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Retailers Enter the Cellphone Fray

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Posted on 6/4/2010 10:17 EST

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..."

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