Americans still prefer their cell phones cheap or free, even if that means it can't play music or access the Internet, according to a study from The NPD Group, a consumer and retail information company.
Among the 33 million phones U.S. customers purchased in the second quarter, 28 percent were free due to special rebates and promotions. Another 28 percent cost less than $50.
But though the iPhone's many features can win over even the most skeptical of critics, it can't change consumer habits overnight.
There is evidence, however, that consumer tastes are changing.