Why Should AT&T Lower iPhone 3GS Upgrade Prices

Browsing Twitter over the last several days I see a trend of people complaining because of what they feel is an exuberant cost for existing customer to upgrade to a new iPhone 3GS. There are even a few petitions floating around. Personally I've got to say I don't see the issue here. Yeah I know it might suck that you have to pay a higher price to get the latest greatest, but hey welcome to the world the rest of us geeks live in.

Every geek out there knows the costs associated with early adoption. I mean how many times have we shelled out that extra couple hundred dollars for the hottest new video card or hot new CPU just to see prices drop a few months later. That's part of every day life in the tech arena, something newer, faster and hotter is always right around the corner.

But that isn't what the complaint is here, or at least not as it was explained to me. Existing customers that have only been in their current contracts think they should be offered the hottest new phone on the market at the same subsidized price as new customers. Be damned with the fact that they already have a contact in place, or the fact that they already paid less than retail for the phone they already have. No they seem to want their cake and eat it too.

How many of you out there that are complaining signed up and got new iPhone 3G's at the subsidized price? A phone that I'd assume you would also like to keep!

AT&T doesn't need to offer existing customers better upgrade prices what they should offer is a trade-in program like the ones EVGA and BFG have implemented. With those programs customers, typically with a 90 day period of purchase, can swap out their old parts for a newer (faster/better) component at a reduced price equal to that off the old cost of the old part.

A program like that would be win win for everyone. Customers could stop whinning about the high cost to upgrade and AT&T would get the old phone back to refurb and sale again and they'd still get a new 2yr contract to help recover some of the subsidized costs of the new phones.

Of course there would have to be a time limit say 3-6mo's. After which you have to wait the standard year or so to start getting your lowered cost. Then of course after 2yrs you'd be eligable again for the full subsidized discount.