AT&T: No More Revenue-Sharing Model for Apple

The new agreement between Apple and AT&T eliminates the revenue-sharing model under which AT&T shared a portion of monthly service revenue with Apple. Under the revised agreement, there is no revenue sharing and both iPhone 3G models will be offered at lower prices to accelerate subscriber volumes. The phones will be offered with a two-year contract and attractive data plans that are similar to those offered for other smartphones and PDAs.



With a two-year contract, the price of an 8GB iPhone 3G will be $199; the 16GB model will be priced at $299. Unlimited iPhone 3G data plans for consumers will be available for $30 a month, in addition to voice plans starting at $39.99 a month. Unlimited 3G data plans for business users will be available for $45 a month, in addition to a voice plan.