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The big American telecos have always been pretty high up on my list of evil corporations, so I wasn't exactly surprised to hear that Verizon – perhaps the worst offender of them all – is making the consumer bear the brunt of another frivolous fee. From now on Verizon subscribers will have to pay a $30 fee every time they upgrade their phones. While we've all gotten used to carriers inventing bogus fees literally out of thin air, it is important to take a step back and understand exactly how Verizon, AT&T and the rest are shamelessly ripping us off with every monthly statement.
For years now, wireless providers have been luring consumers in with top-quality phones at reduced prices in exchange for a two-year commitment. You get to keep the phone, while the carrier has the pleasure of charging you a hefty monthly sum for the service. Seems like a fair enough deal, right? At least, that's what the carriers would like to have you believe. The reality, however, is much more sketchy and sneaky as is often the case with companies that have a quasi-monopoly over any given product or service.
If you actually sit down and do the math, you end up paying the carrier back way more than just the price of the phone. But that's not the story the carriers are selling to the media. In fact, based on the decrease in profits carriers are complaining about how much money they are losing on subsidized phones. So in an attempt to allegedly compensate for providing us with phones at subsidized prices, US carriers have systematically introduced a so-called “upgrade fee” on top of all the existing charges lurking underneath the surface of your cell phone bill.
What may look like a relatively small fee will actually bring Verizon an extra $1 billion a year in terms of profit. And now that they've jumped on the “upgrade fee” bandwagon consumers are left with no choice but to shake their fists at the telcos and shell out an extra $30.
And get this, according to Verizon, this new fee is meant to “help continue to provide customers with the level of service and support they have come to expect”. If by that they mean that we've all become used to the fact that Verizon is one money-thirsty leech of a company with terrible customer service – then, yes, we agree.
As Americans we've become addicted to two-year contracts and subsidized phones, but my recommendation to you would be to use your Internet browsing skills and buy your Android phones at full price. Thankfully, there are plenty of good deals to be had on eBay and online discount stores. Don't let the Big Three bleed you to death with fees, fines and small print. Just keep one thing in mind: with these telecos it's always the consumer that gets the short end of the stick.
This is not only an issue in America but other parts of world too. I urge all consumers to band together & resist this kind of extortion. Vote with you money. Hurt evil monopolies where it will hurt them the most.
Sent from my GT-I9100 using xda premium
Have you no consumer protection lobbies in the US?
Over here for instance, I've got a HTC Sensation, free on O2 for £32 a month giving me 600 minutes, unlimited texts and 500MB a month along with free access to BT Openzone and O2 wifi hot spots. I also get a discount on my home broadband.
It's a 24 month contract but I can change after 21 months as I'm a valued customer.
So in total it's going to cost me £672.
At the time the Sensation without contract was around the £450 mark from reputable retailers (not ebay where you have very little come back if something goes wrong), even now it's £350.
So the contract actually cost me £222 which is under £11 a month. Even at £350 for the handset it'd be £15 a month.
Now looking at O2's sim only contracts, the same would be £21.50 a month, so it's cheaper to get a free phone on contract.
Even running the whole 24 months it works out at less than £17.50 a month if you take the free phone. To break even you'd need to buy a Sensation for £252 which means second hand.
Having looked at prices on US provider's websites and complaints posted on here, you guys seriously need to get the industry regulated to protect consumers from being ripped off.
How is it a rip off if I was going to buy that smart phone anyway and use that carrier? If I pick all the options I want carrier with phone and they are willing to subsidize the phone how is that ripping me off? I'd be using that phone and that carrier anyway so why not take the subsidy?
the_main_app said:
How is it a rip off if I was going to buy that smart phone anyway and use that carrier? If I pick all the options I want carrier with phone and they are willing to subsidize the phone how is that ripping me off? I'd be using that phone and that carrier anyway so why not take the subsidy?
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Good example is tmobile Monthly 4g plan is $70.00 flats fee for unlimited everything talk and text and 5 gigs data. This plan is non contract can leave when you want and comes up to $1680.00 after two years.
Classic plan for tmobile for the same features are 59.99 for talk and text. 35.00 dollars for 5 gig data. $94.99 let's add taxes and fees after. Which is around 11.00 extra which brings you to $105.99 note this is without $8.00 insurance added on. Two years on this plan is $ 2543.76.
Tmobile value plan is for the same features are $74.99 with taxes its $85.99 a month. Again without the insurance. You bring your phone and your also locked in a contract. You get no subsidize phones on this plan. Two years this plan is $2063.76
Classic vs value you save $480 dollars on value plan.
Classic vs monthly 4g you save $863.76. On the monthly 4g non contract plan
Value plan vs monthly 4g you save. $383.76 on the monthly 4g.
When you are on contract you wind up paying more for the phone then what's its worth on the contract. As you can see the savings alone can easily let you buy a phone off contract.
Sent from my SGH-T989 using xda premium
You guys still have it better with 2 year plans, and we are stuck in "3rd world " like stage with 3 year contracts....
Regardless of the phone cost, you're still shelling out decent amounts of money for your cell service, if you want to be up in arms, do it about your monthly bill costs.
the_main_app said:
How is it a rip off if I was going to buy that smart phone anyway and use that carrier? If I pick all the options I want carrier with phone and they are willing to subsidize the phone how is that ripping me off? I'd be using that phone and that carrier anyway so why not take the subsidy?
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If you don't see that its a rip off, then you are as much the problem.
It's all about cash flow to be honest. I bought my phone outright thinking it would be cheaper but if you want data then you end up paying over £20 in any case and if think about it only saves you around 30-50, for paying £500 upfront...
Killbynature said:
Good example is tmobile Monthly 4g plan is $70.00 flats fee for unlimited everything talk and text and 5 gigs data. This plan is non contract can leave when you want and comes up to $1680.00 after two years.
Classic plan for tmobile for the same features are 59.99 for talk and text. 35.00 dollars for 5 gig data. $94.99 let's add taxes and fees after. Which is around 11.00 extra which brings you to $105.99 note this is without $8.00 insurance added on. Two years on this plan is $ 2543.76.
Tmobile value plan is for the same features are $74.99 with taxes its $85.99 a month. Again without the insurance. You bring your phone and your also locked in a contract. You get no subsidize phones on this plan. Two years this plan is $2063.76
Classic vs value you save $480 dollars on value plan.
Classic vs monthly 4g you save $863.76. On the monthly 4g non contract plan
Value plan vs monthly 4g you save. $383.76 on the monthly 4g.
When you are on contract you wind up paying more for the phone then what's its worth on the contract. As you can see the savings alone can easily let you buy a phone off contract.
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Crikey those tariffs are steep!
Would I be right in thinking that the phones offered on the tariff are not free but only subsidised? So you're still forking out $150-250 for a handset?
ACtually it's not the subsidised phone that's a ripoff but the plan itself.
Keep in mind that the price of the plan is the same regardless of you getting a new phone with or not. There's no cheaper plan options for people opting out of the phone. Or any kind of saving.
The phone itself is basically an added benefit to you the user. Compare about the atrocious data and smd plans instead.
I got my samsung gio with a vodafone prepaid card + 5 Euro free to use prepaid money, the whole package cost me 112 Euros while in my country the cheapest GIO without a simlock (mine is simlocked) costs around 155 Euros.
I pay 30ct per MB though if I purchase a one month internet bundle via my prepaid money I pay 7ct per MB. I can also buy MB's that are usable for a day which will cost me 10ct per MB. Though the amount of MB's you buy are locked, I am pretty happy with my prepaid phone.
I also agree you should refrain from sticking to multi year contracts, who knows what happens in two years, or even one year.
http://cdn.memegenerator.net/instances/400x/18626772.jpg
xaccers said:
Crikey those tariffs are steep!
Would I be right in thinking that the phones offered on the tariff are not free but only subsidised? So you're still forking out $150-250 for a handset?
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Yeah pretty much you can buy a phone from any other place cheaper. I don't know where you live but a free phone in the USA. Isn't free. You have upgrade $30 or $18 just to update. Staying off contract would still be cheaper and you can just sell your old phone and the savings alone would make it cheaper. Another benefit is that you aren't worrying about your carrier for updates. Buy the original phone and it will be updated better than a carrier branded version of the phone.
Sent from my SGH-T989 using xda premium
shardnet said:
ACtually it's not the subsidised phone that's a ripoff but the plan itself.
Keep in mind that the price of the plan is the same regardless of you getting a new phone with or not. There's no cheaper plan options for people opting out of the phone. Or any kind of saving.
The phone itself is basically an added benefit to you the user. Compare about the atrocious data and smd plans instead.
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Actually in most cases, the big carriers do charge you the same price on the plan regardless of whether you bought the phone subsidized or not. But they are not the only companies you can get a plan with. You can always go the prepaid route and you can get the same mobile and data service as the big carriers as many of the prepaid plans are MVNOs. F0or example I bought an International Galaxy Note recently and put it on Straight Talk's Unlimited Everything plan for $45/month. Over 2 years it will cost me $1080. Add in the cost of the phone, I will have paid $1665 over 2 years. Buy the phone from AT&T for $250 and $100/month on service ($40 for voice, $20 Text unlimited, $30 for 3GB data, and taxes), $2650 total over 2 years. I would have saved almost $1000 over the 2 years AND not tied to a contract.
shardnet said:
ACtually it's not the subsidised phone that's a ripoff but the plan itself.
Keep in mind that the price of the plan is the same regardless of you getting a new phone with or not. There's no cheaper plan options for people opting out of the phone. Or any kind of saving.
The phone itself is basically an added benefit to you the user. Compare about the atrocious data and smd plans instead.
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Like I said it's different in the USA. Our plans pretty much make us pay for the full price + extra. All phones have a 1 year warranty. Even then using tmobile insurance it will cost you an extra $120 every two years. They also charge you a fee for delivering a replacement now. I think it's $5 om insurance and 20 dollars without.
Sent from my SGH-T989 using xda premium
I fail to see the point. Yes Verizon is spendy but they are the best. But if you want a cheaper phone and plan there are options. I pay $25 bucks a month for my virgin mobile plan and I paid $240 for my epic touch that I modded to run on virgin mobile USA. I will probably keep this plan for as long as I can. If I need to use more minutes that's what internet calling is for. It may not be as dependable as Verizon or at&t but it gets the job done.
Sent from my SPH-D710 using XDA
Killbynature said:
Yeah pretty much you can buy a phone from any other place cheaper. I don't know where you live but a free phone in the USA. Isn't free. You have upgrade $30 or $18 just to update. Staying off contract would still be cheaper and you can just sell your old phone and the savings alone would make it cheaper. Another benefit is that you aren't worrying about your carrier for updates. Buy the original phone and it will be updated better than a carrier branded version of the phone.
Sent from my SGH-T989 using xda premium
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Over here in the UK, phones are generally what is used by providers to snag customers.
So people pick the phone they want then search the providers for the best deal offering that phone, either for free (normally a higher monthly cost) or at a reduced price.
We also have various organisations keeping charges low.
I personally feel the opposite of the OP. How exactly is a subsidized phone a ripoff? The PLAN is going to be the same whether you bring your own phone or get one from the carrier. If you know you aren't going to be sticking around for 2 years then buying your phone outright might be the way to go. Otherwise I'd say save some money.
edit wrong thread.
So let's start this off by saying I tend to be a very frugal person. So frugal that about a year and a half ago I opted to get the Galaxy Tab (7 inch) from Verizon on a 2 year contract for only $100 on a $35 a month 3GB data plan. I slapped Skype on it, grabbed an online number and tied that into my Google Voice account and for a total of $41~ a month ($6 a month on average for an online number for Skype and unlimited minutes) I had a device with unlimited calling, unlimited texting, and 3GB of data which turned out to be plenty since I used the wifi when I was at home. This was awesome despite holding up a 7 inch tablet to my head to make phone calls, which I didn't care. I mean yeah people look at you funny but I was the one laughing since I was saving over $50 a month on my phone bill. And I could play Angry Birds on a big screen! I really really loved this setup.
I sold that tablet to my brother 9 months ago now and he just kinda carried over the plan. I did that since I moved to Chile for that amount of time and now I'm moving back to the States come next week and I want a similar setup. No carriers offer data only plans though that work well in my area. I switched from AT&T to Verizon since big red's coverage was 100x better where I mostly used my phone. However the data plan I had gotten with that tablet has gone away due to the "Share Everything" stuff although it still is only $40 a month for the share everything tablet data plan but none of the newer tablets they offer catch my eye since I really want that 7 inch sweet spot which is actually able to still fit in most of my pant's back pockets. This brings me to my best thought so far but there's one large caveat...
Mobile hotspots. I have narrowed down the choice between Verizon's Mifi 4510L and US Cellular's Samsung SCH-LC11 and then using that to connect to a Nexus 7 which looks like a better and more powerful Galaxy Tab that I had only used a year ago. I'm definitely leaning more towards US Cellular though since they offer a 2 GB plan for $25 a month and only an extra $10 per GB used above the 2GB limit while Verizon's crazy pricing for their Mifi 4510L starts at $50 a month for 4 GB of data which I'd probably never use all of it. I never even used 2 GB from what I remember from before. Although that's still a huge bargain compared to pretty much everyone else who has opted for those ridiculously overpriced plans for their rinky dinky smartphones. I kid of course. The base pricing for the devices is $188.99 out the door for a pre-owned certified Mifi 4510L without a contract and $200 (after $50 MiR) for the Samsung on a 2 year contract. After a year the Samsung would save me $300 but that's also stuck on a 2 year contract, although if I had to cancel it'd only be $150 to do so and I'd still be ahead $150 above big red. But the one large caveat to this is the battery life which on the Samsung is about 3 and half hours active usage and the Mifi 4510L says 5 hours but the Samsung has a removable battery. Now I drive fairly often and at my work and home I'll more than likely have wifi access, thus negating the need to plug in the mobile hotspot, the tablet however would also use up more battery due to the wifi being on all the time. It's definitely a trade off but one I'm willing to make I believe since on the US Cellular (Which has really great service where I live although I don't believe I can get 4G from either) side of things I'd be saving $900 a year.* So what does xda think about this? Any thoughts or insight? Other suggestions that I more than likely missed? Or mistakes in my plan? (I've been known to make plenty of those.)
Now I do know that it doesn't have to be a tablet. I'm tempted to get the Galaxy S III off-contract and just use it wirelessly the same way. However I'll still be lugging the mobile hotspot wherever I'll be. Other bonuses to the hotspot is... It's a hotspot. Super easy to share my connection. Although I was able to do that with my old Galaxy Tab very easily as well so not a huge deal. Thanks to those that stuck through my huge post and seemingly large amount of rambling. I didn't mean to post this much but it just turned out this way.
*This is accounting that I never have to pay an extra $10 for a GB over the 2GB use and accounting for a $100 for a normal plan. I could go ahead and say I'd be saving $1800 over a normal smartphone plan although I have around $400 to put down at first so saying an average smartphone goes for $200 with a 2 year plan I'm still saving $1600 once those 2 years are up.
TL;DR - I'm cheap and want to get a mobile hotspot and use a tablet (Nexus 7) connected to it via wifi as my phone to get the cheapest monthly data plan and run all my talk and texts through Google Voice / Skype.
Real unlimited w/o throttling. For as long as you stay with them. I have been with the various iterations of cingular/at&t for about 30 years now. They tier and seperate device charges, give a little less for a little more. I am really fed up with them. Verizion is s.o.s. also. Thing is t-mobile has a history of crappy phone selection and their customer service is rated low. this is a limited time offer and Gold and Platinum users are given priority, not sure what the hang that amounts to, but it is a wierd clause. My AT&T chains will be not be severed until Nov. and I am thinking of switching, getting a low cost phone till one of the next gen phones come out. Be nice not to have to worry about a data limit. Just like the ol' days.
Im currently on sprint, and plan on going to t-mobile. I was planing to get the galaxy s4 (no contract) and hop on t-mobiles 500 min unlimited text/data plan since the price was good and i only use like 100 min a month. I dont see this plan on their website anymore though (or i cant find it) i can only find the new uncarrier plans which wont let me adjust how many minutes i want a month, it only shows unlimited. and it is more expensive then the one i wanted.
so my question is, does the plan i originally wanted still exist? I will be really dissapointed if it doesnt
I think they're not having "plans"anymore. From what I've read, $50 will get you unlimited talk and text, plus 500mb of data. Then you either buy unlimited data for $20, or they charge $10 for each additional 2gb you use.
-Accidental Asshole aka Jeremy
[Guide] Headphone/Earphone Buying
This page is still up : http://prepaid-phones.t-mobile.com/prepaid-plans
If I were you, I'd hurry up and buy a SIM card and even just a $20 pre-paid phone/one of CL/whatever and get it activated if it's still possible instead of waiting.
If they kick me off it I'll just go to buying minutes only and they'll lose quite a bit of money, so meh. Or maybe I'd go to data-only. Or another carrier.
Pennycake said:
This page is still up : http://prepaid-phones.t-mobile.com/prepaid-plans
If I were you, I'd hurry up and buy a SIM card and even just a $20 pre-paid phone/one of CL/whatever and get it activated if it's still possible instead of waiting.
If they kick me off it I'll just go to buying minutes only and they'll lose quite a bit of money, so meh. Or maybe I'd go to data-only. Or another carrier.
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that wasnt the page i was looking at before. To get to the page i looked at before i would navigate to plans>individual plans>value plans
also, do these prepaid plans include unlimited text/data? i see no mention of it.
TheAtheistOtaku said:
that wasnt the page i was looking at before. To get to the page i looked at before i would navigate to plans>individual plans>value plans
also, do these prepaid plans include unlimited text/data? i see no mention of it.
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That's just a page with the old plans, that's all it is. I have no idea if or when they'll implement changes to their system when you activate a SIM card.
It's also still advertised on WAL*MART's web site along with the new plans. You could go to WAL*MART, buy a cheap phone/SIM and then switch it.
They've just been talking about this on CNBC squawk box, they seemed positive from the company's point of view, $100 a month for unlimited everything then after 2 years knock $20 pm off your bill because you've paid for the phone by then, still seems expensive to me, at the mo an S3 costs £32 all you can eat then after 2 years go sim only for £17 or less to suit.
Euthye said:
They've just been talking about this on CNBC squawk box, they seemed positive from the company's point of view, $100 a month for unlimited everything then after 2 years knock $20 pm off your bill because you've paid for the phone by then, still seems expensive to me, at the mo an S3 costs £32 all you can eat then after 2 years go sim only for £17 or less to suit.
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i wont be doing this "financing" they are talking about. i will be paying off the phone then and there. ITs certainly dissapointing that they dont have what i was looking for anymore, though i will still be switching
Euthye said:
They've just been talking about this on CNBC squawk box, they seemed positive from the company's point of view, $100 a month for unlimited everything then after 2 years knock $20 pm off your bill because you've paid for the phone by then, still seems expensive to me, at the mo an S3 costs £32 all you can eat then after 2 years go sim only for £17 or less to suit.
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For family/group plans its a rip or breaking even with current rates.
The plan seems worth it to me.
I'm a person that barely uses my minutes, so I was paying 40 for 500 minutes and then 10 bux for texting and then 30 for 5GB data.
I switched to the no contract plan already and I'm going to be saving 10 bux a month now and have unlimited data with no throttle. Only downfall is that the mobile hotspot now has a restriction of 500MB before they shut it down and require you to get a hotspot plan, but nothing that a usb tether or bluetooth tether can't fix.
For individuals, this makes sense, because with the lowest minutes plan, txt and data (seems like they have moved everyone to 5gb plans now on smartphones) you were paying 80, so there is instant savings on the plan now going contract-less.
When I was with Sprint I looked at my minutes usage and I averaged 100 minutes a month and was paying $46/mo for 500 minutes and unlimited texting, no data.
Now I pay $30/mo plus only state sales tax ($1- something) and I have all the minutes I need plus 5Gb of data I didn't have before.
With the $400 phone cost, it evens out to about $40/mo for the first two years. And I'm getting everything I had plus more for still slightly less per month.
I also have various VOIP apps that I can use to call and essentially get as many minutes as I could want.
Sent from my SGH-T999 using Tapatalk 2
This post will be divided into several posts for the sake of reading cimplicity.
Contents
Contents
Introduction
AT&T breakdown
T-Mobile and Verizon breakdowns
Conclusion
Alternatives for $$$-savvy consumers
Since AT&T announced their NEXT program (and Verizon subsequently their Edge program), I've wanted to do a comparison, but long hours at work have gotten in the way.
Last week, T-Mobile announced their JUMP program (just upgrade my phone), which allows two upgrades in a 12-month period. Since then, AT&T and Verizon have followed suit in announcing their own plans that allow a 12-month upgrade path. So, which is cheaper and how do they compare?
On the surface, AT&T and Verizon have designed their plans to look cheaper. They're actually more expensive as you now pay a double-subsidy. For this comparison, I'm going to use the 16GB iPhone 5 (the best selling phone in the US), and I'm going to compare plans that offer unlimited talk, text, and approximately 2GB of data on an individual line.
AT&T: There are two plans which meet the criteria. We'll be comparing 3 plans (one alternative)
Voice/Data/Messaging - unlimited talk is $69.99, text is $30, and 3GB data is $30, bringing this to a total of $129.99/month. There was no 2GB option, and using the $20/300mb option would incur too many overages. Alternatively, you could use the 450 minute plan + rollover minutes for $30 less per month.
Mobile Share - $45 for smartphone unlim talk/txt, $40 for 1GB of data, and $15 for a 1GB overage brings us to $100/mo.
T-Mobile: T-Mobile has one plan
$60/mo for unlim talk/txt, 2.5GB of high-speed data (unlimited thereafter, no overages).
Verizon: Only one plan, and it meets our criteria exactly.
Unlimited talk/txt on a smartphone for $40, plus $60 for 2GB of data, $100mo total.
AT&T has two plans that I wanted to focus on, with one alternative plan with lower minutes. The alternative isn't an apples to apples comparison, but it's not AT&T's fault that Verizon and T-Mobile don't offer more flexibility with their minutes.
Under AT&T's next program, you pay $0 down when you get a new phone, but you pay the full cost of the phone over 20 months. This would be a great deal on its own if they would remove the subsidy from the calling plan, but they don't. You still pay the phone subsidy, and then you pay for the phone. The perk here is that after 12 months (paying for 60% of the phone), you can trade in your phone for another $0 upgrade.
Using our iPhone 5 16GB example, you pay $0 down and an additional $32.50/month on your bill. Here's how the AT&T plans compare over 12 months with this method.
Voice, Messaging, and Data (unlimited minutes):
$0 down, $32.50/mo for the phone ($390)
$69.99/mo for voice ($839.88)
$30/mo for unlimited text ($360)
$30/mo for 3GB data ($360)
$162.49/mo
Grand total of $1,949.88 over 12 months with an initial phone and one subsequent upgrade
ALTERNATIVE - Voice, Messaging, and Data (450 minutes):
$0 down, $32.50/mo for the phone ($390)
$39.99/mo for voice ($479.88)
$30/mo for unlimited text ($360)
$30/mo for 3GB data ($360)
$132.49/mo
Grand total of $1,589.88 over 12 months with an initial phone and one subsequent upgrade
Mobile Share:
$0 down, $32.50/mo for the phone ($390)
$45/mo for unlimited voice and text ($540)
$40/mo for 1GB data ($480)
$15/mo for 1GB data overage ($180)
$132.50/mo
Grand total of $1,590 over 12 months with an initial phone and one subsequent upgrade
T-Mobile and Verizon each have one plan that truly fits into this comparison, so I'm combining them into one post. One again, we'll be using the 16GB iPhone 5 for this comparison.
T-Mobile separates the subsidy from the plan, which means that you'll be paying less for the monthly service plan, and you'll pay the full price of the phone, up-front or through a 24 month 0% financing program. As part of JUMP, you can upgrade twice at any time within a 12-month period by simply trading in your phone and paying the down payment for the new phone. Participation in this program requires a $10 monthly fee that includes their otherwise $8 insurance program.
T-Mobile Simple Choice Individual Plan:
$145.99 down, $20/mo for the phone (385.99)
$10/mo for JUMP participation ($120)
$50/mo for unlimited talk/text, 500MB high-speed data ($600)
$10/mo for additional 2GB high-speed data ($120)
$90/mo
$145.99 down for next similar upgrade
Grand total of $1,225.99 over 12 months with an initial phone and one subsequent upgrade
Verizon's Edge program is close to AT&T's in similarity, in that you're paying a double-subsidy. However, unlike AT&T, who requires at least 12 months and 60% paid off before your upgrade, Verizon requires 6 months and 50%. Their phone payments are spread over 24 months instead of 20. It seems (unsure) that you can actually pay your choice of $0 down, or the normal subsidy rate, which would get you the upgrade at 6 months as opposed to 12. We'll go with $0 and 12 months for this example.
Verizon Share Everything Plan:
$0 down, $27.08/$27.08 fluctuating per month for the phone ($325)
$40/mo for unlimited talk and text ($480)
$60/mo for 2GB of data ($720)
$127.08/$127.09 fluctuating monthly total
Grand total of $1,525 over 12 months with an initial phone and one subsequent upgrade
So, as a conclusion, here's the 12-month ranking from cheapest to most expensive.
T-Mobile Simple Choice Plan - $1,225.99
Verizon Share Everything Plan - $1,525
AT&T Voice, Messaging, and Data Plan (450 Minutes) - $1,589.88
AT&T Mobile Share Plan - $1,590
AT&T Voice, Messaging, and Data Plan (unlimited Minutes) - $1,949.88
Across the board, AT&T seems the worst, but to be fair, they give the most flexibility. They do not have a NEXT compatibile plan that offers unlimited talk and text with 2GB of data. So, I had to fudge their plans to give more data, or fewer minutes. Verizon and T-Mobile offer plans that fit the criteria almost exactly (2.5GB on TMO's plan), which is why they came out "ahead".
You can alter all of these plans to some degree. For T-Mobile, reducing the total cost by $120 ($10/mo) brings your data down to 500Mb of high-speed. I'm currently using this, and they are VERY generous with their post-500MB throttling. I've had no problems with basic tasks and web browsing, and even Pandora works with rarely a hiccup (while driving, no less). Or, you can go $120 in the other direction for truly unlimited data, and still come out cheaper than the plans from other carriers.
But for some, T-Mobile isn't an option. Verizon and AT&T are about the same in price between their Mobile Share and Share Everything Plans. Verizon's EDGE program requires a lower monthly fee for the phone to participate, so they will always be cheaper than AT&T in this regard. However, AT&T still offers their older plans, listed as Voice, Messaging, and Data. You can reduce the minutes as low as 450 + rollover, switch to pay as you go texting if you're not a big texter, and/or go down to 300Mb of data. Doing so will STILL cost more than T-Mobile's offering (unless you literally never send/receive a single text message outside of messaging apps). But, it will beat anything that Verizon offers.
So, what are the alternatives if you want to upgrade more quickly, but save some money? For AT&T and Verizon, the option is simple. Buy their phone on contract on subsidy, and when it's time to upgrade, sell the phone and buy a new one full price.
For Verizon, this is more costly when compared to AT&T, as CDMA phones have much lower resale value. For example, let's say that you bought the Galaxy S3 when it came out for $199.99, and now you want to upgrade to the Galaxy S4 ($649.99). Used SGS3s on Verizon are currently trading around the $200 mark. So, you'd sell it for about what you paid for it, bringing your 12-month cost to $1,849 after the cost of your new phone. The next year, though, you're upgrade would be at subsidy price, bringing your second year cost down to $1,200. You'd average an annual price of approximately $1,525, or, exactly what Verizon offers without having to go through the hassle of finding a buyer for your phone. So in this case, Verizon's plan is a fair deal. If you're an iPhone user, you'll get more money on your resale, making it worthwhile to sell and upgrade on your own.
For AT&T, you have the option of using branded handsets and unlocked handsets that have higher resale. You could sell an AT&T branded SGS3 for about $300. When you upgrade, you could opt for a lower-priced Nexus handset for $350. Alternatively, you can use AT&T's excellent new prepaid plan, which is $60/mo for unlimited talk, text, and 2GB of data. This brings them roughly on par with T-Mobile, except that you have to pay full price for the handset, and you have to sell it on its own. If you like T-Mobiles costs, don't mind paying up front, but need better nationwide coverage, this is the best plan out right now (among the big 4 carriers).
With T-Mobile, there's not much flexibility, but you're already at the bottom in price. As mentioned in the Conclusion post, you can move the annual cost $120 in either direction based on your high-speed data needs. You could forego the $10/mo JUMP program and just resell your old handset, buying a new phone either full-priced or financed through T-Mobile. Or, you could switch from their Simple Choice to their prepaid plan. They cost exactly the same on paper, but there is a cost difference. Simple Choice supports corporate discounts, while prepaid does not. Simple Choice carries the usual unfees, IE, fake taxes and fake regulatory charges, whereas prepaid only charges the sales tax associated with the seller (you can buy online refills from many sites with no sales tax). Our $80 Simple Choice 2-line plan costs $80 on paper, but after a 15% corporate discount and numerous unfees, it's $87.22. To get the same from prepaid, it's $80/mo flat from some places, or $87.60/mo with local sales tax. Prepaid doesn't carry the option of financing the phone, so it should only be considered if you always buy outright, and you have no eligible corporate discounts.
Good write up. Note, also, that in "changing the rules", I imagine that we might see cries of price-fixing, as there doesn't seem to be a viable way to shop a phone's price.
Sprint's upgrade program will be called OFF-THE in order to complete the sentence: JUMP OFF-THE NEXT EDGE
Sent from my ASUS Transformer Pad TF700T using Tapatalk 4 Beta
PAPB0007 said:
Sprint's upgrade program will be called OFF-THE in order to complete the sentence: JUMP OFF-THE NEXT EDGE
Sent from my ASUS Transformer Pad TF700T using Tapatalk 4 Beta
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If only I knew more people in real life who would appreciate this humor.