14 days you had it. So Verizon is very likely going to get nearly every bit of that $750 back from you - or your credit will suffer as a result if you don't pay up. Remember folks - ETFs and policies are there for a reason. That reason being that this is a BUSINESS and not a charity. People that try to outsmart the system to save a couple of bucks often forget or don't think of the rooms filled of industry experts in a corporate office who's sole job is to ensure that the company doesn't actually lose money.
posted on Jan 24, 2011, 7:13 PM 1
Posts: 3295; Member since: May 17, 2009
@ Anthony. You are right, should have proofread before hitting send. It would be $650 for the phone and the ETF. I'm not taking activation or the rest of that into account. But the point is, if you are willing to pay $700 for a cellphone to avoid being on contract, why not just take advantage of the savings and the $10 per month EFT deduction? Even if you only stay for 6 months, that's $60 you would save during you time with VZW! Second, paying the lower ETF on the back end make more sense then paying a higher price up front. And if you cancel your service on the 14th day, you are still within the test drive period, so no you do not have to pay the ETF at all until you hit the 15th day.
posted on Jan 24, 2011, 10:02 PM 0
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