Cheapr Cellphones at Big Box Retailers

Retailers Enter the Cellphone Fray

Posted on 6/4/2010 10:17 EST

Filed in: Amazon, Android, Apple, ATT, Best Buy, Calling Plans, Cellphone, Cheap Cellphone, Cheap iPhone, Cheap Mobile, iPhone, Phone, Smartphones, Verizon

Are smart phones the new loss leaders for big box retailers? It certainly seems that way. According to SmartMoney.com, mass merchandisers are offering these little devices at unbeatable prices -- with a service contract, of course, and an unspoken expectation that you'll spend more on higher-margin accessories.

"Starting Tuesday, Wal-Mart will sell the 16GB iPhone 3GS for $97 with a two-year AT&T contract, instead of the $199 price tag both AT&T and Apple offer. When Wal-Mart announced its planned price drop last week, analysts and consumers alike saw the move as a confirmation that Apple would unveil a new model of the popular smartphone in June.

But it's not at all unusual for big-box retailers such as Wal-Mart, Amazon.com , Best Buy and Radio Shack to offer handset prices that are significantly lower than those at carriers..."