A Truly Unlocked iPhone 3G Will Break the Bank

July 25, 2008 by Rico Mossesgeld  
Filed under Cellphones

Reports are coming in: those who want an unlocked iPhone 3G but aren’t willing to sign up for any two-year AT&T plan will have to pay for the plan’s value up front. Assuming this is true, this represents an additional “fee” of up to $1,900 in the US.

The ones really feeling the effect are people from countries where the iPhone 3G isn’t available yet. Entrepreneurs seeking to fulfill demand are currently buying units, paying the extra “fee”, and passing on the ultimate Steve Jobs tax to their future customers.

What’s amazing is that despite reported prices of up to $1,500 for an unlocked 16GB model in these countries (the total price of a truly unlocked iPhone 3G is much cheaper in countries like Hong Kong), there are still buyers! Honestly, is the iPhone 3G good enough to break the bank for? Are there any workarounds—financial, legal, or technical—available, or has Apple in one fell swoop killed the iPhone unlocking market (remember, no premium no iPhone)?

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