iPhone Owners Spend More for Service Costs Than Other Smartphone Owners

[Anthony Bouchard]

Are iPhone owners paying more than everyone else for service from their carriers? A new report from CIRP suggests that they do. Above is a table comparing a small amount of iPhone owners to the competition, including Windows Phone, Android, Blackberry, and others.

According to the report, via AllThingsD, 0% of iPhone owners included in the study pay under $25 per month for service, 6% of iPhone owners pay between $25 -50 per month for service, 36% of iPhone owners pay $51-100 per month for service, 49% of iPhone owners pay between $101-200 per month for service, and 10% of iPhone owners pay more than $200 per month for service.

Since carriers are required to pay higher subsidies for the iPhone than most other smartphones, carriers have to compensate by making customers pay more per month to have and use the iPhone's services. Otherwise, carriers would be making less money on the iPhone than they do with other smartphones.

With some Android phones being offered as pre-paid phones, notes Michael Levin, co-founder of CIRP, this could have some impact on the costs for Android being as low as they are. iPhone owners are usually hooked into data plans, which cost significantly more than pre-paid plans.

Are we paying too much for iPhone service? Or is the price just right for the premium smartphone? You decide.

Sources: CIRP via AllThingsD

[Hillefied]

I might be reading the chart wrong, but Windows OS is higher in some categories

[Junnito]

That's what I thought!!! I'm probably blind, lol

[mbeezy81]

^^^ Right, looks like Windows phones pay more then most.

[Awdad724]

This was the biggest waste of news I've seen on this sight. Pointless information that shows nothing.

[Feanor64]

lol looks like some kid just made a chart lol wtf 0 percent of windows owners have a bill more than 200 lol thats what im talking about

[BhadKarma]

This was the biggest waste of news I've seen on this sight. Pointless information that shows nothing.

Site* sorry it's all pointless

[thevmax]

It is what it is. This is what has been bothering me the entire time I've owned iphones!
Even though my bill is $70/month, it is still too much just to own one!

[peacedog]

So I don't see why carriers keep pushing Android phones. For their own benefit with monthly residuals, this would mean that they are better off pushing iPhones on perspective buyers.

[puissance000]

Well people do like their iPhones

[Evaded]

So I don't see why carriers keep pushing Android phones. For their own benefit with monthly residuals, this would mean that they are better off pushing iPhones on perspective buyers.

Because the sales person doesn't profit from the residuals, they profit from the gross profit of the sale. Which is why I'd rather sell you an Android device over and iPhone. In many cases the iPhone comes out to negative commission prior to selling the features on your plan. Apple keeps a majority of the profit off an iPhone.

[Feanor64]

man i just got done playing with my friends s3 i shouldve bought one instead of the 5 im so dissapointed man all they did to the ui is change the dialer and i think thats just ios6 im beginning to think apple thinks im stupid or something

[Googly2moogly]

Dont know. I spent $45/mo with ST and very happy

[tongxinshe]

Under $25 for a smartphone? I wonder which carrier they use and what services they get from the carrier. Maybe they get no data service at all? If so, what's the point of having a smartphone? Is it just to give others a fake impression?