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The iPhone: Price - $499 4GB, $599 8GB in June

10:46: Steve's comparing the iPhone to buying an iPod and a smartphone—he says people carry around both.

10:46: 4GB model = $499

10:47: 8GB model = $599

10:47: Shipping in June!

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1:48 PM on Tue Jan 9 2007
By Jason Chen
385,367 views
98 comments

Comments

  • argh. end of the year in europe. bummer.

  • Woot - my guess was 8gb!

    What do i win?

    Maybe a PS3?

    If so, I'll pass, but thanks.

  • Too bad Apple doesn't have a subscription model for music. All it needs is a Rhapsody hookup

  • Haha, hmmm does someone want a PS3 or an iPhone?

  • Subsidized by Cingular?

  • I have to wait until June?!

  • It's the Apple Chocolate!

  • $100 for 4 gb actually doesn't seem like a lot.

  • Ouch. Well, good to know I have six months to put away $600.

  • Canada boned again, no doubt.. First the AppleTV (won't be here anytime soon) and now this.. Pretty weak keynote for your friends north of the border :(

    *sob*

  • Ouch.

  • And there's the kicker. $500-$600 is going to limit the market size of this without the cellular companies covering some of the cost.

  • I would need to see the contract.

  • Any mention of unlocked GSM at any point?

  • I was guessing somewhere around $699, which is cool, cause I can use the extra $100 toward breaking my contract with T Mobile.

  • The phone is awesome. What kills it is that they decided to go with cingular....

  • $600 AND I'm locked into a two year contract? WTF?

  • Where are the Apple copy editors? That's "2-year agreement," Stevearino.

  • with a 2 year contract with cingular

    wah wah wahhhhhhhh

  • Ha - there's no way they're going to unlock this phone.

    Those prices, btw - are WITH a 2-year contract, no?

    Ouch.

  • whoah $600 WITH a 2-yr contract? how much will it cost without that contract? where's the friggin carrier discount? this is nuts

  • If this had 3G support, it would be a killer device.

  • It's going to make me mad if they don't make a regular iPod with a big hard drive and similar (or better) widescreen video capabilities for a similar or better price.

  • its ridiculous, i bet it's around 800 with no contract..

  • doesn't at&t own t-mobile and is buying cingular?

  • gps and 3g and I'd pay. maybe next time...

  • What kills it is that they decided to go with cingular....

    agreed but remember, they have a existing contract with Cingular which may play into this. Also I have a feeling the other carriers have a lot to do with this, as Verizon directly competes with Apple with their half assed shitty iTunes ripoff as does Sprint or whatever they are called now.

  • Why wouldn't Apple sell an unlocked version directly after their exclusivity agreement with Cingular is up? There are people out there that would pay an extra $200-$300 to not be locked into a 2 year contract and/or want to use it with someone other than Cingular...

  • Cingular is going to make an absolute killing with this. People are going to be swarming to them in droves just to get ahold of their very own iPhone. I can hear the contracts breaking now...

    It's totally unlike Apple to talk about a project not ready to be released yet, though. I have to wait 5 months just to see one of these things? Ridiculous. That's almost... like what the rest of the industry does. Damn.

  • I'll wait for the iPhone nano.

  • Man, my credit card was all the way out of my pocket until I saw that price. I really don't even mind the 2 year contract, but I expect a little savings in exchange. Holy geez oh pete that's a lot for a phone.

    I'm a little worried this is the cube 2. Amazing technology, way too expensive. Of course everyone said that about the iPod too, so who knows.

  • Ah Steve you just punched me in the stomach with that price AFTER the 2 year contract.

  • I'm sorry, did I miss the part where Steve-o said this was a 'value' product? You're looking at the highest of the high-end here. Whoever guessed $599 was spot-on, but totally missed the 2-yr contract. This is one expensive SOB, but I can't wait to see one.

  • My understanding is that the 600 bones includes a 2-year contract. ALSO: there is no carrier subsidization going on here; no way to pay more and not get a contract, for instance.

  • There is no way I'm going to shell out $499 or $599 to be stuck into a 2 year contract with a Cellular service provider.

  • T-mobile is not owned by AT&T(SBC). Soon Cingular will be call AT&T wireless, reincarnating a name that everyone associated with quality *cough*. IIRC, all phones sold in Europe (Japan too?) must be unlocked. So maybe you can import once they come out over there. Anyways, get ready for the GPS-ified, Wi-maxed, and 3Ged 30GB super iPhone next year. Price is slightly appalling, but you are getting a lot. I think people will pay the premium.

  • High-end iPod today = $350. High-end smartphone phone today with a 2yr contract = $200. That's $550 total. This product gives you both, plus a lot more. So I don't think $500 (or even $600) is expensive at all if you are someone who wants this kind of functionality in one device. If not, just buy a Shuffle and get yourself a freebie phone from your carrier, and just keep quiet.

  • Image of huginn huginn at 02:14 PM on 01/09/07 *

    your better off getting a iPaq or a treo.

    Until I get a keyboard+Trackball and about 30 GB worth of space at half the price with internet included (think 5 years) I'm not buying the overhyper

  • Steve forgot to put in there: "If you'd backdated your Apple stocks, you could afford this phone!"

  • bah...except you're missing the 60GB hard drive of the $350 GB hard drive...video is what makes that widescreen so useful, but you only get 8GB of space to store your videos. That's a problem, if you ask me.

  • sorry...that should have read "you're missing the 60GB hard drive of the $350 high-end ipod"

  • I'm an iPod hater, but this thing had me going strong until he announced the price (of course I'd get the 8gig version, but $599 AFTER the 2-year contract), and especially after he announced Cingular exclusivity. Been there, done that, never going back. My deal with Sprint is far too good, and Cingular is far too bad in my personal experience.

    Also the capacity for that price is very meh. I recognize all the benefits of flash over HDD, but no way I'm going to spend that much, get that awesome a screen, and get only 8GB and no expansion slots.

    I love the overall concept, but I hate how hard he drove home the patents issue, because usually after Apple announces a new device like this I get excited about all the companies I prefer (iRiver, Creative, etc.) using the latest iPod as thing to beat. This time around those patents might keep us from seeing other companies actually make better versions of this. Hopefully I'm wrong, though, because I'd love to see one of the big boys in wireless technology run with some of these ideas.

  • bandit,

    what more does this have to offer than a high-end smartphone? other than its a little prettier?

  • Uhh. I just don't see the smartphone features Jobs is mentioning (widgetizing is for start-ups and old services). Also any phone at over $300 w\contract is just not worth it. And about that damn Wi-Fi, where is the VOIP offering!!!!! As we know we will NEVER see skype and others take a hit with this, Apple restriction ofcourse.

    CyKiller

  • Boooooooo hish!

    Cingular better make sure existing customers have an easy upgrade path. Or else.

    The phone is too pricy, IMHO.

  • Boy am I glad I didn't by a new ipod this year.

    So, you HAVE to get a 2-year contract with cingular when you buy the phone? What if you are already cingular member?

  • What seems strange to me is that there are two very divided camps here: those who can't wait to buy one, and those who say it's way too expensive.

    Smartphones are expensive, duh.

    My question is this:
    If you don't need a smartphone, can't afford one, or you're just not in the market for one then why bother dropping your two cents about the pricing?

  • OK, I work at an arms length with these sort of deals with Cingular. Keep in mind that the prices being revealed are from Apple, as well as the fact that they are going to use Cingular exclusively as a carrier. Cingular has not made any announcements. So, you can bet that anyone out there with existing Cingular service will pay $599 or whatever the final price is when released in June. (They always seem to fluctuate) However, when Cingular starts marketing this device, we will subsidize Apple's cost with some sort of $200 rebate so that Cingular can lock in new subscribers.

    In short, the price announced by apple is the price you pay for the phone. When you sign up for a new contract with cingular, you will most likely get a rebate.

    Also, don't hold your breath for 3G on the first generation.

  • Let me jump in w/the standard credibility note: I do not own apple products but I have recommended them to my brother. I was a dell dj guy until it finally crapped out on me after four years. That's part of the reason why I didn't want to go w/an ipod: too many times i gave rides to friends w/crapped out ipods to the apple store. I am a zune guy now, and I *was* very satisfied until I saw this new machine.

    However, I can afford it. It'll be tough for it to catch on as hard core as the ipod did, due to that crazy price point. How many people own smartphones? How many people own ipods? I guess the market for this proudct lies somewhere in the middle. The only true drawback for me (price is not a factor; get a job) is the puny 8 gb. That's what'll make it a "meh" product for me.

    When's the widescreen ipod coming out?

  • TurboFoot I agree, no external memory whatsoever is just pointless. I mean give me an iPod (love to hate) and smartphone (hate to love) any day over this. Paying for it all to be in one area, and easily used is not worth it. Cingular deal isn't all that bad taken that Sprint is falling and T-mobile is starting MVNO moves with it's servicing.

    But overall Apple put its foot in this one, and has fulfilled my innovation-less talk about Apple's mobile area, and I mean the iPods and iPhone. It took too long, cost too much, limited beyond visible notion, but, and I mean this - Apple just made Cingular that much better despite all of this. LG's Chocolate is a heavy hitter but watch how this (just from hype) wipes away all mobile phone purchasing records.

    Your also going to hear a lot of MYLO (yeah Sony) like customers jumping on the bandwagon just for it being the new iPod\phone, but overall that heavy commodity statement, iPod. That alone will have everyone wanting to byte the Apple.

  • OK, I work on these things at an arm's length with Cingular, but I am not a cingular employee, so hopefully I am somewhat non biased. Apple is announcing the price and who their carrier will be (Cingular). So for everyone out there with Cingular that just wants the phone, expect to pay the full price Steve puts on it. However, when Cingular starts marketing it, you can expect a nice little rebate for new contracts. (i.e. $200 rebate for 2yr contract) That being said, I think this device is quite pricey for a smart phone or an ipod Nano separately...but for the conveinance of only carrying one, you'll see this product take off. Remember that the Moto Razr was $500 just two years ago with Cingular exclusivity...and now it's the most popular phone in existance. Mix that with Apple's MP3 dominance, it's a no brainer.

    But I digress, I own a 60Gb Gen5 Ipod and the new iPhonePodMobile is too small of storage. I'll wait for a less pricey, less buggy, larger storage version.

  • "If you don't need a smartphone, can't afford one, or you're just not in the market for one then why bother dropping your two cents about the pricing?"

    good point. the product is great, its just not for me. its not for a lot of people. i cant imagine this doing near as well as the ipods with that price tag.

    that being said, its probably one of the best engineered consumer electronic to date.

    but overall, that was a kinda short macworld.

  • Cingular 8125 was $350 with a 2-year contract from Cingular 6 months ago. I'm sure you can get it for much cheaper once the iPhone launches.

    Obviously it's not quite as capable as the iPhone, but then again it's $250 less expensive. However, it can play music and video, do all that funky Office crap, and make phonecalls. Just like the iPhone, just with an uglier casing.

  • They should have changed the company to IO Apple. As in I OWE Apple. That iTV with a puny 40gb drive is looking like a deal.