As the dust settles on the
iPhone 3G / WWDC blowout, we've sifted through the debris and discovered a few eyebrow-raising tidbits you might be interested to know. The first of which is news that the next firmware update (2.0) could be headed to devices as early as June 27th, at least according to Apple's Australian iPod touch features page, which touts the arrival of the app store later this month. Meanwhile, Apple's cash cow won't get those
OTA iTunes music downloads that were being heavily speculated on in May. Word on the street is that record labels are -- wait for it -- still holding out for those upped premiums, or that AT&T wants a cut of the action, which Apple is reluctant to hand over. Of course, AT&T wanting their share of that revenue makes good sense when you realize that the telco is taking a
major hit on the sale of these devices -- a hit which will stall profits until 2010. Perhaps that explains the new rules about
activation; according to a report from Reuters, the company will penalize customers who buy a phone but don't activate within 30 days, which falls in line with their aggressive new push to lock users into a contract... which looks exactly like the old cellphone business model. On a lighter note, iLounge has some real-world spy shots of the device's shell, which they claim smudges like it's going out of style, though it may be joined by a Product (RED) variation later this year. Enjoy!
Update: Apparently Apple reps have
confirmed that there won't be any early firmware updates for the masses, and that they're still on schedule for July 11th. The Australian site has since updated its info -- so put the champagne back on ice.
[Thanks, Dan and Danny]
Read - Australian iPod touch features page
Read - No Over-The-Air 3G Music Downloads For New iPhone; Labels Holding Out For Higher Price Per Track?
Read - iPhone to cut into AT&T earnings until 2010
Read - Real World Photos: Inside + Outside iPhone 3G's New Shell
this sounds great!! should eliminate all you guys trying to cheat the system
"the company will penalize customers who buy a phone but don't activate within 30 days"
Surley that can not be legal ?
I think this qualifies as bundling. I'm sure some state Attorney generals and consumer advocates will get in at&t's face about this.
AT&T is NOT taking a hit on this phone. It seems that they are subsidizing $200. But they raised the data rate $10/mo and over a 2 year contract that is $240. My math says that AT&T is now making more money on the iPhone, not taking a hit. Also, from what I read they may have dropped the 200 text messages from the iPhone plan. So if you want that back it is another $5/mo. So that means even more money for AT&T.
Actually the data $10 increase to $30 for data is the price for all PDA/Smartphones with 3G so that is not how the phone's are getting subsidized.
http://www.macrumors.com/2008/06/10/iphone-3g-hands-on-notes-and-questions/
As a former Consultant for AT&T for a# of years I can assure you AT&T is NOT taking any sort of hit on the subsidized price of the iPhone. Think for a minute about all the NEW features that got LEFT out of the iPhone 3G in order to bring it in at the pricepoint. A Cheap camera, a cheap housing, NO MMS, & NO A2DP. Here you can purchase other phones that have those features for LESS than the "subsidized" iPhone price. TRUST me when I tell you AT&T will be laughing all the way to the bank. Sounds to me that by putting the earnings drop speculation out there they they are trying to push the stock price down some in order to sell more shares. They've done it before, certainly would NOT put it past them to do it again. The no OTA music downloads SUCKS profusely, you can get that feature on a B.S. carrier like Verizon or pay $15.00 monthly to zune & get unlimited music, but Apple which has the biggest music store on the planet cannot seem to get these moronic record companies to understand the goldmine they are sitting on?
Re: OTA music downloads,
I think the reason why they've blocked OTA downloads is because the Music Companies want a larger cut of the iTMS sales for OTA. Apple doesn't wanna concede; and I agree that they shouldn't.
What does it matter *how* the song is delivered to the purchaser? A sale is a sale. The music companies think that it's worth more for the convenience of doing it on the device instead of at a PC.
the only hit AT$T is taking which will require 2 years to recover back from the red (im surprised it wont take longer) is the multi billions of dollars invested in getting their 3g networks up and running in major markets nation wide. i suspect this has nothing to do with the iphone directly, the bully tactics theyre employing with their plans for anyone who dares to actually want to buy a new 3g model will more than make up for whatever 'subsidy loss' they are claiming.
I as well would love to see AT$T get their pants sued off their asses on this deal by consumers as well. Ive never heard of being mandated to use a device within a certain time after purchase else face penalty charges before... at least not from a private company.
Ummmm... So what's the price of the penalty?
At this point Apple and AT&T have only announced pricing for the phones on contract. There has been no price guarantee for the phone outside of a contract has there?
If that is the case, it stands to reason that the fine assessed will be the difference between the contract price for the phone and the non-contract price (which hasn't been announced) with a li'l sum' sum' thrown in for AT&T's trouble. I would think that at some point AT&T is going to need to offer the phones without a contract to existing customers just like they do any other phone in their line up.
Looking forward to checking out what folks have cooked up! Anyone know if there's a good place to check out apps pre-app store (besides the one's from wwdc)? have only found this: http://youtube.com/watch?v=irXCMdRprfw
no OTA??? what a joke! why bother having 3g? actually, can the iphone download anything (music, programs, videos, etc.)???
I'm wondering the same thing. I'm very happy with using the Podcasting application on my N95, and can't see going back to iTunes and transferring the podcasts from my PC to the player.
Aren't you required to active in-store, or am I missing something here? Because then you couldn't really go 30 days without activating - that would have to be one long in-store buy.