|Fewer Consumers Are Buying the 3G Data Plans|
Apple (AAPL) gets kickbacks from carriers AT&T (T) and Verizon (VZ) when customers pay for 3G data plans. As you may have read and discussed with your friends retailers are running out of Wi-Fi only iPad 2's much faster than iPad 3G's. It was reported earlier this week that Best Buy was forcing consumers to buy the AT&T 3G data plans in order to get their hands on the latest iPad 2. Best Buy Mobile (BBY) was lying to customers in order to get them to buy iPad 3G versions because they get paid more if you sign up for a data plan. They were claiming to be out of inventory in order to bamboozle consumers into buying the more expensive version. Outright fraud and something the FTC should look into. Read more.
It is incredibly arrogant of Apple and AT&T to price the 3G plan $200 in over the Wi-Fi versions. Why? The 3G iPad should be $200 less than the Wi-Fi version because a 2 year monthly data plan is required to use it. That is almost another $1000 you are shelling out to AT&T and Apple. A ripoff if you ask me and the reason consumers are not buying the 3G iPads any longer. Smart consumers are using the iPad without a data plan and are tethering the iPad to their 3G or 4G phones when they travel or need it outside an available WiFi network.
The iPad 2 and iPad devices are amazing tablets and have changed my life for the better. I have used the iPad for almost a year now and there has never been a moment when I had wished that I had purchased the 3G data plans for Verizon or AT&T. WiFI on the iPad is sufficient and has saved me hundreds of dollars per year.
|Apple's iPad Pricing is Bass Ackwards|