AT&T looking to sell an 8GB iPhone 3GS?
Posted Nov 5th 2009 9:00PM by Josh Carr
Boy Genius Report is claiming that two separate sources have told them that AT&T is looking to sell an 8GB iPhone 3GS for $99 US before Christmas. While this news wouldn't come as a shock, it would certainly take more than AT&T to make it happen. As most of you know, Apple doesn't make an 8GB iPhone 3GS and it would probably mean the discontinuation of the iPhone 3G in general. If you think back to the time of the first generation iPhone (it was so long ago now), you'll probably remember that Apple quickly discontinued the 4GB iPhone after realizing that most people were opting for the larger capacity. Not too long after that, Apple introduced the 16GB version and discounted the price of the 8GB. Now that the iPhones themselves are subsidized by the wireless carrier, the game is a little different.
I doubt that we'll see AT&T discount the 16GB iPhone 3GS to $99 US, even though it would be a huge strategic move before the holiday season, but I have a hard time believing that Apple would be willing to manufacture an 8GB iPhone 3GS. It's one thing for them to continue with the 8GB iPhone 3G because they already have the manufacturing in place, but for Apple to start manufacturing another iPhone 3GS at a capacity less than its current models -- that just seems out of place.
I've found it disappointing that the iPhone (a professional device) has had a smaller capacity than that of its sister, the iPod touch. Currently, the iPod touch is shipping at a top capacity of 64GB and the iPhone only 32GB. Here's the point: if AT&T and Apple could work together and release the 16GB iPhone 3GS at $99 then that could potentially allow for the 32GB at $199 and a 64GB model at $299. That would be a killer plan for the two companies just before the holiday season.
While this may be far-fetched, I don't think it's impossible: Apple did release a bump in storage to the 16GB iPhone in early 2008 without any warning. Here's hoping that they do that again.
Reader Comments (Page 1 of 2)
lanejasper69 said 1:53PM on 11-06-2009
How about we roll out tethering and fix the crappy 3G and dropped calls on the previous models first eh Death Star... huh? whatdya think?
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Joshua Meadows said 9:28PM on 11-05-2009
I thought the only reason that the iPod Touch's max capacity is always twice the max capacity of the iPhone is in order to make it more enticing for purchase. If it's the same capacity as the iPhone then it's simply an iPhone with no phone or camera component. It's already so close to that to begin with that I think it cannibalizes iPhone sales enough already.
I don't think the reason that they're not similar capacities is a manufacturing issue, but more of a strategic one.
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Brian said 1:22AM on 11-06-2009
That is the exact reason the iPod Touch has twice the capacity of the iPhone. It doesn't have a more dense flash memory chip; it simply has TWO of the chips in the iPhone.
Jordan said 2:08PM on 11-06-2009
Well Samsung does make 64GB flash memory chips...but Apple probably doesn't use them yet since it would cut into their profit margins.
Jordan said 9:33PM on 11-05-2009
I don't really think it would be all that hard for them to stop manufacturing the 8GB 3G and turn the lines into manufacturing an 8GB 3GS. We're not talking about drastic changes here...
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mikehild said 9:45PM on 11-05-2009
Also keep in mind that another good reason for the iPhone to have less space than an iPod Touch could be that the larger capacity chips are physically larger too, like perhaps the 64GB Touches actually contain 2 32GB chips and they need that space to hold the phone-related components instead.
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milkmage said 11:03AM on 11-06-2009
totally true (except for the part where the touch is smaller in every dimension)
touch
Height: 4.3 inches (110 mm)
Width: 2.4 inches (61.8 mm)
Depth: 0.33 inch (8.5 mm)
phone
Height: 4.5 inches (115.5 mm)
Width: 2.4 inches (62.1 mm)
Depth: 0.48 inch (12.3 mm)
Jess said 9:48PM on 11-05-2009
Actually, there's a perfectly reasonable technical reason for the iPhone's capacity being always half the iPod's. Space for electronics is really limited in these devices (just have a look to iFixIt's teardowns): the iPod has barely enough space to contain two flash chips, the iPhone can only contain one because it embeds additional hardware (e.g. the broadband processor, the SIM socket).
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Eric said 3:43AM on 11-06-2009
nah, not true. the ipod touch is noticeably thinner than the iphone. if space were really the issue, apple could have made the ipod touch slightly thicker with no real complaints, since the iphone is already thicker.
this is really just a strategical marketing move. and a smart one at that. apple gives the right people the right reasons to purchase each product. those who want an iphone aren't going to hold back because of capacity, and those who are considering an ipod touch can use the "more capacity than the iphone" argument to justify their purchase. apple knows what they're doing.
mikehild said 9:39AM on 11-06-2009
@Eric - I think you're getting the two confused. The iPod Touch being thinner than the iPhone is a argument AGAINST adding more GB to the iPhone, not for it like you suggest. If the iPhone is already thicker than the iPod Touch Apple wouldn't want to make it even thicker so they could squeeze an extra chip in there.
Dan said 10:19PM on 11-05-2009
Strategical?
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Josh Carr said 10:22PM on 11-05-2009
Nope, look it up. It's in the dictionary as an adjective thank you very much.
Can obviously be substituted for "strategic."
Don't knock it 'til you try it. ;)
Tom Smale said 10:07PM on 11-05-2009
The use of "strategical" was a joke, right? Right?
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Ken Allen said 10:38PM on 11-05-2009
Sell one without a god damn plan with even 512mb and you'll sell more than the other versions. No doubt.
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Jordan said 11:16PM on 11-05-2009
what?
Josh Carr said 11:19PM on 11-05-2009
@Jordan
I think Ken has a point, even if it's a little extreme. If they weren't selling this with 2 year contracts, they would possibly sell more of them. However, Apple did that with the original iPhone... you could buy it outright at the Apple store and never take it to AT&T... unlock it and you were free to go. However, that iPhone cost me 500 bucks. My new one, $300. Not really enough of a price difference to justify the 2 year contract in my opinion. If Apple sold them independent of a carrier again, I think there would be plenty of people who would skip out on the AT&T deal and pay the 500-600 for the phone.
Mentok said 10:56PM on 11-05-2009
The other reason for this is that smartphone users are raping ATT's network for what their dumb execs think is 'downloading' and 'storage'. Buying Apps and downloading movies from iTunes.
They wrongly think that a device with smaller storage is a 'dumb terminal' and that net usage will go down if there's 'nothing to store'.
Nevermind about tethering, or caching Youtube or Google Video.
So yes, their move is 'strategic'.. it's just not 'intelligent'.
-Drunken Economist
http://mindtaker.blogspot.com/
http://twitter.com/drunk_economist
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phutterman said 11:47PM on 11-05-2009
I was also under the impression the Touch could fit two of the same type of flash chips whereas the iPhone can only fit one, so the Touch can always fit twice the storage of the largest iPhone (and IIRC, the teardowns confirm this).
I can't (at the moment) imagine Apple increasing the Touch about 128gb (maybe next year, alongside a 64gb iPhone?) given that the 160gb iPod classic doesn't even still exist. That's a whole lot of storage for most people's media, given how relatively little space music takes up (and what's the point of higher bitrates if you're bundling crap headphones...) and that these devices don't have quite the screen size to make watching hours and hours and hours of film on.
I suppose an 8GB 3GS would probably sell, but it doesn't seem like Apple's style to make one this late in the game. If they can double the maximum capacity again and sell a 16GB for even $149 subsidized they'd do fine, I suspect.
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phutterman said 11:49PM on 11-05-2009
Sorry, typo: that should read "…can't imagine Apple increasing the touch BEYOND 128gb…"
skoochy said 12:41AM on 11-06-2009
Hmm, I'm not sure what world you live in. But in my world the 160GB iPod Classic still exists. You can even buy them at the Apple Store.