The tawdry truth about the iPhone, WiFi, and EDGE
By Triston McIntyre
Though Apple has released the iPhone’s debut date, one important question is still unanswered; what will it really cost? One anonymous AT&T store manager said users will get their WiFi…when they sign a contract locking them into a data plan and EDGE. Kiss your dreams of WiFi reliance goodbye.
This manager revealed that distribution materials that are now reaching stores clearly state users must purchase data plans to buy iPhones. In fact, he said the iPhone will come with a unique contract that doesn’t exist for any other phone AT&T sells…which could be good or very, very bad.
Though Steve Jobs clearly stated the the connectivity dependence of the iPhone will focus on WiFi and Blu-tooth, visual voicemail, Google Maps, or any of the other main features will be available only through a contractual AT&T data plan.
Though this might not sound bad, prices on iPhone plans have yet to be released; I, for one, am constantly immersed in the world of WiFi, nearly everywhere I go…a data plan (for the actual data transfer capabilities) would be a complete waste of money. I don’t want to be locked into a 2 year data package when I use WiFi constantly…but apparently it isn’t an option.
This is how AT&T will make back all the money they aren’t making on selling the iPhone itself. Though WiFi will be complimentary, users will be forced to buy a plan they don’t necessarily need to use all the features of the iPhone. Get out your checkbooks, because the iPhone’s $599 pricetag is just a scratch on the surface of how much you will be paying.
Expect a hybrid phone service/data plan at a moderate rate that cannot be discontinued without a serious fee…by locking the data plan and phone service plan, AT&T will ensure users cannot drop the EDGE network and attempt to use WiFi cingularly.
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June 13th, 2007
This is an interesting development. I have been seriously thinking about getting an iPhone, but have wavered due to a few other limitations (the lack of any true third party apps are essentially killing that). This little tid bit (as in I can possibly add several hundred dollars to my overall purchase) effectively makes the iPhone a very high priced toy, rather than the truly useful tool I was expecting. The iPhone is not going to fail because of the keyboard, it is going to fail because it is too expensive for it’s target population (which, frankly, I’m not sure who that it is). It can’t be used for business people (no compatability for mobile applications), or medical people (no way to integrate with medical networks) or other mobile professionals (like engineering peopel as there is no way to develop third party applications). So, who is going to spend $600+ for a supped up iPod?
June 14th, 2007
I think we should wait and see what the plans are like before we jump to any conslusions - I’m sure Apple will come up with something fair.
June 14th, 2007
“as there is no way to develop third party applications”
This means you don’t know much about Web 2.0 apps. Check for example http://www.meebo.com which, in my opinion, is the best IM application out there. Even though it is running out of a browser you have the look and feel of a standard windows application.
I think web 2.0 provides a very good foundation to develope 3rd party applications. Read this for more information: http://www.webware.com/8301-1_109-9728298-2.html?part=rss&tag=feed&subj=Webware
June 14th, 2007
Here’s an even better example of a web 2.0 app: http://floorplanner.com/ that truly demonstrate the power of web 2.0 software development.
June 14th, 2007
A good web app is still a far cry from a standalone application. None of those fancy apps will have direct access to the core OS X system — so kiss off any chance of using your expensive gadget for anything that (for example) requires access to the Unix side of OS X.
June 14th, 2007
I’m thinking 3rd party iPhone development will look an awful lot like Dashboard development, with locally-cached Widgets that can (but don’t have to) access teh intartron to be useful. True it runs thru WebKit and not on the bare metal, but there’s a pretty large class of apps that can be made out of that.. Also, I don’t think there’s been any public disclosure of what Apple will provide developers in terms of iPhone functionality exposed to Javascript (as a framework or object set or such).. Having a rich enough framework could very well obviate the entire need for bare-metal compilation. Who knows, maybe even SSH could be ported to Javascript?
June 14th, 2007
The popularity of this device is enabling AT&T to truly treat their customers with derision!
My biggest gripe is that IM is being blocked to force customers to use the inferior SMS Text Messaging. This means I won’t be able to chat with my existing Apple iChat/AOLIM community. So I guess I’ll be needing that data plan after all.
June 14th, 2007
Disappointing news, even though I am *rarely* in a wifi zone.
But I do wonder whether the data plan is required because Apple needs to be able to push much larger firmware updates, or perhaps because of the new voicemail interface that no other phone has?
June 14th, 2007
Oh, and an interesting test for the iPhone’s javascript:
http://www.masswerk.at/jsuix/
June 14th, 2007
The data plan is standard for AT&T. Any smartphone/PDA is going to force you to buy a dataplan along with the voice plan.
The key questions:
1. If WIFI is disabled w/o having a data plan, then 3rd party market for iphones will not exist; i.e. you can’t unlock it and use it in europe/canada/ or on T-mobile. That is big.
2. Do you have to buy a 2 year data plan? My current dataplan with AT&T is $25 a month; however it is month-to-month — i.e. I can turn it off. Can I buy an iphone with a $40 voice plan and $20 dataplanl, unlock the wifi, then turn off the dataplan two months into the contract./
3. Current dataplans from AT&T are around $40 a month for bbery, and 35 a month for “PDA”, or $20 a month for smartphone. I suspect AT&T will allow you to sign up for the $20 a month unlimted smartphone plan with the iphone– as opposed to buying a treo where they make you buy a higher priced PDA plan — that is the savings they are talking about.
4. Given the iphone’s reliance on web apps, getting a lower pricesd $9 a month EDGE data plan (5 megabytes) is not an option. I would like a nokia phoen with wifi (e61); I could get the lower prices plan and just use the EDGE for limited mobile things and wifi for everything else; again not an option for the iphone.
5. I suspect the iphone is the next cube — great product, just one or two price points too high for the target market, and the technology is not quite there (no 3g). Why buy an iphone when chances are you can get a widescreeen ipod with wifi in six months?
June 14th, 2007
Crooks are everywhere. At&T (IcKy)!!!
June 14th, 2007
In reply to beamedupandbeyond, yes you will be able to use IM because you can use web 2.0 apps (take a look at meebo.com to see the best example imo).
I’m hoping that the data plan is something along the lines of $15 to $20 a month or less with unlimited data and texting. Anything more than that (i.e. $30, $40, or *gasp* even more for EDGE i.e. 56k…) and it’s a deal breaker.
The most ridiculous thing about the iPhone so far is the lack of flash support. I’m sure Adobe is working day and night to rectify this situation, but how dare Apple come out with commercials and ads saying it will be the full version of Safari when in fact you won’t be able to use the one thing that almost EVERY site implements in one way or another: Flash.
p.s. and yet I am still considering standing in line outside of my local Cingular store on June 29th patiently waiting until 6pm… Oh apple, you have truly cast a spell on me. That or my 2 year contract with T-Mobile is up and it’s just fate that it coincides with the iPhone release.
June 14th, 2007
You say “This is how AT&T will make back all the money they aren’t making on selling the iPhone itself.” I’m pretty sure that by and large, the companies are not making money on the phones themselves anyway. They depend upon service fees (airtime, data plans, etc…) to make the money.
June 14th, 2007
I doubt the data plan is required for firmware updates; they, like music and movies, will likely be pushed when the phone is docked to the computer.
June 14th, 2007
[…] MAC.BLORGE.com Blog Archive The tawdry truth about the iPhone, WiFi, and EDGE No iPhone without EDGE subscription. Here are AT&T’s rates: Data Connect Plans - AT&T, formerly Cingular Wireless […]
June 14th, 2007
Everyone…Being a 3G user and addicted to it’s always on nature (not having to configure WiFi where I go) and that I have chosen to pay for 3G, I find it appalling that Apple and T would release such a device on a EDGE network and require me to sign a data plan contract on a substandard network (in terms of speed). I’ve looked at WCDMA and CDMA aircards / Phones, and then using EDGE is like going back to dial up…Horrible experience…Any of you want to forceably go back to dial up for your access needs? I suspect after a few days of EDGE, the shine will wear off.
The differences between 3G and EDGE are very noticeable on handsets…People who use them know; especially us.
No 3G Apple…thanks, but I will stick to Windows Mobile. Not as fancy, but a hell of a lot more functional and affordable.
June 14th, 2007
Recent AT&T employee training material as well as statements by Sales & Marketing President Paul Roth seem to confirm that there will be special data and possibly phone plans (the unique voicemail system would need such) for the iPhone — referenced in the training material as simply “iPhone” without the definite article — and that not only will users pay full price for the device, they will have to renew for two years just to activate the device on the network. Details on the plans are supposed to be made available as the launch date gets closer.
From the training material: “Activation of this phone will require a two-year service contract, or contract extension for existing customers”. Also: “There are no discounts or upgrade offers available with iPhone device”.
Also, the buyers’ remorse return period for the iPhone will only be fourteen days — still thirty for the service itself though — and a 10% restocking fee will be charged if the packaging has been opened. It is not known if that’s AT&T’s policy, or Apple’s.
It will be sold through AT&T stores, though. However, it will not be available through AT&T’s website nor through customer care at launch, it is unknown if it will ever be. Warranty issues will be handled by Apple entirely and AT&T’s device insurance group, Asurion, will NOT cover the iPhone as it’s considered a PDA rather than a phone.
June 14th, 2007
It will be a very expensive fashion accessory , everything the iPHONE can do has already been done, in cheaper, less locked, and more compatible (with 3rd party apps etc) smartphones, and EDGE ..
is REALLY REALLY SLOW! EVDO is OK, but EDGE!!
Steve Jobs was DEFINATELY not using the EDGE network on the keynote demo, and logging into meebo etc on a phone with a small screen to send IM’s.. thats just a stupid way of doing things, yes it’s a work around , but WHY? I suspect this phone with all contarcts , fees etc will costs around $7,000 and its probably very delicate and apple -in my experience, doesn’t honor waranty’s the comeup with excuses ( a littlke tiny sscartch etc) of why it’s not cobered DOH!! another new iphone, will i need to sighn another 2 year contract now.. i see this being a big headache unless you are very wealthy and just don’t care (pr want to make that image)
June 14th, 2007
Well they will also probably push their ATT WiFi with it. Right now if you’re an ATT DSL customer you can have it added for a buck or two, so I bet having special EDGE plan will also mean eligibility for ATT WiFi.
Borders and other stores offer access points.
June 14th, 2007
to charlie, I would just like to note I recently purchased a tmobile dash, which is wifi and blutooth 2.0 equipped, and I have no need to use the data plan ever..nor did they require it. With windows mobile 6 I can do email, web browsing, etc. directly via wifi
June 14th, 2007
Floorplanner is Flash, not web 2.0.
June 14th, 2007
Oy! I don’t understand most of the above comments:
No IM - why do you want to instant messages somebody from a PHONE? Either call them or text them - i don’t think that a *possible* lack of IM is a big deal.
“maybe even SSH…” - again, its a PHONE, not a laptop or a tabletPC with a tiny screen, its primarily a phone/ipod combo.
2 year contract - In the US, getting locked into a 1 or 2 year contract is pretty standard for voice plans
‘Data plan = rip-off’ stuff - having multiple plans for the same device is definitely not simple or elegant, so I doubt Apple will have multiple plans - i think it will be a single voice/data/text/everything else plan. Rip-off? maybe, maybe not, but certainly simpler and more useful than the crazy mess of plans that phone companies have. (Clearly, the drawback is that one may end up paying for unused services)
June 14th, 2007
Apple fans could go on hunger strike in order to make up for the $600… but they will not overlook the limitations. What made the irock fail, will make the iphone fail ‘.’
June 14th, 2007
What a load of crap.
Also, “Web 2.0″ = no VNC, no VLC, no open-source software of any kind, no games worth playing (i.e. that can make use of the iPhone’s graphics hardware), no Skype (bet that’s a big coincidence, huh?), no Terminal, no ssh, no TextEdit (I mean, seriously. WTF?), no anything actually *useful*. Even IM clients aren’t going to look right on that screen.
June 14th, 2007
Time to buy a real phone by the looks of it.
The iPhone would be a nice phone but there are too many unnecessary client-side restrictions. Still no mention of an unlocked phone, it is far too integrated with ATNT
People want a phone, not some portable AT&T subsidised money-extraction device that only extracts money from you. Apple screwed up the ROKR, and now they will screw up the iPhone.
I don’t wait for phones to ‘come out on ‘ I buy them sim free, and use a pre-paid sim. When the provider gives me shit I buy another pre-paid sim. Most of the people who buy an iPhone know that this is just a scam, there is no practical reason to disable wifi when you have no data plan. This is just a very low and pathetic way of making AT&T more money.
Fyi my Nokia E61 can use wifi WHEN THERE IS NO SIM CARD IN IT.
I hate the way Apple finally have a half decent phone with their own OS and they decide to screw it up COMPLETELY with client-side restrictions. I say they can take their iPhone and shove it up their arse
June 14th, 2007
@JayWilmont
I use PuTTY on my E61 regularly. I also used it on my nokia 9500. You guys need to stop making excuses for apple as they are about to release a crippled phone that has been destroyed by client-side restrictions.
What is their excuse for not having an open developers platform/sdk?
.. “But you can write Web apps for it using Web 2.0 and AJAX”
what a load of bullshit. Web apps for the most part don’t run on the phone itself. Web apps are a waste of bandwidth, web apps are slow, web apps have limited functionality and when I’m paying by the kilobyte the last thing I am going to be using is a fucking Web App. at the very least they should support J2ME because this is nothing short of a fucking joke.
June 14th, 2007
maybe there are some serious bugs in the 1st gen iphone and they secretly dont want all that many people to buy them. so they’ll just price out the tech kids and let people who waste tons of money on gadgets get them
June 14th, 2007
I’m a little puzzled, since I know this thing is a phone.
A smart phone is used everywhere. Your expectation is that whether you’re in the country or in the city, up in the hills or down in the valleys, some kind of Internet access is going to be available to you. Otherwise, you’d might as well bought a plain phone.
Sure, you can sometimes rely on the kindness of strangers in the shape of free wifi, or even Panera Bread, a chain that provides okay bread.
But a phone really should provide service anywhere or it could be pretty frustrating. So I can understand why Apple and AT&T would really prefer handing it over only with a data plan.
Otherwise, you’ll blame them if you can’t access the web or your email at a crucial point, and that’s no good.
D
June 14th, 2007
[…] That’s according to Triston McIntyre of Mac.Blorge.Com. […]
June 14th, 2007
So let me understand. I have to pay for a data plan, likely priced high for unlimited service, in order to get access to my own or freely available Wifi? That means I pay them for the privilege of NOT using their network. I think not.
June 14th, 2007
[…] No WiFi Without Data Contract? The tawdry truth about the iPhone, WiFi, and EDGE Though Apple has released the iPhone’s debut date, one important question is still unanswered; […]
June 14th, 2007
So, it’s all becoming clear. AT&T is trying to screw its customer’s again. Not like that is anything NEW for them. And Apple is helping them. People always yell at Microsoft for this exact kind of stuff, yet no one dares question Apple’s motives. Anyone who buys this phone should highly consider suicide, since they aren’t using their lives for anything worth while in the first place.
June 14th, 2007
[…] first warning sign is this blog post speculating that every purchase of an iPhone will required data plan from Cingular if you’re going to do anything Internet-related on the iPhone. This would be above and beyond […]
June 15th, 2007
you all sound like little girls going on and on and on about some guy who took you on a date and you are driving everyone you know nuts because you won’t shut up. when the fact of the matter is you just have to wait and see.
June 15th, 2007
[…] 0. http://mac.blorge.com/2007/06/13/the-tawdry-truth-about-the-iphone-wifi-and-edge/ 1. […]
June 15th, 2007
[…] cellular service, but will also require you to buy a data plan. The source of this information is Tristan over at mac.blorge.com, who says that this special contract has never existed for any other […]
June 15th, 2007
>joeYYY:
>“as there is no way to develop third party applications”
>This means you don’t know much about Web 2.0 apps.
Yeah, toughguy? So what method do you use in “web 2.0″ to utilize the multitouch interface for your app?
/thought so.
June 24th, 2007
wow that is fucked up. when they could make something much better they don’t just because they want to ripoff people somehow locking up people to this or that it has WiFi oo sorry but it doesn’t you have to pay for it to buy a data plan then yes it does wtf why there is an Wifi anyway if you can’t use it unless you pay for data plan. nobody knows these facts for sure but if it is that way its pretty dumb to get that device. there is no point of having this thing if you can’t use it unless you pay for everything you want to use besides the price of the device & phone bill you already pay more than you supposed to pay as they make bilions in profit charging everyone of us. think about it
July 2nd, 2007
Umm.. So I’m guessing that if you have a wireless router at home to surf the internet..
and you were in the backyard , wanted to check your email with the Iphone.. you couldn’t just link up to the router in your house as a means of wifi connection?? If that’s true.. then most people will be buying a 600 dollar paper weight!
August 13th, 2007
[…] You need to get a data plan. […]
June 9th, 2008
[…] USEFUL WEBSITES INTERESTING WEBSITES COLLECTIONNew things with PSP Firmware v2.0 | Sample the WebThe tawdry truth about the iPhone, WiFi, and EDGE - MAC.BLORGE.com Tags > No Tags < This product is also listed in Computing & Internet New Products […]