I’ve already told a few people this story, but I thought it was worth blogging.

As most know, Friday, July 11 was the 1st day that the new iPhone 3g became available for retail sale.

I know a few people who bought the First Generation iPhone, but I wanted to wait since I thought 1) the cost was too high ($499 or $599) 2) No GPS 3) No Exchange for email 4) No 3G

These issues were solved when Apple announced the features of the iPhone 3G during a March 6 special presentation.  Along with reconciling my main 4 issues, they also included a major software update (2.0) which included an Application store for user and 3rd party-made applications.  Some would be free, others pay.  On top of all this, they made the hardware slimmer, a flush heaphone jack and dropped the initial price to $199.

That brings us to this last Friday, when I had to make a choice about where to try and buy an iPhone. Eugene doesn’t have an Apple store, we do have a Mac authorized seller, but I doubt they would have the iPhone, so I went to an AT&T store.

I’m already an AT&T customer, so I didn’t think there would be any service issues with upgrading my phone, but I assumed they would sold out.  Turns out they were sold out, so I went to leave.  Before I could leave a salesperson suggested I preorder and pick one up when a new shiment came in, I said fine and gave them my account information.

After looking up my account I was told that an iPhone would cost me $399 or $499.  I was confused since I thought the initial prices were $199 or $299, depending on the HDD size.  BUT, apparently my plan won’t be ‘upgrade eligible’ until September, so I have to buy out my old plan to upgrade now.  I guess this is just how it works in AT&T world, but it seems weird that I would be able to upgrade hardware and start my new plan from this date.  They’ll just have to content with not getting my $200 now AND having me pay less per month since I don’t have a data plan.  FOOLS!