No, the price does not include the monthly cost of the service. It's an "AT&T" phone because it is locked to their network until you have fully paid off the phone. The $27/month AT&T Next option allows you to subsidize the full cost of the phone over a 30-month period, interest free, instead of paying the full $790 at once. You will have to decide on and purchase the actual plan for an additional cost (probably at least $50-$60/month after taxes for a single line with data capabilities).