Not even the threat of costly early-termination fees are enough to keep many consumers from jumping ship for the newest iPhone. Some 45 percent of cell phone owners have broken their carrier’s contract in order to grab Apple’s iconic smartphone, according to a new survey showing just how loyal many people are to the Apple brand.
According to Consumer Research Partners, 45 percent of people surveyed broke a contract with their current or former wireless carrier in order to pocket the iPhone 4S. More than 70 percent of that group paid more than $100 early-termination fees on top of the $199 to $399 price of the handset.
The findings also show the majority (71%) of iPhone rule breakers are upgrading from an earlier model — just 18 percent were switching from an Android or other smartphone. This only reinforces the belief that Apple revenue is all about the upgrade, rather than Android owners suddenly falling for the sleek and sexy iPhone.
About a third of the survey respondents said they left a carrier to buy the 4S. AT&T seems to be the largest benefactor, registering 49 percent of the iPhone purchases, versus 34 percent for Verizon Wireless and 17 percent for Sprint.
Coming from a mixed marriage (my wife has the iPhone, I own a relic from the past), I can understand the strong urge to break the bonds holding you into the feature phone wasteland. The result of just 18 percent of switchers coming outside the iPhone ecosphere is a bit surprising, but the price has to be a large reason why people buy an Android handset. If price is upper-most in your mind, you likely are more willing to stay put, but the pain must be nearly unbearable.
How about you? Did you break your contract to get the iPhone 4S?
Ed Sutherland is a veteran technology journalist who first heard of Apple when they grew on trees, Yahoo was run out of a Stanford dorm and Google was an unknown upstart. Since then, Sutherland has covered the whole technology landscape, concentrating on tracking the trends and figuring out the finances of large (and small) technology companies.
16 responses to “%@! The ETF, Most Apple Fans Break Contract For Newest iPhone”
Yeah I broke my contract from the iPhone 4 to get the 4S and I will do it again to get the iPhone 5!
“The findings also show the majority (71%) of iPhone rule breakers are upgrading from an earlier model — just 18 percent were switching from an Android or other smartphone. This only reinforces the belief that Apple revenue is all about the upgrade, rather than Android owners suddenly falling for the sleek and sexy iPhone.”
What no one stop to think about is, just because previous iPhone owners are willing to break contract to upgrade to what they know is going to better. Many Android users are most not likely willing to do so because they may not have the means to do so, or because they are not even sure that they will like it after using Android for 2 years or so. While some Android users may have also been disappointed by the lack of a redesign. Many regular Joe Android users may want the iPhone, but may have quite a few reasons why they have yet to get one. We will see if ending contracts and the eventual iPhone 5 attracts Android users.
Yes I did. I will do it again when the 5 comes out (as long as my husband doesn’t find out) LOL.
I actually held on to a crummy phone 8 months past my contract end for the iPhone 4s.
lol of course they did. Even as the bitched and moaned that it wasnt a good enough upgrade. I love how easy Apple heads make it. You KNOW an Iphone 5 is coming out next year. Why on earth would you blow upwards to 800 bucks (at least $600 plus at around or more than $200 in cancellation) when your just going to do it again in 8 months? Stupid. If you just want to Collect the 4s, wait until the 5 comes out and the price drops. many of their contracts would have ended by then, or they would have been closer to their early upgrades.
But noooo…. Apple fandom is a way of life that supersedes logic.
Nope, still using my 3Gs. Will wait & see what the next iteration of the iPhone offers before considering an upgrade.
If I were in the state I’d just put iPhone 4 on ebay and buy Unlocked. That’s way make me pay less and keep contract remain. Then next year I might get another free phone (iPhone 4?) via contract renewal (and put that free phone on ebay to gain some more money for another not-so-free again)
From my calculation
If you using iPhone4 with contract. I don’t know how much you must pay for termination fee. So I assume it $150 (maybe more or maybe less)
Breaking the contract $150 + Get the 4S $199 = $249
Buying unlocked is $599 – (ebay the iPhone 4 the price is vary to color and your luck) $300 = $300 (don’t forget the unlocked one is more expensive when it go to ebay in the future)
Actually you didn’t. You agreed to a lower subsidy. That’s not really the same as what the article is talking about
That said, these days you are better off waiting a month or so to to get an officially unlocked iPhone for the same cost but without the issue of having voided your warranty