New iPhone 3GS: O2 and AT&T deals compared

It has now been just over a week since Apple announced its new iPhone 3GS at its WWDC 2009 keynote. If there is one thing that we can take from this news, it is that iPhone 3G owners in the U.S. and the UK are not happy with the deals that AT&T and O2 are offering.

We have always known that the deals that these network carriers offer for the iPhone are never as good as they are for one of their standard handsets from the likes of Nokia or Samsung. Both carriers have said that they already heavily subsidize the iPhone, so users already get a great deal.

Let us take a closer look at what deals are on offer for the new iPhone 3GS on both AT&T and O2.

With AT&T, the iPhone 3G S will cost $199 (16GB) and $299 (32GB), but that is the price if you are a new customer. If you already have a contract with AT&T and are upgrading from an iPhone 3G, you will have to pay $699 for the 32GB and $599 for the 16GB.

Things are a little different on O2, the price of the handsets are cheaper. On the same 2-year contract, you will pay £87.11 for the 16GB model on a £35 per month contract and free on the £45 and £75 per month contract.

The 32GB model will cost you £175.19 on the £35, £96.89 on the £45 and free on the £75 per month contract.

This does seem much cheaper, but O2 will charge existing iPhone 3G users who are still tied into their contract will have to buy themselves out. My contract still has six months left to run, so I will have to pay almost £270 to end that contract.

Let us know what you think of the AT&T and the O2 deals, and if you will be getting the new iPhone 3GS.