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iPhone Cancellation Fee: $175

Fri, Jun 22, 2007 | by Stéphane Dion

iPhone News

Iphone_cancellation_fee

According to the Boston Globe, even though AT&T does not subsidize the iPhone when it sells you the phone at $499 or $599, a cancellation fee will have to be paid if you choose to break the two year contract.

AT&T will charge a $175 termination fee for iPhone users who want to opt-out the mandatory contract.

I don’t think the cancellation fee is a problem if you really want to get out of the contract. Considering an $80 minimum per month for voice and data plans, the amount can even considered cheap.

The problem I see is the AT&T lock on the iPhone. If the company charge you a cancellation fee but does not unlock the iPhone, I think it would not be fair to consumers. And if the iPhone stays locked, are we going to be able to use the music, video and internet via Wi-Fi features just like if we were still an AT&T customer?

Let’s see in a week if this is the case or not.

1 Comments For This Post

  1. AnyiPhone Says:

    I think the cancellation fee will be interesting. Without any subsidy, there is no consideration for the contract. I think if someone were to actually challenge AT&T on the issue in court, they might lose. That being said, it is not likely to happen over $175.00 and like you said, with an $80 monthly bill, $175.00 is not much.