Apple has launched the new iPhone 3GS (S for speed) and users in the United States maybe thinking like I am, “Should I upgrade or not?” If you are one of the 6 million owners of 1st generation iPhone, the new iPhone is a big enough improvement that you’ll probably want to get one as soon as you become qualified for the subsidized price. If you are one of the 15 million who bought an iPhone 3G in 2008, the decision process is a little more complicated. The new iPhone is better than the one you own — faster, longer battery life, built-in compass, better camera that can shoot video — is it $400 better? Here’s four very important points for you to consider!!! Click and read on…

iPhone 3GS

  • How’s your reception so far, has it been sketchy at best?
  • Have you been able to get features that take advantage of the iPhone? Has your carrier delay the roll out of features that the rest of the world is getting because they have other providers. Do they do things like block the Sling player app from streaming over 3G on just the iPhone, while it works fine on other phones?
  • Now for the biggest considerations: Apple is at some point going to move the iPhone beyond the AT&T network. That move could happen as soon as next year. If you buy this iPhone 3G S now, you’ll be locked in for two more years (or have to pay the large cancellation fee). AT&T is trying to negotiate with Apple to extend its exclusive deal through 2011. If this happens moving to the iPhone 3G S would make some sense. But since that has not happened yet, AT&T for sure is playing in risky waters. If I learned tomorrow that AT&T and Apple were ending their exclusive deal in 2010, you probably should not be upgrading, and instead wait for one more year.
  • Another issue seems to be that AT&T isn’t offering the same, cheap iPhone 3GS pricing to current iPhone 3G owners as it’s offering to new iPhone customers. AT&T seems to be charging $399 (16 GB) for current iPhone 3G owners to upgrade to the iPhone 3G S, whereas new buyers (or other AT&T subscribers eligible for full subsidy) could get the phones for $199 depending on the storage capacity. So is the new features worth $400 to you? Upgrading may cost you quite a bit of cash. Food for thought !!!

Need to check when you can upgrade? Well here’s a site to help you out. You can check your eligibility at Apple’s website: http://buyiphone.apple.com. You’ll be asked for your phone number, zip code, e-mail address and the last four digits of your social security number. If you are not yet eligible, the program will tell you the date when you are.

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