Rumor Smashed: iPhone Will NOT Come With 1.5 Years of Free ServiceS

This morning, a reputable investment site made mention that AT&T plans to give away 18 months of service for free with every iPhone. It's not important who said this cough*thestreet.com*cough, but a Cingular rep just told me that the rumors are simply not true:

The report is nonsense. We've always said the only way you can get the iPhone is with a Cingular rate plan.
We're all for salivating over rumors when labeled as fantasy, but this one is so...

unbelievable that it doesn't even get us half-hard. OK, take the world's most anticipated phone, sell it exclusively. Sounds like a money machine. So, why give away the minutes and data for 18 months, leaving 6 months of paid service on the 2-year contract? Bunk...unless that 50% margin on the totally unsubsidized phone is going into Cingular's pockets. That could rewrite the way phones are sold...Yes! UGH, no. Must...resist...rumors.

Let's get the word out that this isn't true.

iPhone to come with 18-months of free service? [gizmodo]