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Technology Stocks : Apple Inc.

AAPL 271.01

-0.3%

Jan 2 9:30 AM EST

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To: pyslent who wrote (75695)	6/13/2008 8:14:44 PM
From: inaflash	of 213177

AT&T didn't have any incentive whatsoever to push the old iPhone over other smartphones-- They sold it with a data plan that was $20 cheaper than the going rate at the time, plus they had to send some money to Apple. If they could get a given customer to buy another smartphone and sign up for a data plan, they'd make at least $30 per month more on that customer. Good point. EDGE iPhone was the bait to get folks into ATT store to be switched to another phone, but the grab and run folks who didn't hang around the store long never had a chance to be swindled. At least now, with a common service contract, and probably comparable phone sales profit (loss - similar subsidization), there is less incentive to steer folks away from iPhones. In any case, ATT took full advantage of using iPhones to bring in people to their stores and I'm sure some of the non-buyers wound up picking up something else that helped out ATT.

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