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AT&T cuts price of iPhone 3Gs: Motives aplenty

If you think you can live with an iPhone 3GS for two years---along with AT&T---this deal could be for you. Just know the motives behind the iPhone 3GS price cut before buying in.
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Written by Larry Dignan, Contributing Editor on

AT&T said that it will cut the price of the iPhone 3GS to $49 beginning Friday.

Specifically, AT&T will offer the iPhone 3GS to new and upgrade-eligible customers. The iPhone 3GS has remained fairly popular, but there are other motives behind the price cut.

  • The iPhone 3GS is likely to be sunsetted when a new version comes out.
  • AT&T is likely to lose exclusivity on the iPhone and wants to lock more customers into two-year contracts.
  • There's an early termination fee of $325 after 30 days in case you decide you have to have the latest iPhone.

Bottom line: If you think you can live with an iPhone 3GS for two years---along with AT&T---this deal could be for you. Just know the motives behind the iPhone 3GS price cut before buying in.

Related: CES: AT&T steps on the 4G gas, lines up Android phones, tablets

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