Updated: iPhone OS 3.0 now available
At long last, cut-copy-paste comes to the iPhone Wednesday.
(Credit: James Martin/CNET)Updated at 10:20 a.m. PDT June 17: The software update is now available.
Many of the iPhone's long-awaited features will finally become reality Wednesday when Apple rolls out iPhone OS 3.0.
Current iPhone owners can download the software from iTunes for free, and iPod Touch users can get it as well, but for a fee of $9.95, just like the last OS update. What time exactly, we don't know yet. Apple will only say iPhone OS 3.0 will come out sometime Wednesday.
The update includes many functions other phones have had for a while, including multimedia messaging (if supported by your carrier--AT&T won't offer it until later this summer), voice recording, buying and renting movies and TV shows over the air, full system search, tethering (again, if your carrier allows it), and push notifications.
Apple has also bundled in some extras, like landscape virtual keyboard for certain apps, more extensive parental controls, in-app purchasing, and a feature for MobileMe customers called Find My Phone.
There will also be stereo Bluetooth available, as well as the capability to create applications specifically for interfacing with third-party hardware. That could lead to a boon in the accessories market for the iPhone as well as the iPod Touch, as my CNET colleague Donald Bell has pointed out.
As anticipated as Wednesday's OS 3.0 launch is, it's only the second most important product rollout for Apple this week. The new iPhone 3G S is scheduled to hit stores Friday morning. In the meantime, check out our full review of the iPhone 3G S and our detailed look at OS 3.0.
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Erica Ogg is a CNET News reporter who covers Apple, HP, Dell, and other PC makers, as well as the consumer electronics industry. She's also one of the hosts of CNET News' Daily Podcast. In her non-work life, she's a history geek, a loyal Dodgers fan, and a mac-and-cheese connoisseur. E-mail Erica. 
PLEASE I REALLY WANT THAT UPDATE
No, you can't. Only itunes giftcard, the one to buy music and such.
That's all. Just wanted to get that off my chest.
It's not just an AT&T problem...
MMS won't be charged extra for.
that forces Apple to charge for updates
which is why for the iPhone they switched to subscription based accounting to make the updates free,
Numerous other companies give you updates (often lifetime updates!) including new features for free without following a subscription accounting model. It's not like this update is enabling any unannounced locked / hardware feature in existing products.
The "accounting rule" is not BS, it has impacted the way that many people do business in the "post Enron" world.
If you give free updates, then when the original device is sold you cannot take all of the revenue when you sell it. Subscription based accounting takes this into account, but you can also reserve some portion of the revenue to be taken when you"finish" the upgrades. To tell the truth, I was expecting that the original iphone users would have to pay as they are now approaching the end of their useful life [in accounting terms].
The reason that Apple was able to do this for iPhone was that it was a new business, so taking the revenue on a pro-rated basis had no real financial impact. Taking the revenue pro-rated on the iPod, which was an existing business, was more difficult. Investors want to see revenue growth and if you start taking parts of your revenue pro-rated, you will take a one-time dip. they chose not to do that. Thus, the iPod people get to pay for the upgrade.
that said, they could charge less. I don't think they could get away with 1-cent with the FASB as they would determine that it was really free. But if they charged $4.99, no one would bat an eye. So there is some "revenue enhancement" going on here.
can you give me an example of a single company that does this today in the post-enron accounting rules? I can't think of one.
I call BS on the accounting rule.
this has affected the stock a lot, cause most of the iPhone income doesn't add into the quaterly Revenue
which means lower growth ! why go through all that trouble then ?
also I'm pretty sure the Tech World would have destroyed Apple for lying !
i wonder what time the update will be available to download?
Superclyde911: U be Using U too mUch. Ur 3|33T 4 sURe.
as for getting a new one, you bought yours almost a year ago, why would they exchange it? much less, why should they? and if they exchange yours, why not exchange the people who bought it in june, when the first 3g came out?
see my point? there has to be a cut off.
otherwise they'd be rebating and exchanging themselves broke.
it's a business, they make majority of customers happy, and they make money.
this is my second iphone 3g. i have loved both dearly, but i am excited for the 3g s.
just because video is very important to me.
Crunching iPhone 3G Upgrade Costs
First-time iPhone users can get the new iPhone 3G S for a starting price of $199, but existing iPhone 3G owners have to pay $399 or more to upgrade. Why?
By Mitch Wagner, InformationWeek
June 11, 2009
URL: http://www.informationweek.com/story/showArticle.jhtml?articleID=217800737
At first glance, the policy doesn't make sense: Most companies try to hang on to return customers. So why are AT&T and Apple apparently penalizing return customers -- charging people who bought last year's iPhone 3G a $200 premium to upgrade to the new iPhone 3G S?
The answer has to do with the practice of "subsidies," the standard way that cell phones get sold in the United States. It works out well for consumers, at least most of the time. It remains to be seen whether the subsidy process has broken down in the case of the iPhone 3G S, or if complaints are coming from a tiny, but vocal, minority.
Apple introduced the iPhone 3G S at its annual Worldwide Developer Conference on Monday. The device offers a processor upgrade and other hardware improvements that boost performance by double or triple previous models. The new phones now include video recording, a better still camera, and a built-in compass to improve location-based applications. The phones also have double the storage of current models. The price is $199 for 16 GB of memory, $299 for a 32-GB model -- for most users. For people who bought an iPhone 3G, the price is $200 higher.
It's The Subsidies
iPhone 3G customers aren't being singled out here; the reason for the price difference has nothing to do with whatever model of phone you're carrying around in your pocket. It's the terms of your contract that matters. AT&T and other American wireless carriers offer steep discounts, called "subsidies," for new handsets, but only to people who sign service contracts.
And, for customers who already have service contracts with AT&T, discounts on new hardware are only available near the end of the contract cycle. The iPhone 3G came out a year ago, so owners of that device have at least a year left on their two-year contracts. This isn't an issue for first-generation iPhone users; their two-year contracts on the devices, introduced in summer 2007, are running out.
And of course, it's also not an issue for new iPhone buyers; they don't have AT&T contracts to worry about.
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Angry, Vocal iPhone Customers
The upgrade policy has some iPhone users crying foul. "This is ridiculous and a slap in the face to long time loyal iPhone customers like me who switched from T-Mobile and the only reason was the iPhone," wrote one unhappy iPhone customer on the AT&T support forum. "We have to mount a vigorous campaign to change this policy. Call your local AT&T and ask for the manager and complain. Send e-mails and post in forums everywhere."
Given the backlash that the subsidy system has generated from iPhone users, is the subsidy system a good one? "Absolutely. It's not a good system, it is a brilliant system. It allows consumers to get innovative devices like the iPhone for as little as $99," Siegel said. (Apple and AT&T are now offering the iPhone 3G for $99.)
Consumers unhappy with the subsidy system have a few options: If they want an iPhone without signing a contract, they can pay $599 for the 16-GB model and $699 for the 32 GB model. That's a $400 premium over the subsidized version.
Some iPhone users suggest canceling your contract, paying a cancellation fee of a maximum $175, minus $5 for each month you've already served on your contract. Then, sign up again for a new contract, and buy an iPhone 3G S at a subsidized cost. Siegel says that would work, but it doesn't take into account a $36 activation fee, and it's a lot of hassle for a relatively small savings.
And, if you know someone else who would be happy with your current iPhone, you can sign up to add a line on your existing plan. Price information on that option was unavailable, but if it's worth looking into if you want to get a subsidized iPhone 3G S. Of course, then you're paying for two lines, so the net cost is higher.
Consumers can find out about iPhone pricing plans, and existing AT&T customers can find out whether they're eligible for a subsidized upgrade, by visiting att.com/iPhone.
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InformationWeek has published an in-depth report on smartphone security. Download the report here (registration required).
Superclyde911: U be Using U too mUch. Ur 3|33T 4 sURe."
You already mentioned that. Let's move on please. Grammar nazis!!
then i'll be throwing a fit, and you can cheer as your getting a super amazing new most powerful iphone with the best camera ever,
and i'm stuck with 3g s, which is just 3g, with a little more power.
and you'll have a super iphone.
Loving it so far! Select all and copy/paste are amazing! I really like landscape mode in various apps.
- by Nezello June 16, 2009 10:52 PM PDT
- WHERE IS THE 3.0 SOFTWARE ITS WEDNESDAY THE 17TH AFTER MIDNIGHT DO WE HAVE TO F'N GUESS WHAT TIME IT WILL BE ON ITUNES STEVE??????????????????????????????
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- by fgraff June 17, 2009 6:14 AM PDT
- Agree...It's 9:15AM in NJ.......NO UPDATE YET!
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