Only 3% of U.S. consumers have a strong interest in purchasing the iPhone at its starting price of $500, plus a two-year contract with wireless carrier AT&T, according to research released Tuesday by Parks Associates. Consumers on average are willing to pay only $99 for a regular mobile phone, and $199 for a phone with advanced data services, such as video and Web access.

To breach that huge gap between the price of the iPhone and what people are willing to pay, Apple is banking on the device's unique touch-screen display and intuitive software for accessing voicemail, the Internet, and video and music libraries that can be stored on the iPhone. Parks Associates, however, found that those features, which tend to make Apple fans bug-eyed with excitement, are unlikely to sway the average consumer.

To give consumers a clearer picture of how much iPhone will cost, Apple and AT&T released rate plans on Tuesday. The iPhone is scheduled to go on sale June 29 at the partners' retail stores, and the Apple Web site. The plans will start at $60 a month for 450 voice minutes, $80 for 900 minutes, and $100 for 1,350 minutes. All the plans included 200 text messages, unlimited data services, and the rollover of unused minutes month to month.  

The plans are unique, in that they bundle voice and data together, which is not surprising since the iPhone's data services are as much a selling point for Apple as the device's communication capabilities, Bhavnani said.

By: DocMemory
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