AT&T Raises the Price of iPhone 3GS from Free to $1

apple_iphone_3g_s_8gb_black_l.gifHere’s a weird one. AT&T has raided the price of the iPhone 3GS from free upon contract agreement, to a whopping 99¢. This is especially odd considering both Apple and AT&T touted it extensively when the announcement was made.

Again, this seems incredibly odd considering the price was raised, and raised so little. However, one explanation has cropped up from an AT&T employee, who claimed that these handsets were being lifted by people with stolen identities since the handset became free. The 99¢ charge cannot be put on a customers’ bill and must be purchased with a credit card or a bank debit card thus tying the purchase to a real identity.

So, if the price increase is due to fraudulent activity, that’s one thing. Otherwise, it’s just weird. Besides, Apple is still offering the device for free on their online store.



  • Lance Drake

    If I remember the legalese correctly, such contracts are not valid unless there is some sort of value exchanged.

    The value exchanged in this case would be, “1 iPhone for $1 dollar”.

    I am almost SURE the legal-wonks wrested this one from the marketing- wonks so people would not just set up the account – get the phone – cancel the account – and keep the ‘Free’ iPhone.

    Charging a dollar for the phone would keep the ownership of the device within the bounds of the rest of the contractual particulars…. or so the Germans would have us believe.