How to land your iPhone for $300
The largest factor deterring customers from considering a switch to the iPhone is the hefty pricetag; unfortunately, if you are currently an AT&T customer, the following strategy for securing your iPhone for $300 will not work. However, if you are dedicated to switching to AT&T to secure an iPhone, the following plan will guarantee you an iPhone for less than $300..and that’s no joke.
What many of you are undoubtedly planning is to visit your local AT&T or Apple retailer and wait in line to sign a new contract to become a 2 year customer and proud owner of an iPhone. Though many people thought the iPhone could catch some sort of rebate, there is absolutely zero chance of that…but there is a way to get your iPhone for that low price tag if you are switching to AT&T and not currently an existing customer.
The two key factors that will play a part in you landing your coveted iPhone for under $300 are as follows:
1. The iPhone comes with no rebate…but that doesn’t mean other phones don’t come with rebates.
2. Amazon has long been know to PAY customers to switch service providers.
Here’s the plan (which will go off without a hitch, as long as you can fill out a rebate form): Instead of beginning a contract with AT&T when you purchase your iPhone, begin your contract tomorrow by visiting Amazon.com and purchasing the Sony Ericsson W810i for 1 cent here.
When you purchase your Walkman phone, you will be eligible for a $175 dollar rebate…on your 1 cent purchase, meaning you are being paid $174.99 by Amazon to switch to AT&T via Amazon and using the Sony Ericsson W810i.
As you are now officially a customer of AT&T, you will not be beginning your contract with your purchase of your iPhone (at zero discounted rate); you will simply be extending your contract by the amount of time that passes between when you visit Amazon and purchase your Walkman phone and when you visit your Apple or AT&T store and purchase your iPhone…ideally a 1 day extension of your 2 year contract.
Because the iPhone comes at no discounted rate, you will suffer no adverse contractual or discount-loss effects by buying it at the full price it weighs in at; now you have a Sony Walkman phone coming in the mail to you, a $175 rebate coming your way, and your iPhone still being purchased at the normal going rate.
At this point you have two options…you can sell your brand new Sony Ericsson W810i for at least $25 dollars on Ebay or some other venue to put more towards your iPhone, or you can hang on to it as a very well-regarded backup. The W810i has received excellent reviews, and a backup phone never hurts.
How does this plan get you the iPhone for under $300? I am assuming you choose the lower of the two versions (4Gb model), but here’s the math:
Amazon purchase of Sony Ericsson W810i with AT&T contract: -$175.00
Store purchase of iPhone, 4 Gb model: $500.00
Resale of Sony Ericsson W810i via Ebay: -$25.00
Putting the grand total of your iPhone and new contract agreement at: $300.00 (plus tax). I can affirmatively tell you I have changed services via Amazon and they are by far the best way to go about switching…in fact, a friend of mine has already executed this plan and is a VERY happy customer of AT&T one day before the iPhone release.
If you go this route, please come back and let us know how happy this solution made you, and share your own iPhone discount success story!
Update 1: For all of you who are really wanting to execute this, but don’t know how to get out of your current contract, go check out the article on 6 ways to dodge your cell phone contract here.
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June 26th, 2007
I tried to do this but Amazon would not let me buy it in my zip code???
June 26th, 2007
Hmm, are you outside the US or perhaps in Hawaii or Alaska? Perhaps there is some sort of shipping error..I’ve had a few people do this now and it worked fine…you have to remember this isn’t really about the iPhone, per se…they aren’t withholding it from you because they know you’ll turn around and buy an iPhone.
June 26th, 2007
Do you get assigned a phone number by doing this deal? Or can I port my current number in when I buy the iPhone?
June 26th, 2007
It says that you canNOT switch the line/plan. Does that mean when I buy the iPhone and ‘change’ the contract purchased with AMAZON, that it will appear to be a change in equipment/line and AMAZON will then charge me $250 later? Wording of their terms is confusing.
June 26th, 2007
Ok, here’s how this works: you can retain your same number, just as you can with any carrier nowadays, so there’s no threat of losing that. Secondly, they tell you you can’t change your line/plan once you’ve signed the contract until teh contractual period is up, just like any other contract deal…however, you can add to the plan (and AT&T says if you’re an existing customer you can “upgrade” your plan to the iPhone plan because it’s adding data to a normal phone plan, so you aren’t changing it as much as adding something) and it isn’t a breach of contract.
This is just normal contract ins and outs. There will be no adverse affects because what you are doing is extending your contract by purchasing a new device (which you can do with any service provider at any time, and all it does is extend your contract another two years), and you aren’t breaching your contract because you’re upgrading your plan to an iphone plan (which is confirmed as a legitimate way to get the iphone..otherwise current customers would be SOL).
June 26th, 2007
As someone who has done this already, let me clear things up for you all:
jlanuez: You have to actually be able to get Cingular/AT&T service in your area to do the Amazon deal…or to even use the iPhone in the first place (you probably live in the middle of nowhere I assume?).
ls: It doesn’t matter because you aren’t switching your phone line in the first place. If you are an existing AT&T customer, they will allow you to keep your plan (therefore not breaking your agreement with Amazon) and add the iPhone data plan for $20 a month. With the data plan added, the monthly bill comes out to the same as the pre-packaged iPhone plans announced today.
In general: YES you get to keep your number, this has been confirmed by Apple, as well as the fact that you are not CHANGING your phone line or plan, you are just upgrading it w/ the iPhone data plan once you’ve purchased the iPhone.
June 27th, 2007
Sorry, one more question. If I am a TMOBILE customer right now and plan to switch on Friday, does that enable me to port my number in and cancel out the one arriving with the AMAZON phone? Will the ported new number retain the same account number so no ‘issues’ are risen with AMAZON? Wasn’t sure if their ‘terms’ require you to use that phone the whole time for 181 days.
Thanks and sorry for so many questions!!!
June 27th, 2007
ALSO – If you have signed up as an Amazon Associate, to create an affiliate link to this phone plan – that way you can earn credit for selling yourself this phone… here is the current promotion as worded by Amazon…
“Earn $15 Bonus on Cell Phone + Service Referrals
The Amazon Associates Team has teamed up with the Amazon Cell Phone Team to create an exciting new offer for you to earn additional referral fees. Beginning May 1, 2007, when you refer a cell phone with a service plan, you will earn an extra $15 bonus on each referral!”
June 27th, 2007
JQ,
At what point of the setup did it ask you if you want to port your number(s)?
June 27th, 2007
It seems the Amazon rebate ends today (!), and I still need to try a few ways to get out of my T-Mobile contract.
Anyone have any idea if they’ll just put another right back up? It looks like there was a $50 rebate right before the $75 dollar rebate.
Even so, $100 of would still help.
And are there another phones that have steep rebates like this that would also work?
June 27th, 2007
I just picked this phone as an example…this is the best one as far as a rebate goes. You can choose any other phone and still get the rebate..that’s what Amazon is all about as far as switching services goes.
June 27th, 2007
Richard A,
They never asked, and i wondered the same thing so i called Amazon and what happens is, In the process of them sending you the phone, the activation gets done. When you receive your phone its gonna have a number assigned, at that point you call AT&T and tell them that you want your number transered from another carrier, they ask you a few questions and then your set. Well it will take a few hours.
Just found out from Sprint its gonna cost me $200 per line to cancel, thats $400 total. Here are my iPhone spending calculations for 2 phones(cause my girlfriend insists we have the same phone).
2 8gb iPhones = $1272
2 Amazon Phones+S&H = $20
2 Activations = $62 ($36 + $26)
2 Sprint Termination fees = $400
Misc. accesories = $30
_________________________________
TOTAL = $1784
- Amazon Rebates 275
_______________________________
GRAND TOTAL = $1509
HAVING AN iPHONE………..= PRICELESS!!!????
June 27th, 2007
lol, I’m sorry for your cancelling woes, JQ. If you can, drift over to Digg.com and go to the Apple page, and find the article on 6 ways to cancel your service without any fees..that should help you. Though your math isn’t off, I don’t understand how you can expect a much lower price tag…if you can get out of your cancellation fees for sprint, you’ll be able to get a solid deal on the iPhones this way, I know.
June 27th, 2007
anyone have any ideas for getting away with the early termination fee from Sprint?
By the way, I still dont know how I’m gonna come up with the money by friday (dont think im a baller with all that $$ to spare, but I wil come up withl!!! somehow, i think, i hope…????
June 27th, 2007
here’s a nice brief little piece on ways to get out of your contracts…I’ll write something on this later, so check it out!
http://consumerist.com/consumer/apple/6-ways-to-cancel-any-cellphone-so-you-can-get-an-iphone-272305.php
June 27th, 2007
GF? what’s that?
June 27th, 2007
I just went through the first step of the process. I am an existing Verizon customer. I have purchased the Sony Ericson W810. Through the process they run a credit check, and you get to select your plan. The plans are the same as the iphone plans, just minus the data. ($20/$30/$40). Throughout the process there as no questions about your previous provider, or phone number to port. I think I will have to deal with this part at an AT&T store.
Two other notes. You can’t sell the Sony phone or give it away for 180 days. This will void your $250 discount.
You also forgot to mention that you have to pay the $175 to your previous carrier, so really your getting your iPhone for $500/$600 still.
June 27th, 2007
Shane: it isn’t that I forgot to mention there are service cancellation fees for switching…I was assuming most people understood there are fees associated with cancelling, and was directing the article towards those who are free of contractual obligations.
June 27th, 2007
I checked into this and the AT&T rebate is not valid for purchases that put the total cost of the phone under $0.00. Read the last line of the AT&T rebate form, linked on Amazon.
The idea is still good, as you can still get the cost of the phone + $75, but the AT&T rebate will almost certainly be rejected as the cost of the phone on the invoice will be listed at $0.01.
June 27th, 2007
Also, amazon’s rebate specifically says that resale or activation of the phone on another line invalidates the rebate.
Is there any way to unlock the phone and then activate it on another line so that amazon will never know?
June 27th, 2007
Taylor: I can definitively tell you that you will receive the entirety of your rebate, as I have done so in the past, along with many close friends of mine. It hasn’t been an issue for anyone yet.
June 27th, 2007
you have to wait a while to resell the phone..6 months or something.
June 27th, 2007
Triston: Thanks for the reply. I hope that’s the case. After reading the rebate, (I had already placed the order) I called amazon and asked a customer service person the question. I guess predicatable he said they wouldn’t honor it, but I doubt he could say anything else.
I do think that it’s worth trying, because at the very worst you get a free good phone + $75, but I think it is worth noting that technically AT&T doesn’t have to honor the rebate, per the last line in its terms & conditions.
That said, I hope I’m totally wrong. Regardless, thanks for the blog entry as it was a good idea and has at least saved me $75.
June 27th, 2007
This is a GREAT idea! I have only one reservation at this point. I desperately want an iPhone, but I need to know that the data part of it will be at least somewhat viable outside of wifi. Until I’ve read user reviews about their experiences with EDGE I can’t justify the expense. I know that carriers are required to give you 15 days where you can cancel the service without paying early termination fees.
Does anyone know if you were to decide not to keep the carrier and the phone what the implications would be? Would I just give everything back minus a nominal restocking fee? Or would I get hit with a huge fee?
If someone knows I would really appreciate it, as I would like to take advantage of this deal tonight while I still can?
June 27th, 2007
Taylor– the condition actually reads that the mail in rebate is not valid if “point-of-sale” rebates put the cost of the phone at 0 or below. This is why the phone costs $.01. 1 penny is above zero, and therefore eligible for the rebate.
Just pulled the trigger on this — great way to help offset the cost from jumping from my carrier early — thanks for the tip!
June 28th, 2007
Maybe you waited too late in the day to do it? I put in my order around 11:30 am Pacific time and I received my new mobile number around 8:30 pm. I guess good ideas spread like wildfire.
That’s strange because I thought I saw your responses before I put I my order. Maybe not.
June 28th, 2007
I was also wondering if you could get an additional discount this way:
I work at a government institution and would be eligible for a discount on my phone plan, on a normal phone plan, but I think the iphone plans don’t allow business/coorporate discounts. So my plan is to get my account discounted up front, before I upgrade to the iphone account, and then add the $20 upgrade on top of my discounted $40 a month plan, thereby getting the iphone plan on top of my discounted plan price.
I wonder if this will work.
July 1st, 2007
Since you won’t get any discount on the phone and there are always amazon deals going on, except for the newness…why not wait until your present contract is up?
Is there any real reason you can’t wait for your current contract to expire with your present service?
As people stated, this will offset the termination costs for some that have decided to terminate early regardless…
July 1st, 2007
Don’t do this. It’s a total waste of time.
Here’s why:
First things first, as far as I’m aware it’s not AT&T or Amazon who does the rebate. It’s likely whatever phone manufacturer your phone is.
Secondly, Tristan, to clarify what you were saying. Last I checked, you CAN change your contract, you just need to extend your contract length when you do so. For example, if you use 1400 minutes or whatever, and you’re on a 1000 minute plan, you CAN upgrade to a 1400 minute plan and extend your contract 2 years from that date. Some providers even offer a grace period of 2 months to change your minute plan with no contract extension penalty. I’m making up the minute numbers, but that’s the way the concept works.
For the main issue: Traditionally, if you were to do an upgrade as this article suggests to do, you have to be a customer at AT&T for “x” number of days. I’m not sure what that number is exactly, but it’s probably about 1-3 months from activation. And if you were to activate an account on Amazon, get the phone, and then cancel and restart it in the store the next day, the rebate would be voided because the phone handset rebate is no longer tied into an active account. There’s a lot more details, but I think you get the idea.
So, you’ll wait 3 months/90 days, right? Sure…you can. But why bother? The $599 and $699 are prices for the fully qualified customer–those who haven’t gotten a new phone for 2 years. So when you go in to upgrade after 90 days, you won’t get the “full” discount, but will probably be looking at a $999 price tag or some outrageous number like that.
Why do you even want an overhyped phone that’s going to cost you $100 a month on a crappy network, anyways??? It’s just a well-marketed phone, not the best device out there. Just like the RAZR was!
Do you really think these billion dollar companies (Amazon.com and AT&T) were born yesterday and giving away rebates/money for nothing? And you’re insane if you think there aren’t other variations of this “let’s exploit the loophole” ideas that haven’t been circulating for YEARS.
Articles like these piss me off. The writer should go play in traffic during his lunch hour tomorrow.
July 1st, 2007
skoolofbiz,
you apparently failed both grammar and business…first of all, there are many people who have successfully executed the strategy outlined in this article, so until you try it, don’t try to debate the finer points. It is successful, and you’re debating points that were clearly stated (and reiterated in comments). Secondly, if you truly knew how the system worked, you would know that people have been using 3rd party vendors for cell phone activations to catch handouts that aren’t directly available from the provider themselves. I’m sorry the article pissed you off, and for your information, I’ve physically been hit by a car before, so I’ll pass on playing in traffic…however, if you have a lunch break (I work too much for one of those), I would recommend you either taste your own prescription or just don’t comment…frankly you’re “I’m a better writer and more life-savvy than you” attitude is a bore and quite wearisome to people who have heard it time and time again.
July 2nd, 2007
can i comment on this?
July 2nd, 2007
SkoolofBiz, for somebody that purports to be so informed, you really should be aware of the obvious basic facts, such as that the iPhone is $499/$599, across the board, bottom line, period. This is not subsidized price, it is the ONLY price — i.e., there is no $999 price anywhere.
Anybody, no matter whether they’re a new customer, or signed a contract with AT&T last week, pays the same price.
July 5th, 2007
Amazon no longer advertises the $175 repate on the Sony phone – did they stop offering it or am i missing something? if they stopped, what is the best rebate for ATT currently offered?
July 28th, 2007
I to missed the boat on the $175 rebate at amazon. anyone else tracked down were the next best rebate for cingular is?
October 30th, 2007
ok well now it’s $250 but the sony watever it is is up to, $100 but the iphone is down $200, that means:
$400
+$100
______
$500
- $250
_______
$250
that’s $150
November 14th, 2007
This DOES NOT WORK! I just spoke with a representative from Amazon.com regarding adding the $20/$30/$40 iPhone package for an “existing A&T customer” (neccessary -according to AT&T’s rep-to operate the iPhone) and it DOES VIOLATE the terms of their conditional discount. You would have to wait 6 months to get the iPhone so that Amazon doesn’t charge your credit card $250, meaning you’re re-extending your contract another 2 years ON TOP OF waiting 6 months to get the phone you REALLY want.
Switching to the iPhone the “next day” DOES NOT WORK!
November 14th, 2007
***This DOES NOT WORK!*** I just spoke with a representative from Amazon.com regarding adding the $20/$30/$40 iPhone package for an “existing A&T customer” (neccessary -according to AT&T’s rep-to operate the iPhone) and it DOES VIOLATE the terms of their conditional discount. You would have to wait 6 months to get the iPhone so that Amazon doesn’t charge your credit card $250, meaning you’re re-extending your contract another 2 years ON TOP OF waiting 6 months to get the phone you REALLY want.
Switching to the iPhone the “next day” DOES NOT WORK!
November 19th, 2007
Any new news on this?
December 20th, 2007
This deal is no longer working. Amazon doesn’t list any “you make $” after rebate deals. Letstalk.com has sealed up their contracts, now requiring that you submit the rebate form within 120 and 180 days with your 4 service bill while jumping on one foot. Whats next sending in your 4th finger? Tiger Direct used to sell locked phones. They have 2 models now. I’m really surprised no one is suing over the contract in the first time. The iPhone is not subsidized, besides greed, is there any good reason for the contract?
January 7th, 2008
FYI, there IS a “rebate” available for new iPhone buyers from AT&T Wireless:
http://www.essistme.com/2007/08/11/25-discount-on-the-apple-iphone/
January 28th, 2008
its a gud idea, but i guess u need to wait for 3 months before ur rebate is processed.
another thing.. prices has reduced to 399 for 8gb and there is no 4gb iphone available anymore… i saw some comments with 499 etc… so made this comment….
February 2nd, 2008
Thanks for sharing
March 16th, 2008
Ok, I am posting this pretty late so it might have worked at the time but doesn’t seem to work now. I checked the conditions and found out that amazon gives you a $275 dollar rebate for signing a deal with a carrier but it comes with conditions. If you deactivate the phone or activate it on another line (among other conditions) then amazon will charge your card $275. Again, I am posting this a long time after it was written so it may have worked at the time but doesn’t anymore. I think the best way to do it is sign a contract with at&t and get a free phone. Then sell it on ebay for as much as you could, which will save you about a $100. Then buy a refurbished 8gb iphone from apple for $350. So if you can sell your phone, you just got an iphone for $250. I also want to point out that the iphone is relatively cheap because the cheapest data plan on att is the blackberry plan which is $30 a month without the 200 txts a month. So that means with an iphone you are saving $10 a month or $240 over 2 years. If you factor in the price of the actual blackberry you are getting (the cheapest I could find on att is a refurbished pearl for $80) you are actually saving money by buying a iphone over a blackberry.
April 15th, 2008
Hi Triston — Just checking out your suggestions. I saw at rebate offer for a Blackberry Curve that actually gives you back $25… with an Amazon sign-up. Would this philosophy still work in your opinion. Your posts are over a year old here and I need to get a new phone by the end of the week as I am leaving my company.
iPhone is first choice and Blackberry curve is my second choice… Love to score both and get the “rebate” you are saying to bring down the cost.
Thanks for your thoughts – OLW
April 15th, 2008
Hi Triston — Just checking out your suggestions. I saw at rebate offer for a Blackberry Curve that actually gives you back $25… with an Amazon sign-up. Would this philosophy still work in your opinion. Your posts are a month old here and I need to get a new phone by the end of the week as I am leaving my company.
iPhone is first choice and Blackberry curve is my second choice… Love to score both and get the “rebate” you are saying to bring down the cost.
Thanks for your thoughts – OLW
April 23rd, 2008
I am not sure how the blackberry got into the discussion, but I am interested in getting the best deal on an iphone. Should I buy now or wait until the summer? Will the prices go up or down based upon a new Apple announcement?
Any feedback you can give me will be greatly helpful.
Thanks,
Nancy H.
March 31st, 2010
im looking for iphone that for $300 if its 3g 8gb iphone email. me nsw..sdy