This post discusses various options for choosing a smartphone data plan. I do not use a lot of data and given particular brand of smartphone, it is possible to get a phone without the 30 $/mo. data plan. However, one has to pay a higher cost for the phone upfront. In this post, I examine various data plan-options for the upcoming Nokia E71x. I conclude that if one does not mind AT&T firmware on E71x, buying it from AT&T with a 2 year contract for 99 $, and having the 30 $/month data plan for 6 months (and subsequently switching to a lower 15 $/mo. data plan) is a good option compared to getting a locked phone and paying the 30 $/mo. data plan for 6 months.

I want a PDA that keeps track of my to-do list & has calendar features. I tried using the paper options first, with the Hipster PDA and a 3″x5″ notebook. I found that although the Hipster PDA brought some measure of order to my daily schedule, I needed the calendar feature as well. A 3″x5″ notebook is a little big for my pocket (I “resized” this, cutting off the bottom 1″ or so, and it works fine), but I did not have it on me all the time. Additionally, my 2 year contract with AT&T ran out last Fall, and I wanted to replace my broken-screen Samsung phone.

Therefore, I started evaluating whether a smart phone with a QWERTY keyboard, and wifi/computer connectivity would be a good option. The smartphones in the market can be broadly classified as Windows Mobile devices (such as Samsung Blackjack), BlackBerries (Pearl, Bold, etc.), the Apple iPhone, the Nokia Symbian-running smartphones (N79, E71 etc.), and the upcoming Google Android-based smartphones (Ex: T-mobile G1).I wanted to have a GSM phone to have the option of using it internationally. Moreover, I believe that having a SIM card gives one more options. Moreover, only AT&T and Verizon have decent coverage in my neck of the woods. Therefore, I chose to remain with AT&T. Among the AT&T line of smartphones, the Nokia E71 attracted my attention, because of its thin-form factor, 3.2 MP camera with flash, wifi connectivity, A-GPS and other features.

Nokia & AT&T have announced that the E71 (released in Europe a couple of years ago) will be introduced in the US market (as a AT&T-locked phone). I therefore went to my local AT&T shop and inquired about the pricing of the phone. I was told that a locked Nokia E71x (with a AT&T firmware update) would cost ~99$ with a rebate of 150 $(assuming one has a 6 month,30 $/month data plan with the purchase). On the other hand, unlocked Nokia E71 phones in the market cost ~325-350 $. By purchasing the unlocked phone, one is not bound to a given carrier, but one has to pay higher charges upfront. On the other hand, not getting a AT&T-locked phone also allows one to get a lower-priced data plan (15 $/mo. instead of 30 $/mo.). I performed a 24-month cost analysis (including the phone price and the data plan but not the talking minutes) for various options discussed above, and the results are shown in the figure below:

Total 24 month cost (phone+data) for various options with the unlocked and locked E71(x)

Total 24 month cost (phone+data) for various options with the unlocked and locked E71(x)