iPhone: Setting the record straight on the good, the bad, the silly and the sleazy

Note: I know that I’m going to catch hell for my iPhone stories because, on balance, they seem slanted against Apple and AT&T. Read, and you’ll find three things: One, that I am laying out the story fact by fact and presenting opinions and guidance based on those facts, two, that I am not advising readers against buying the device, and three, that I am looking after the interests of my readers. And I don’t apologize for having fun with the subject. Even a fact-based account of the iPhone phenomenon is impossible to deliver with a straight face.

Not all of the stories on iPhone have their facts right. I’ve got just enough time this morning to transcribe some notes I scribbled down yesterday. I’ll elaborate later.

Good: iPhone does have a removable SIM card. Here’s how to remove it.

The card is mounted inside a sliding tray at the top of the phone, precisely where you’d expect to find it. There is a telltale hole at one end of the tray that is just the right size for a paper clip.

You might expect that jamming a paper clip in there would pop a clip that releases the tray. Instead, the tray is friction fit. You need to make a tight hook in the end of the paper clip, insert it into the hole and turn it so that the hook points toward the left as you look at the back of the phone. Don’t pry. Give it a solid pull straight up and the tray will slide out after a couple of tries. It is a very tight fit. After my first few unsuccessful attempts, the hook caught the lip of the SIM tray, launching into the air and over my left shoulder. Your shoulder may vary.

It is very easy to orient the SIM improperly in the tray. This will jam the card and the tray permanently inside the phone. There is a tiny, almost invisible wall on the SIM tray that matches the cutout at the corner of the SIM. Find it, and make sure that the card snaps into the tray perfectly flat before sliding it back in.

Silly: The iPhone SIM card has a “3G” logo on it. Nothing like rubbing your face in it.

Silly: Apple and AT&T in USA Today The wireless network performance portion of this USA Today interview is priceless. I’m going to put up an annotated version of that interview later today.

Good: If you purchase iPhone from an Apple Store, you can return it for a refund. The Apple Store has a 14-day return policy on the device. Apple will subtract a ten percent charge for an open box. This is very reasonable for an item that’s likely to be “tested” and returned. Best Buy charges 15% for returns of high-end gamer 3-D cards.

I don’t know what the return policy on iPhones purchased from AT&T Stores is.

Sleazy: iPhone is the only mobile device that does not function in any capacity without activation; Apple states only that activation is required for “network features.” When you power up iPhone, the display reads “Activate iPhone, connect to iTunes.” You can’t get past that display except to display the phone’s IMEI and ICCID.

When you connect iPhone (iTunes 7.3 is required), it shows on iTunes’ menu but only the activation interface is available. If you interrupt the activation wizard at any point prior to committing to a plan, the phone will remain locked.

If you power up iPhone without a SIM, it complains about the missing SIM and remains locked.

I have tested dozens of models of PDAs, smart phones and feature phones. iPhone is the only device that locks itself completely until activation. Treo, Windows Mobile, Nokia Communicator and BlackBerry all function as PDAs and local network (Wi-Fi and/or Bluetooth) devices without activation. They all support sync and the download and installation of apps through the desktop client. All operate without a SIM. They merely display an icon indicating that no wireless coverage is available.

I have four Nokia Series 60 non-smart phones here, all without SIMs, and all function as everything but cellphones.

iPhone users are buying the device outright and at full retail price. In all other instances, this gets you an unlocked phone. I don’t mind that iPhone is locked into AT&T’s network, but the phone service should be optional, as Apple states, for everything but GSM/GPRS/EDGE network access.

Good: You do not have to buy one of AT&T’s three fixed-rate iPhone plans. A 2-year commitment is not required.

If you already have an AT&T/Cingular phone, you can activate iPhone as an add-on to your existing family plan at a cost of $9.99/month.

If you’re not an existing AT&T customer, arrange to be one before you activate iPhone so that you can choose a rate plan and a contract term. Bring your iPhone SIM to any AT&T dealer that doesn’t sell iPhone, or buy a new SIM (same price). Have them help you put together a plan from AT&T’s a la carte options.

Update: This document popped up on AT&T’s site sometime last night. It clues customers into the fact that one can add an iPhone Data Plan to an existing voice plan for “as little as $20.”

I do not know if iPhone can tell you have the iPhone Data Plan as opposed to other data plans that start at $9.99. AT&T also has data-only plans. I do not know if inserting an activated SIM, going through the motions in iTunes and then pulling the SIM will get you a usable device. I don’t know what happens if you start a month-to-month subscription and let it expire while that SIM is in iPhone.

Sleazy: All AT&T Stores near me reported being “sold out within {15,30,60} minutes,” while the nearby Apple Store continues to have ample stock I have a trip report from last night that I haven’t had a chance to post yet.

AT&T is taking orders in-store for what it calls “direct fulfillment.”

Good: The Apple Store near me has plenty of iPhones in stock today. The Apple Store is clearly the place to buy iPhone. You can actually leave the store with one.