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- iPhone: it isn't the price I'm worried about
Filed under: Analysis / Opinion, iPhone
John Gruber has penned a rebuttal to Steve Ballmer's recent statement that the iPhone, an product that isn't even shipping yet, is priced too high to gain significant market share. I find myself agreeing with John's argument that the iPhone isn't priced too high. I'd plunk down $500 tomorrow for a device like the iPhone (and recall I haven't, much like most people, even touched one of these beasties yet), however, I'm not as convinced by the argument that Apple will sell boatloads of these things because they are priced like early iPods.
The rub with the iPhone isn't the price of the device itself, but rather the unknown price of the phone plan you'll be required to buy along with it. When I buy an iPod, it is mine free and clear. I don't need to pay a monthly service charge (which is signed in blood) to ensure that the darned thing will continue to function. That won't be the case with the iPhone. I'm almost certain that you will not be able to buy an 'unlocked' iPhone (that is an iPhone that you can use on any network, without having to buy a plan) for at least a year after its introduction.
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