I was told they do this to monitor you during gym because they are getting REALLY lazy. The only thing you have to do in class to get a good grade is to keep your heart rate above a certain bpm, and you are done with Gym after a certain number of minutes. They don't teach you crap!
Since they will be paying some ridiculous amount to Apple, they have no reason to give good deals on the phone and service. Like AT&T they will have an "iPhone" tax. $70 a month seems high to me, yet is the cheapest plan you can get. Why not a $40 more limited plan? They don't nearly as much then!?!