AT&T: 3G iPhones will be available unsubsidized, without contracts

AT&T today unveiled its prices for the 3G iPhone when it is made available at 8am on July 11th. Buried in today's announcement was the news that customers can opt to purchase their new iPhones outright, without a contract.

New customers or those eligible for an upgrade discount will be able to snag the 3G iPhone at AT&T's lowest price: $199 for the 8 GB model, and $299 for the 16 GB. All customers at that price will be required to sign a two-year contract.

Those upgrading are subject to an $18 upgrade fee, and new customers must pay a $36 activation fee. Existing customers who aren't scheduled for an upgrade can purchase an 8 GB iPhone for $399 or a 16 GB for $499 with a two-year contract renewal.


AT&T has even announced a pricing scheme for the device with no required contract. Though it will not be available on the launch date, no-contract iPhones will cost $599 for the 8 GB, and $699 for 16 GB.

Also announced were 3G voice, data (e-mail and Web browsing), and SMS bundles that range in price from $69.99 a month for 450 anytime minutes to $129.99 a month for unlimited minutes.

Appleinsider compared the newest iPhone plans with those previously offered and found that it will actually cost renewed subscribers between 12.5% and 25% more to maintain their current level of service.

By comparison, Rogers Wireless subscribers in Canada actually require a three-year contract and do not offer an unlimited plan. iPhone-specific plans from Rogers begin at $60 for 150 anytime minutes, 400MB, and 75 SMS per month to $115 for 800 minutes, 2GB, and 300 SMS. Subscribers, however, are not required to pick a pre-made iPhone plan and can create their own a la carte.

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