iPhone? iMight

I’m already a Cingular/ATT customer now. I’m okay with the iPhone forcing that.

What I’m not okay with is the total cost of the iPhone. $1936 for the first year? WHAT!? Let’s investigate!

I’m currently dropping about $756 a year on my phone (including fees/tax). Let’s see… I could buy a really nice iPod for $249. I could buy a nice GPS addon for $129/year, and a phone that supports it with a contract renewal for under $300.

iPhone

Total for year 1: $1936. Year 2’s total is $1296. TCO for two years: $3232.

iPhone, no data plan

Total for year 1: $1456. Year 2’s total is $816. TCO for two years: $2272.

Components, no Data Plan

Purchasing New Phone: (one time cost) – $300
Yearly Phone Plan: $756
Purchasing New iPod: (one time cost) – $249
Yearly GPS Fees: $119.88
Total for year 1: $1424.88. Year 2’s total is $875.88. TCO for two years: $2300.76.

Components, with Data Plan

Purchasing New Phone: (one time cost) – $300
Yearly Phone Plan: $756
Purchasing New iPod: (one time cost) – $249
Yearly GPS Fees: $119.88
Yearly Data Fees: $480
Yearly Fees: $96
Total for year 1: $2000.88. Year 2’s total is $1451.88. TCO for two years: $3452.76.

My choice is obvious – iPhone and no data plan, if I can afford it. Consider the iPhone’s one time cost versus the component’s one time costs — $549 vs. $640. Another thing to consider is using the iPhone without a gluttonous data plan. You’d actually be better off with an iPhone and No Data Plan than buying the components separately – the $9.99/mo for GPS is what gets you!

I’ll go ahead and do this for 5 years, because that’s how long I’ve had my existing phone (or the cheapest one available in case I drop my phone in KY lake again) … and in chart form:

cost comparison chart

The iPhone without a data plan may be the route I end up going.
I-may-have-screwed-up-the-numbers-but-I-dont-think-so-Disclaimer: It’s getting late and my eyes are getting heavy.

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About andyhillky
I'm cool.

4 Responses to iPhone? iMight

  1. UnluckyCat says:

    But will the iPhone-minus-data-plan still have all the functionality you want? Part of what I liked about the demo was how easy it seemed to switch between voice calls and internet– not so much the case with other phones. I really can’t wait to play with one, but I’m not sure I’ll be buying right away.

    I’m still annoyed with cingular’s data plan rates- about 4x what I believe sprint’s charging.

    And did you add in warranty/ drop-in-a-lake coverage?

  2. bofe says:

    I already have a warranty on my phone. “Phone Insurance” is what Cingular calls it.

    Unless my data usage drastically changes, which is very possible with the addition of a web browser, I will still go for the plan without the data plan.

  3. Evan says:

    Why couldn’t you get unlimited data, no/yes iphone and the free mobile google maps app instead of the garmin thing?
    Granted functionality could be a large draw back. But what more can a $10 a month service do verses a free… free… free… free one do?

    Interesting too look at the long run though btw.
    Reminds me of just how much money we all piss away every month on stuff.

  4. sm says:

    is it really possible to get an iPhone WITHOUT the data plan? And is it really worth and usable without the data plan?

    AT&T shop said that it wont be possible to use buy the iPhone without the data plan …. and also that it wont be ‘any use’ without it

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