It seems that you can get a 1Gb plan with their YouChoose 20 plan for $69.99 a month. This of course means no subsidy for the phone or $1000 but it's a start. Personally I don't talk much on the phone, so this plan would be fine for me.
Vodafone answers Q+A Here
I think they have been genuinely surprised at the negative reaction to their plans, and are trying to fight fires. Any goodwill has been lost at this stage I'm afraid. Drop the price of the phone to $350 for a plan, and say $700 on the YouChoose and it will be a start.