> Equivalent service from the same provider is typically
> charged at the same rate, regardless of whether the
> customer has a contract. That's my point -- since there's
> no difference in service price, it's silly to say the
> phone is more expensive under a contract plan.
First, you should educate yourself about T-Mobile's Classic vs. Value plans. For example, the individual "Unlimited Nationwide 4G" plan (also including unlimited talk and text) is $89.99/month for a Classic plan and $69.99/month for a Value plan. Why might that be, do you think? Do you think T-Mobile lets people save $20/month by saying the magic word "value"?
Second, even putting aside T-Mobile for a moment, there are plenty of other cost-of-ownership differences between a contract iPhone and a non-contract iPhone. For instance, absent additional coverage (e.g. extended warranty or equipment insurance), suppose you break it. How much will it cost to replace? If you haven't signed a contract, you have the option of signing one to subsidize the cost of a replacement, but if you have a contract, then what? Or suppose you take a trip overseas. Will you be able keep using your iPhone without exorbitant roaming charges by getting a local SIM? It depends. And so on.
Second, even putting aside T-Mobile for a moment, there are plenty of other cost-of-ownership differences between a contract iPhone and a non-contract iPhone. For instance, absent additional coverage (e.g. extended warranty or equipment insurance), suppose you break it. How much will it cost to replace? If you haven't signed a contract, you have the option of signing one to subsidize the cost of a replacement, but if you have a contract, then what? Or suppose you take a trip overseas. Will you be able keep using your iPhone without exorbitant roaming charges by getting a local SIM? It depends. And so on.