Additionally, cellphones aren't just gaming machines and those who want to get one to game on also has to deal with the rest of the baggage that comes with owning a cellphone (paying to keep your phone connected and active, paying for the various features, on top of having to pay for the games themselves (which often times require additional payments just to play).
And between that and the constant upgrades (especially if you go anywhere near an iPhone/Pad/whatever), the price tag adds up quick.
You don't actually have to pay for any of that crap though. Don't believe the shit the man at the cellphone store is peddling, buy an unlocked no-contract phone and do whatever you want with it. Yes it costs more upfront because it's not subsidized, but do you think they subsidize phones out of charity? Of course not, they only do it because they know they'll milk a whole lot more out of you in the long run.