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Is at&t paying Apple $200 +$10/mo. per iphone?

AgentOrange

Sep 26, 2007, 10:40 PM
Does anyone know what at&t is paying Apple per activation?
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nextel18

Sep 26, 2007, 10:59 PM
They make a total of $11 per month per Iphone sold. $3 is for customers who already have AT&T but are signing up to use the IPHONE. The $8 is new customers coming from new networks to sign up just for the IPHONE. I also heard that they are being pressured by AT&T to lower it. One of the reasons why AT&T’s price points are a bit high.

(By the way, we have mentioned this 100s of times.)
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AgentOrange

Sep 27, 2007, 7:53 AM
Sorry, I looked back and did not see this. Are you sure they are not getting anything at the time of activation? An aanother agent told me that is why indirect was not allowed to sell the iPhone. Thanks for your help.
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nextel18

Sep 27, 2007, 9:41 AM
From what I am told, that is how it works, but they could collect fees per activation other than the monthly fee, however, given the way that they record revenue for it, it is tough to figure out. As the times progress then we will know a bit better picture.
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expectpwnage

Sep 27, 2007, 11:28 AM
Apple likes to be in control of its products, they like to have a hand in everything.
if agents are allowed sell the iphone, Apple can't really keep their hands on things.
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krickt

Sep 27, 2007, 11:35 AM
Amen, brother! I'm a RadioShack dealer, and you wouldn't believe the hoops I have to jump through to be able to sell iPods. We decided it wasn't worth it for the $4 mark up that you make on them.

They aren't going to allow agents to sell the iPhone. It's just a matter of time before Apple starts their own wireless company, and even ATT won't have their products anymore.
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marenda

Sep 27, 2007, 11:51 AM
aren't they in contract for five years with at&t?
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AgentOrange

Sep 29, 2007, 10:40 AM
Yes, at&t has the U.S. market exclusively for five years. The big question is, are they getting a big commission with each activation, like our friends at RadioShak? That is what I heard from someone who claims to know and is usually very accurate. I also heard at&t sweetened the deal to get Apple to drop the price $200.
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