If you're planning to upgrade to iPhone 5 / iPhone 6 (depending on what Apple decides to call their next generation iPhone) then it has just got a little bit more expensive.
BGR reports that AT&T is increasing the upgrade fee charged when customers upgrade to a new handset on contract from $18 to $36.
BGR has been informed by multiple readers via email that AT&T has sent them notices regarding the increased fee, which had previously been $18. ”Because the overall costs associated with upgrading to a new device have increased, effective Sunday, February 12, 2012, AT&T will change its upgrade fee from $18 to $36,” AT&T said in a note to dealers obtained by BGR.

AT&T has since confirmed the change. They told BGR:
“Wireless devices today are more sophisticated than ever before. And because of that, the costs associated with upgrading to a new device have increased and is reflected in our new upgrade fee,” an AT&T spokesperson told BGR via email. “This fee isn’t unique to AT&T and this is the first time we’re changing it in nearly 10 years.”
We expect other carriers to follow AT&T's footsteps as well.
What do you think of the upgrade fee? Do you think it's a rip-off?
Rip off!
It’s a ripoff
I third that.
Its a ripoff. I was part of the AT&T Activations team and activating a phone is very simple. I wish I was paid that much to activate phones. AT&T is ripping off there employees now that I look at it.
their*
Wrong!
their
NOT their* (who the hell taught you English White Boy!)
So, how is activating actually done then? Take us through the steps.
They enter your account information and the IMEI and serial of the new phone into a web field and click activate.
Admittedly, I don’t know what happens on the back end, but activating an iPhone 4S is equally as complicated as activating an iPhone 2g, so what ever server code is handling this likely hasn’t changed in years. If it has, it is a write once use for a long time type of thing.
Maybe they need more powerful servers to handle the volume of activations, but since the $18 was already pure profit, that should more than pay for them.
First the early upgrade price of the phone itself from $500 to now $550 then the throttling crap with 2 gigs of an unlimited plan and now an early upgrade hike of 100%.
It’s making me ill.
Of course it’s a rip off…there explanation is doublespeak and the greed is obvious. They are simply getting ready for the windfall of new iPhone upgrades this year.
As soon as Republic Wireless opens the gates again, I’m out.
All should..Boycott..AT&T..for this and all the other “poo poo” it’s trying to pull.!!!!
“poo poo”? What, are we 11?
Just keeping it classy, do you prefer SHisNiT…anyway the only way to impact AT&T – VERiZON is to switch to SPRiNT show them we have other options. They will see the numbers 1 by 1 their customers will decrease.
Thank God the merger with T-Mobile fail, if not they will keep ripping us off….
AT&T needs. Wake up call. Blogging will not make a difference. Have to take action. I’m canceling my contract tomorrow. Going to an other carrier prepaid then when the new phone comes out go to Verizon.
dont care
Somwbody has for to pay for the 4 billion they gave away. Raising this and also there stupid data plan fees. Yeah now the customers are paying for their bs tactics with tmoblie.
It seems like every year they push harder and harder for me to switch to another carrier. And while I’m sure that the grass is no greener on the other side, switching still sends them a message!
Sends them no message. You’re expendable. Half billion customers and you’re gonna send a message. Pretty funny. Only the computer knows you exist.
So let me get this straight. AT&T had 39 billion when they wanted to buy Tmobile. And now they are doubling their upgrade fee like they are taking a hit? WTF?!!
Ripoff and AT&T is taking advantage of the device popularity. It is the same as credit card fees that recently were dropped due to consumer protest. Why is there an upgrade fee at all?
Unheard of here in the UK
ATT is hanging themselves with the throttling and stupid decisions. Hope they see this soon.
Would anyone explain how the sophistication of the phone is relevant to the fee increase. Until it shown, the reason does not justify the increase imo. It’s a poof, just to squeeze more money out of their customers.
That’s rediculous. Everyone knows that’s just pure profit. Let me start by saying AT&T doesn’t have much 4G and they are behind in LTE network and then to boot they just increased data plans and what have I got out of it? A higher bill…. No thank u’s. thing im gonna switch to sprint.
You forgot throttled speeds
AT&T lost billions in the TMobile fail. Gotta make it back somehow. Also they say that they are changing after 10 years, its about time they change something. They have not changed anything else (ie upgrade their infastructure to keep up with tech) in 10 years. Maybe they are trying to increase cash flow for posiible class action lawsuits? Who knows!!!! Oh wait I know, GREED!!!
AT&T wants us to think there is a little old lady throwing switches in a dank room somewhere when we ‘activate’ our new iPhones. Well guess what? It’s all done by a server. And, it’s the SIM that gets activated not the phone (Apple does that). FYI a GSM SIM is no different today than it was 5 years ago (electronically that is, size doesn’t matter) and is certainly no more costly to do. Remember the real estate bubble that popped a few years back? AT&T is heading towards next.
AT@T = “Always Throttling and Thieving”
Total BS…Looks like iPhone 4S will be my last upgrade from AT&T. I’ll probably won’t upgrade anymore and may switch carriers and possibly call AT&T that I’m going to switch (hopefully they can waiver my next upgrade fee).
I have been with AT&T for quite a while and every time I have upgraded I just call and ask them to credit the upgrade fee and they always do.
At&t since i remember bunch of thieves
i will swich to sprint as soon my contract
ends !!!!! crocks theirs taxes keep chsnging
every month and cheating no body can stop
them . the end of companies like this is bankrupcy.