The main reason for the drop is AT&T exclusive deal with Apple is nearing its end. They want as many people as possible to sign up for a two year contract as possible. I love my iPhone and while it was expensive, I think I got my moneys worth out of the thing. I have T-Mobile anyway...
Incorrect. The contract extends out 5 years, so therefore there's a little over 4 remaining.
I have at&t with a 2 year contract...i'd go crazy if it were 5. when and if I renew my contract (hoping not to) i would not sign for 5 years. though if i don't renew it, my phone will work, but it just means i'm eligible for an upgrade...in which I would have to resign, but i don't plan on doing that two years from now.