comparing Apples and Oranges $199 iPhone Freerunner GTA02

[Kalle Happonen]

arne anka wrote:
>> It's 8GB not 4 and it's $199 with a 2yr contract.  Regular retail prices
>> have yet to be announced.
>>     
>
> as i understand, 199 is apple's price -- providers may subsidise the  
> iphone, too.
>   
No, 199$ is a operator subsidised price.

from
http://bits.blogs.nytimes.com/2008/06/09/the-cost-of-the-199-iphone-10-more-per-month-for-data/

"According to a press release from AT&T, the carrier will no longer give 
a portion of monthly usage fees to Apple. Instead carriers will pay 
Apple a subsidy for each phone sold, in order to bring the price from 
$399 down to $199 for the 8 Gigabyte model."

later in the same
"Now Apple will get its money, say $500, up front and it no longer has 
to police what people do with them."
which I guess is a fair estimate.

What this means is of course significantly higher monthly fees.