Okay, I have to rant. AT&T will be charging existing iPhone users an $18 dollars to upgrade to the iPhone 3G. This is in addition to the price of the new iPhone plus the increased voice and data rates.

In short, if you’ve been a loyal AT&T customer, you’re getting a penalty to upgrade.

Once the iPhone makes it way to other carriers, I’m switching. Sadly, it won’t happen soon enough.

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16 Comments

  • Josh

    gravatarJul 1, 2008
    11:16 am

    All AT&T customers who want to jump to the Iphone will have to pay this $18 fee. Annoying, yes.

    But, I can’t help to wonder if switching to another carrier really would make a difference. Doesn’t Sprint or Verizon charge activation fees for new handsets, too?

  • joecab

    gravatarJul 1, 2008
    11:31 am

    And what makes you think another carrier wouldn’t do the same? Or worse? That and the higher fees sure make me feel okay with sticking to my old iPhone…

  • nor

    gravatarJul 1, 2008
    11:36 am

    Anytime you want to upgrade to any phone you have to pay the $18? Go figure…..

  • Chanpory Rith

    gravatarJul 1, 2008
    1:02 pm

    When I was with T-Mobile and got a new phone, I simply took the SIM card out of one phone and moved it to the new phone. From what I remembered, there was no additional fee.

    Understandably this is migrating from 2G to 3G speed. But considering the rate plans have increased in price, I’m still not sure why there is an upgrade fee.

  • damien

    gravatarJul 2, 2008
    12:26 am

    The $18 upgrade fee sucks, sure. However, isn’t AT&T also allowing current iPhone owners to upgrade to the new one at the subsidy price? Not sure if it’s 100% true, but that’s what I’ve read.

    In that case, what’s the big complaint? Neither Verizon, Sprint nor T-Mobile allow their customers to upgrade to a new phone at a subsidy price while they are in the middle of their contract. Heck, AT&T doesn’t even do this with other phones. The fact that they are doing so for iPhone users is a pretty big deal!

    I don’t have/want an iPhone right now, but if I were to go to AT&T and try to upgrade to another 3G non-iPhone device, then I’d have to pay the unsubsidized price - and I’ve been a loyal AT&T customer for years, too. Perhaps, I should call AT&T and complain that they are playing favorites?

    All I’m saying is that just because you are using an iPhone, don’t expect the wireless carriers to fall at your feet. You all are already getting awesome upgrade deal that’s not provided to ANY other customers.

  • Dave!

    gravatarJul 2, 2008
    6:50 am

    Just my experience: I have been recently watching the AT&T site, waiting for a phone with a full keyboard to be offered for no charge with a re-up of my contract. When the Samsung Blackjack showed up, I called AT&T and asked if the $18 upgrade fee could be waived, please. The nice lady on the other side of the phone said “We don’t normally do that, but okay.”

    I’ve been with them for 10+ years. Maybe that has something to do with my treatment?

  • Rob

    gravatarJul 2, 2008
    7:27 pm

    Only $18? It will cost ATT at least that much to process and dispose of or recycle first generation iPhones that nobody will want without the 3G upgrade.

    What a bunch of spoiled children some iPhone users are.

  • Marie

    gravatarJul 17, 2008
    8:06 pm

    Don’t bother I’ve tried them all ( Verizon, At&T, T-Mobile, Sprint, Nextel) and I can honestly tell you that with all their flaws AT&T is still better than the others, if only slightly. Verizon is the worst by far!

  • Jim

    gravatarJul 18, 2008
    7:18 pm

    Marie makes a good point. Bottom line ALL cell carriers in the US screw over their customers, some in similar ways, some not so blatantly. I’m sorry to say whatever carrier you switch to, they will find a way to do the same. But I guess if it makes you feel better go ahead, stick it to them! The next one is waiting with baited breath to do the same.

  • K.D.

    gravatarJul 25, 2008
    2:19 pm

    Just as a tip… TMobile now charges the same $18 fee for ANY new handset/plan. They tell us everyone’s doing it… Who knew corporate policies were subject to peer pressure? I asked nicely for a waiver as well, with three different people. No dice. Maybe Dave! has a better tactic…

  • Erika Lopez

    gravatarAug 3, 2008
    9:03 pm

    Forget the $18. I had to pay an additional $200 to upgrade from my dying phone. What a racket! AT&T is horrible. I want to start a class action suit against them for being penalized for being a loyal customer.

  • Kyle

    gravatarAug 4, 2008
    1:55 pm

    And looks like you’ll be waiting until at least 2010.

    Article on TUAW

  • cjeanc

    gravatarAug 25, 2008
    3:41 pm

    this fee is not only for iphone owners / updgraders. it is for all upgraders. makes not much sense. seems to me as though if you are a new customer, you pay 36 for activation and returning you pay 18 to continue using the service. both charges have no real meaning behind them. just plain bogus. something to put on the bill to make the customers bad and the company happy.

  • Josh

    gravatarSep 14, 2008
    2:58 pm

    i have never heard of a company so willing to give up more money. i mean, i have the lowest rung rate plan with a cheap phone. i want to upgrade to the 16gig iphone, pay more money per month, and volunteer to extend my contract 2 more years, and they refuse because i am not qualified for an upgrade???

    goes to show what it means to be a loyal customer who pays on time every month. i am begging them to take more money from me, yet they would gladly take a random dude off the street and let him get the iphone at the contract price. i will probably switch providers at the end of my contract just for the principle of it all. i miss cingular!!!

  • Mike

    gravatarSep 22, 2008
    3:04 pm

    I don’t like the fact that the sales person tells you to call and ask for a waiver that they always do it, then when you call they say no. That’s shady business.

  • karl

    gravatarNov 4, 2008
    11:15 am

    tried to upgrade from curve to bold, they asked me to pay addional fee because my current contract is not over yet, duh, being loyal willing to shell out $300 for new phone, what a stupid sales policy, i will switch to another carier, AT&T SUCKS big time!!

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