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16GB iPhone upgrade for existing customers a convoluted mess - for now

One of the Boy Geinus Report's most credible sources (and they have quite a few) has information that Apple and AT&T will not force purchasers of the new 16GB iPhone to sign a new contract.The policy is not so simple, though.
Written by Russell Shaw, Contributor

One of the Boy Geinus Report's most credible sources (and they have quite a few) has information that Apple and AT&T will not force purchasers of the new 16GB iPhone to sign a new contract.

The policy is not so simple, though. Until a fix is perfected for a glitch that allows 16GB iPhones to be activated only with a new contract, the policy will be to ask that customer to sign a new contract but to have that new contract voided within 48 hours.

At that time, a type of manual override will take place, effectively resetting the original agreement date. BGR has obtained a suggested script AT&T reps have been advised to recite to customers scratching their heads over what I have just described.

The script says in part:

Mr/Mrs. Customer, I want to make you aware of an issue you will notice when tethering your new iPhone. The tethering process requires you to accept a new two-year agreement; however, I want to ensure you that AT&T is aware of this and that your agreement will not be extended. AT&T will reset your agreement date back to the date of your original iPhone activation or upgrade. This will be done within 48 hours of you completing the tethering process on your new iPhone; there is absolutely no action required by you to correct this. We apologize for any inconvenience."

Question: why wasn't this glitch worked out in advance? It can only cause confusion.

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