While the iPhone 5 is often available at a steep discount from wireless carriers if you agree to sign a 2-3 year service contract, an infographic from the folks at Avalaunch Media (via Mashable) shows how carriers can afford to subsidize devices, and points out that there are certain hidden costs to accept those subsidies.
Wireless carriers absolutely make their money back and then some from these subsidies – but unlike the spin Mashable puts on the data, I contest that this really isn’t costing a user any more than buying an iPhone 5 outright, since they’re already paying monthly (or plan to) for their service plan.
The infographic also covers the potential cost of cases and accessories for an iPhone, which can all add up to what Mashable claims is up to $1800 (again, it’s debatable). Check out the full graphic below, and click the image to see a larger version.
