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Iphone price

Yup. The same reason why Nintendo Wii's were going for so much when they retail for $249. Supply and demand.
 
Much more than supply and demand - no contract.

Hypothetically one might want an iPhone only for music, GPS, wi-fi, etc. In that case the $400 AT&T subsidy isn't worth the $2,000 in unused cell-phone charges. $800 reflects the utility of the phone for the buyers, either because of availability (the Wii parallel) or simply because they don't want a contract.
 
Originally posted by: musicetime101
$199 and $800 are big difference.
Click to expand...

Nonsense. They are totally different products. For example, I would sell everything I own if someone offered to sell me a new Ferrari 430 Spider for $30,000. If they offered me the right to have a Ferrari 430 Spider AND PAY THE NORMAL PAYMENTS over 60 months for $30,000 I would laugh at the offer.

An iPhone with a 2-year contract and an iPhone with no obligations are very different. Anyone paying $800 for an iPhone that enters them into a 2-year contract is very poorly informed, but I suspect they don't exist.
 
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