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[MSN] Phone companies lose $400 for each iPhone sold - Page 2

post #11 of 89
The providers are fine; they're not losing a dime. Trust me. They RAPE us with their wireless and data plan prices. Smartphones are their perfect weapon to force us to get a data plan.
Quote:
Originally Posted by Oedipus View Post

Quote:
Originally Posted by brucethemoose View Post

$30 a month for a 2 year data contract is $720, so you're paying $920 for a $600 Phone. They're not losing money, though it's hard to pay for all those 3G cell towers Siri needs for $320.
But considering how alot of Android phones with similar specs go for $400 or less unlocked, $600 is pretty outrageous. Again, that shiny Apple logo is worth at least $200.

Lol, nobody pays $30 a month for post-paid wireless service. My sprint bill is $180.

He was referring only to data, as getting the iPhone on a contract requires that you get a data plan. Sprint's data plans are roughly about the same as the other carriers I think.
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post #12 of 89
Quote:
Originally Posted by Oedipus View Post

Lol, nobody pays $30 a month for post-paid wireless service. My sprint bill is $180.

He was talking about just the data pack.
Quote:
Originally Posted by Shrak View Post

2 Words.
Wholesale
Retail
They're already buying them cheap than the general public at wholesale prices. Then sells them for retail prices.

They actually do not sell them for retail... unless you pay full retail for them... ie not eligible to upgrade.
I think you missed the entire discussion.
    
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post #13 of 89
The cost of the entire plan that you sign up for when you buy your subsidized phone is used to pay for towers, wages, etc. You might as well say "oh well the texting plan is only $10 a month, so they're losing money."
    
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post #14 of 89
Quote:
Originally Posted by Sohryu76 View Post

He was talking about just the data pack.
They actually do not sell them for retail... unless you pay full retail for them... ie not eligible to upgrade.
I think you missed the entire discussion.

They sell them at $200, but more than make up with the data and service plans which cost them close to nothing. And even if compared to retail at $600, they're getting them wholesale for say 400, then you're stuck with it for 2 years, and end up paying 1k+ on data plan alone for one year, let alone the actual phone service.

Let's say you want to terminate your contract, likely cost you around $300 these days. They could get even more from you.

They won't lose money one bit, and you're paying far more for the phone than you may think. You may not be paying upfront, but they're getting their money's worth for it.
post #15 of 89
Quote:
Originally Posted by Shrak View Post

They sell them at $200, but more than make up with the data and service plans which cost them close to nothing. And even if compared to retail at $600, they're getting them wholesale for say 400, then you're stuck with it for 2 years, and end up paying 1k+ on data plan alone for one year, let alone the actual phone service.
Let's say you want to terminate your contract, likely cost you around $300 these days. They could get even more from you.
They won't lose money one bit, and you're paying far more for the phone than you may think. You may not be paying upfront, but they're getting their money's worth for it.

oh I'm not saying they are losing money...
I am just saying that if you want no contracts.. and a dirt cheap cellular plan... you are going to pay out the rear for the phone...

and because of someone in a different thread... I want to point out what when i say you... I am not referring to you specifically, Shrak... just a generalization

and the discount that places get for selling most apple products... like 5 to 15%
so at 600 bucks... they company may pay 510.00
Edited by Sohryu76 - 2/20/12 at 11:33am
    
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post #16 of 89
Quote:
Originally Posted by Oedipus View Post

Lol, nobody pays $30 a month for post-paid wireless service. My sprint bill is $180.

exactly. I have the cheapest plan available for smartphones PLUS i get like 30% for where i work and my plan STILL comes out to $65 a month.
    
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post #17 of 89
Quote:
Originally Posted by Oedipus View Post

...and then they recoup those costs with deliciously overpriced cellular plans.
Gotta love their math. They act like they're simply giving you a $600 phone for $200 and then let you walk out the door.

Exactly this!

Ive got a free Galaxy S2, but im in a 24 month contract paying £25 a month.
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post #18 of 89
Quote:
Originally Posted by Sohryu76 View Post

oh I'm not saying they are losing money...
I am just saying that if you want no contracts.. and a dirt cheap cellular plan... you are going to pay out the rear for the phone...
and because of someone in a different thread... I want to point out what when i say you... I am not referring to you specifically, Shrak... just a generalization

Upfront you pay out the rear for a phone, but compared to paying retail at say the company I use (boost mobile), you actually end up paying more for for the same phone on say verizon wireless, because of all the extra plans and contracts that are forced on you.

(was actually a Verizon Wireless employee, and even with the employee plan, Boost was cheaper. lol)
post #19 of 89
Does no one notice how much our communications have increased in price? Apparently not a lot of people think it's wasteful to pay $40-$80 for a cell phone, >$100 for TV/internet, I just....urggg
post #20 of 89
What a fail of an article. Carriers are not losing money. They are making a butt tone. Notice you can not simply walk into a cellular providers store, and get a smartphone without a data contract. Those data fees are outrageous, especially for the iPhone. Not to mention all the other fees, I was with rogers wireless for 3 years. I had to pay 20 bucks a month to add 1000 text messages, oh and I got caller ID too.

Wind mobile ftw, unlimited everything for 30 bucks.
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