Why Subsidized Phones Are a Rip-Off - General Topics

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?
Click to expand...
Click to collapse
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?
Click to expand...
Click to collapse
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.
Click to expand...
Click to collapse
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?
Click to expand...
Click to collapse
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.
Click to expand...
Click to collapse
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.
Click to expand...
Click to collapse
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
Click to expand...
Click to collapse
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.

Related

Is there an outright buy price on VZ?

I see VZ's site has the TP2 for 400 and something for "month to month" plan option.
Now I imagine this would entail atleast signing for the first month. Is there a way to opt out of even the first month?
I plan on using this as a travel phone, as I spend most of my time traveling... so no need to lock into a US contract.
Sure there is EBay, but if the phone has problems (dead pixels, etc)... then it's a hassle to try and get fixed, rather than something bought through an authorized channel.
unless I'm mistaken, which I don't believe I am, that's the outright buy it price. month-to-month pretty much means just that, paying month-to-month, not under contract. $489 is hard to believe too, given that the TP1 is above the TP2 month-to-month price, but whatev.
Wonder if I should just get a "2 year plan" then cancel and eat the $175 as the cost of doing business.
$199 + $79 for first month minimum plan + $175 cancellation fee = $453.
twostep said:
unless I'm mistaken, which I don't believe I am, that's the outright buy it price. month-to-month pretty much means just that, paying month-to-month, not under contract. $489 is hard to believe too, given that the TP1 is above the TP2 month-to-month price, but whatev.
Click to expand...
Click to collapse
You are correct. The full price of the TP2 is $489. That's how I bought mine. I am locked into a 2 year contract, but was sick and tired of my BB Storm so I went ahead and bought the TP2 full price. I have been waiting for this phone for a while so when I saw the price was under $500 I could not believe it. Not sure how it would go if you were to just buy it and have it on a month to month basis. Would they even allow that?
just buy the phone at the 2 year price and then pay the ETF. that is the cheapest way to go. i always buy my phones with out a contract. and no you wont have to pay the first month. if they give you any hassle about it then just tell verizon you will give the phone back under their worry free gurantee. 9 times out of 10 they will take your money!
The month to month is the buy it outright price....you'll have to go to a local store to actually get one w/o a VZW account (tell them it's for a gift). I just called and they added a line to my family plan and gave me the phone for $150 + tax, then cancelled the line and charged me $175 ETF so $325 total.
Thanks for the input. But I've been reading that they aren't available in the stores.
Or is that hogwash?
Finally decided to get this. Now I need some advice.
I can't find this on eBay. There are a lot of Sprint TP2s available but I prefer the Verizon one (cuz it's a looker)
My business partner in the Baltimore has had a Verizon connection for as far back as my memory goes. I'd like him to get this for me. Problem is he's pretty daft and a bit of a ***** when it comes to these things.
I need a step by step guide (literally like 1. Call Verizon, 2. Say hello you get the picture) as to how to go about ordering this from Verizon. I'd prefer if he could do it over the phone or the internet (He is registered on VZW website). Oh and lastly I don't want this to interfere with his line in anyway neither is he looking for a new line (unless we can get the phone and then immediately pay the ETF and cancel the connection.
Also can somebody re-confirm that the ETF is exactly 175.00 in Baltimore?
I like the idea of doing the ETF thing. So any help would be greatly appreciated.
If you pay full price for the Touch Pro 2 it will be $489.00 plus tax which will come out to a total of about $520.00. This is what I paid for it. And you don't get a mail-in rebate for the phone if you pay full price.
I could get it for a lot lower than that on eBay... once the stocks are back I mean.
Looking for something south of 450 though.
<<<BUMP>>>

[Q] T-Mobile Users: Contract Question/Details

Hey guys,
There's one thing I don't quite understand about both this forum and the T-Mobile forum that I'd like some clarification on. I typically see blocks of text from members similar to the following:
Well, I like my Nexus One a lot, but I find myself using my Vibrant on Wednesdays and my G2 on the weekend. I think I'll pick up a myTouch HD when it comes out too for giggles.
Click to expand...
Click to collapse
My question is: are you people throwing down out of contract prices for all of these phones or am I woefully ignorant of a better channel for buying them?
Just searching around today I've seen multiple people with a Nexus One and a Vibrant, and all I can think to myself is "Surely they didn't spend $1000 on phones..."
Also, as an aside, I noticed the differences between T-Mobiles Even More and Even More Plus plans, which seems to be $20 a month. I'm guessing if I did go with a G2 or a Vibrant under contract that my monthly bill would go up by $20 a month? Or, does that only matter on a new contract rather than an upgrade?
Some of them buy the phones new, off of e-bay or get them as testers. The difference in the even more and even more plus have to do with the phone discount. The cheaper plan you pay outright for the phone. To recieve the discounted phone price you pay the extra $20 a month.
Just talked to a rep today and looked at my plan more. I think I'm going to go for the Even More Plus 500. Right now I'm at loyalty unlimited with 1000 texts, but I'm only using around 300 anytime minutes and 100 texts. Going for the Even More Plus 500 keeps me at $60 a month.
If I factor in $20 a month more on my current plan under contract it means I'd be paying $480 + cost of phone over the lifetime, so it sounds like it's better off contract.
That aside, anyone else want to chip in on where they get their phones? Particularly people with 2-3 current Android devices?

[Q] Best place to upgrade 2 year contract (T-Mobile)

Hey guys my 2-year contract is up and I'm looking to renew it with T-Mobile. Are there any stores that offer a better promotion than others? For example, maybe at Best Buy they will give you a free case or something (I just made that up). I usually renew my contracts at official T-Mobile stores but I'm wondering if stores like Best Buy, Radioshack or any other electronic store that is affiliated with T-Mobile might give better deals.
I am a TMobile customer. The answer is, not really. Occasionally, but not often. Most of the big deals they were doing were during the holiday season.
Be sure to read tmonews.com. They have a nice rss feed and they list deals when they happen. Very good news.
Note that since your 2 year lease is up, you should consider a non-subsidized phone in the future due to the cost savings. Also, make sure you have a plan where you are not paying the hardware subsidy fee.
You may be able to change your plan now to something slightly cheaper. Even if it is only $5 cheaper, that is $60 per year.
jmomo said:
I am a TMobile customer. The answer is, not really. Occasionally, but not often. Most of the big deals they were doing were during the holiday season.
Be sure to read tmonews.com. They have a nice rss feed and they list deals when they happen. Very good news.
Note that since your 2 year lease is up, you should consider a non-subsidized phone in the future due to the cost savings. Also, make sure you have a plan where you are not paying the hardware subsidy fee.
You may be able to change your plan now to something slightly cheaper. Even if it is only $5 cheaper, that is $60 per year.
Click to expand...
Click to collapse
Wait I don't understand what you mean about hardware subsidy fee. I am in a family plan right now and I am planning to get four new discounted phones from the start of a new 2 year contract. Does T-Mobile add additional cost so I have to pay off the four phones in the length of 2 years?
Also, what if I purchase a discounted device for $200 and resell online for $400+?
kharnage said:
Wait I don't understand what you mean about hardware subsidy fee. I am in a family plan right now and I am planning to get four new discounted phones from the start of a new 2 year contract. Does T-Mobile add additional cost so I have to pay off the four phones in the length of 2 years?
Also, what if I purchase a discounted device for $200 and resell online for $400+?
Click to expand...
Click to collapse
bump

shattered my S4 screen

basically as the title says... I dropped my phone and shattered the screen at the top and bottom corners... it's still operable at the moment but it'll get worse over time. I have an upgrade available on my account that I can use or I could enter the Verizon edge program... I really don't know what i should do. it's obvious the edge program is only useful if I upgrade every ~12 months and I have a tendency to switch phones quite often but with a newborn son I may lose interest in upgrading/getting new phones so much... I'm mostly looking at the HTC M8 only because ive had the galaxy for a while and im ready for something other than touchwiz. use upgrade, pay 250 and sign another 2 year contract or enter Verizon edge program and pay nothing now and be able to upgrade again in a year... opinions?
Edge is regarded by most as a waste of money. you're always going to pay at least half of full retail, which is always more than the 2 yr contract price.
but more importantly, think about this: Maybe Edge is exactly what you want. Maybe you'll do it for the next 5 years and go thru 5 awesome phones. and then maybe then you'll want to save money and switch to another carrier. Hey, you're not on contract. go ahead. but if you get a high end device that's $700 full, and it's been 1 year, you've paid $350 so far, and you're still gonna owe $350 to cut loose, where as if you went the 2 year contract, you maybe for the phone paid $99 (instead of $350 over 12 months), and the ETF with Verizon will only be $230 so basically, you save, after the ETF, around $370. So Edge is great... for people who plan to keep doing edge/jump/whatever every year until they die, never changing carriers. Oh, and if a carrier (Tmobile) offers to buy out your contract and pay your ETF, guess what? an installment plan is not a termination fee. you're on your own, buddy. I'm not trying to sound overly dramatic, but that's the math, man.
finally, Edge is NOT "pay nothing up front". you pay tax on the full price, and you pay the first month's payment up front as well. since you're always billed one month in advance with Verizon, if you didn't pay the first month in store, you next bill would be 2 months worth of payments. Carriers take the first month up front to prevent bill-shock
so that's my feelings towards edge (I used to work in the Cell industry. quit late last year.). As for the M8, this phone rules. why? there's 1000 reviews already out there, so I'm not gonna bother with the why.
Well said .. covers everything.
TidusWulf said:
Edge is regarded by most as a waste of money. you're always going to pay at least half of full retail, which is always more than the 2 yr contract price.
but more importantly, think about this: Maybe Edge is exactly what you want. Maybe you'll do it for the next 5 years and go thru 5 awesome phones. and then maybe then you'll want to save money and switch to another carrier. Hey, you're not on contract. go ahead. but if you get a high end device that's $700 full, and it's been 1 year, you've paid $350 so far, and you're still gonna owe $350 to cut loose, where as if you went the 2 year contract, you maybe for the phone paid $99 (instead of $350 over 12 months), and the ETF with Verizon will only be $230 so basically, you save, after the ETF, around $370. So Edge is great... for people who plan to keep doing edge/jump/whatever every year until they die, never changing carriers. Oh, and if a carrier (Tmobile) offers to buy out your contract and pay your ETF, guess what? an installment plan is not a termination fee. you're on your own, buddy. I'm not trying to sound overly dramatic, but that's the math, man.
finally, Edge is NOT "pay nothing up front". you pay tax on the full price, and you pay the first month's payment up front as well. since you're always billed one month in advance with Verizon, if you didn't pay the first month in store, you next bill would be 2 months worth of payments. Carriers take the first month up front to prevent bill-shock
so that's my feelings towards edge (I used to work in the Cell industry. quit late last year.). As for the M8, this phone rules. why? there's 1000 reviews already out there, so I'm not gonna bother with the why.
Click to expand...
Click to collapse
soooooo..... get the m8 but use my available upgrade? lol...
I couldn't be happier with my m8.. I had the s4 previously the only down side is cropping photos with this camera it can be pixely. If you do get the m8 I recommend that you really look at where the speaker grill on top and bottom meet the screen. make sure it's flush this may be just me being picky but I have seen a few that were slightly raised above the screen and it kind of sticks out. Play some music and make sure the sound isn't distorted at a higher volume. I had a couple friends that noticed some static but had to make the trip back for an exchange. There are a number of threads about build quality you can read. sorry to hear your screen shattered on your s4.
Don't know where you get $250 from (unless you're not up for a new device), the M8 is $99 with 2 year contract.
TidusWulf said:
Edge is regarded by most as a waste of money. you're always going to pay at least half of full retail, which is always more than the 2 yr contract price.
but more importantly, think about this: Maybe Edge is exactly what you want. Maybe you'll do it for the next 5 years and go thru 5 awesome phones. and then maybe then you'll want to save money and switch to another carrier. Hey, you're not on contract. go ahead. but if you get a high end device that's $700 full, and it's been 1 year, you've paid $350 so far, and you're still gonna owe $350 to cut loose, where as if you went the 2 year contract, you maybe for the phone paid $99 (instead of $350 over 12 months), and the ETF with Verizon will only be $230 so basically, you save, after the ETF, around $370. So Edge is great... for people who plan to keep doing edge/jump/whatever every year until they die, never changing carriers. Oh, and if a carrier (Tmobile) offers to buy out your contract and pay your ETF, guess what? an installment plan is not a termination fee. you're on your own, buddy. I'm not trying to sound overly dramatic, but that's the math, man.
finally, Edge is NOT "pay nothing up front". you pay tax on the full price, and you pay the first month's payment up front as well. since you're always billed one month in advance with Verizon, if you didn't pay the first month in store, you next bill would be 2 months worth of payments. Carriers take the first month up front to prevent bill-shock
so that's my feelings towards edge (I used to work in the Cell industry. quit late last year.). As for the M8, this phone rules. why? there's 1000 reviews already out there, so I'm not gonna bother with the why.
Click to expand...
Click to collapse
I don't know where you get that he is going to pay $350 for the phone on edge the first year.
I just got on the early edge upgrade and they offer a $10/month discount off of the $25/month price.(That is for the 3 gig plan. Discount is steeper on higher data plans) So I am paying $15/month for my M8. I will have paid $180 for the first year. And then I can get a new phone.
BB has them for $199 on 2 year contract.
I know some think I am wasting my money with edge, but I will be able to get a new phone in a year.
Tell me how you can do that cheaper by buying?
85gallon said:
I don't know where you get that he is going to pay $350 for the phone on edge the first year.
I just got on the early edge upgrade and they offer a $10/month discount off of the $25/month price.(That is for the 3 gig plan. Discount is steeper on higher data plans) So I am paying $15/month for my M8. I will have paid $180 for the first year. And then I can get a new phone.
BB has them for $199 on 2 year contract.
I know some think I am wasting my money with edge, but I will be able to get a new phone in a year.
Tell me how you can do that cheaper by buying?
Click to expand...
Click to collapse
I'm not disagreeing with you, as EDGE is fine for people who upgrade a lot, and really isn't really that much of a waste of money as some make it seem, but I wouldn't say you are paying $15/mo for the M8. It's more like you're paying $25/mo for it, but you get $10 off per month from the bill itself.
Just taking in to account that they discount your bill by ~$10 (depending on data, again) even on More Everything plans, they're just trying to compensate for the fact that you are not in a contract, and thus, no subsidy.
I'm sure some reps are just saying, "and you get $10 off the monthly payment for being on EDGE" to entice people to sign up. If you were really paying $15/mo, it would take longer for you to pay off the phone... of course, I could be completely wrong, as I don't see the bill in front of me to see the break down, but that's just what I assume the breakdown is.
----
I feel like with EDGE it's almost a wash when comparing it with a 2-Year contract, though you can come out slightly ahead with a contract. If you upgrade a lot, and assuming a single line, then you can get a "cheap" phone for the first year, the sell it for ~ $250-300 (or more, depending on device of course), then the next flagship you pick up second hand from someone (saving tax at least). If you keep reselling in $300 range, it's almost the same thing as EDGE (paying off half to "edge up"). With EDGE, however, you save yourself the hassle of re-selling/shipping/etc.
brandogg said:
Don't know where you get $250 from (unless you're not up for a new device), the M8 is $99 with 2 year contract.
Click to expand...
Click to collapse
Just saw this on the Verizon site. The store I went to last night while working had a 250 price tag.
I'm still not sure what to do lol... I feel like if I really like a phone and I'm not ready to get rid of it after 12 months and keep it then I'm throwing money away...
The Verizon variant is completely unlockable right? Is there any ota upgrade I should avoid out of the box if I decide to get it?
Sent from my SCH-I545 using XDA Free mobile app
I wasn't aware of the $10 EDGE plan discount. I left before that started, I guess.
As for where to buy the phone, Amazon or Costco are generally the best prices, but sometimes bestbuy has a good sale going on. ($100 blue M7 the day it was released), I would never buy a phone from Verizon's corporate store or website.
The Verizon phone is unlocked by default. there is nothing the user needs to do. it's Verizon policy (yay!). As for the OTA upgrade, I'm pretty sure it doesn't matter, from what I've read, but I would just root the phone and flash the rooted update, anyway, to be safe.
TidusWulf said:
I wasn't aware of the $10 EDGE plan discount. I left before that started, I guess.
As for where to buy the phone, Amazon or Costco are generally the best prices, but sometimes bestbuy has a good sale going on. ($100 blue M7 the day it was released), I would never buy a phone from Verizon's corporate store or website.
The Verizon phone is unlocked by default. there is nothing the user needs to do. it's Verizon policy (yay!). As for the OTA upgrade, I'm pretty sure it doesn't matter, from what I've read, but I would just root the phone and flash the rooted update, anyway, to be safe.
Click to expand...
Click to collapse
Since when does Verizon release a phone unlocked from factory?! That's shocking. ??
Sent from my SCH-I545 using XDA Free mobile app
Powell730 said:
Just saw this on the Verizon site. The store I went to last night while working had a 250 price tag.
I'm still not sure what to do lol... I feel like if I really like a phone and I'm not ready to get rid of it after 12 months and keep it then I'm throwing money away...
The Verizon variant is completely unlockable right? Is there any ota upgrade I should avoid out of the box if I decide to get it?
Sent from my SCH-I545 using XDA Free mobile app
Click to expand...
Click to collapse
I think the M8 should be good for a long time, as most devices are, we just tend to want to upgrade/switch devices when the new one comes out =\
If you don't want to use up the upgrade, have you tried looking on Swappa for a used device?
** Factory unlock meaning for the SIM, you will still need to root and S-OFF on your own. Just to clarify haha
Powell730 said:
Since when does Verizon release a phone unlocked from factory?! That's shocking. ??
Sent from my SCH-I545 using XDA Free mobile app
Click to expand...
Click to collapse
All Verizon LTE phones are factory unlocked when you buy them. Been this way for a couple of years.
about 2 years, now. I think Verizon had to hit a certain population coverage percentage for LTE and it became mandatory by some FCC rule when they purchased the spectrum. sad that other carriers aren't also tied to this.
raichur0xx0rz said:
I think the M8 should be good for a long time, as most devices are, we just tend to want to upgrade/switch devices when the new one comes out =\
If you don't want to use up the upgrade, have you tried looking on Swappa for a used device?
** Factory unlock meaning for the SIM, you will still need to root and S-OFF on your own. Just to clarify haha
Click to expand...
Click to collapse
Ohh. Yeah I was referring to the bootloader not sim lol. I actually looked at swappA last night. Good deals but I'd rather use the upgrade as opposed to that site. I really just need to decide if I want to keep the phone for two years or buy it with the intent to upgrade again in ~1 year.
Sent from my SCH-I545 using XDA Free mobile app
i believe amazon has it for 99 with 2 year, and OTA is safe, i temprooted -> soff'd; took OTA then xposed/customized.
as for swappa, site is completely legit, have bought and sold on there. just read descriptions/pics and know what you are getting.

Total cost of ownership.

Wow, I probably should have done more research on this. Just got my first bill.
So for anyone else researching, the total cost (on AT&T) for an S3 watch over 3 years is $1068. And it's actually 21.50/month don't get fooled by the fake $10/mo quote.
$249 purchase price
$45 "activation" (lol)
$10/mo device fee
$1/mo "service fee"
$10.50 taxes/fees/mo (yes, you read that right that's over a 100% tax you're paying)
Over 3 years that adds up to $1068. My guess is only about 25% of people will still be wearing their S3 after 3 years.
It's kind of a rip-off, I probably wouldn't have bought if I'd thought about it a bit more. Caveat emptor. The big problem is the over 100% monthly fees and taxes.
$10 sounds reasonable, $20+ doesn't really and I would have probably balked. My own fault, I guess, but make sure you know this.
EDIT: OK, as I was fuming about this I checked my order email and due to corporate discount they were supposed to waive the $45 activation fee. They didn't, I assume because they are scumbags and just wait to see if you notice the incorrect charge and call. I called and they took it off, so that's.. umm.. nice I guess?
Ha yes. Same kind of experience. ATT rep told me it would be 10 bucks too and I would just share data off my unlimited plan for my phone. I signed up for the pre order of the watch at 349 out right so it was not on contract. Due to pre-order the $40 service activation was supposed to be waived. Got my bill sure enough it was on there. I chat with an AT&T rep over IM on their site. I did get the fee waived but still what a pain in the butt it raised my bill over $50 not 10. Will have to see what it is next month
Having taxes and fees that double the monthly bill does seem excessive... But, if you view the S3 as essentially a phone, its reasonable to expect to pay $20-30/mo for it's plan. If it's just a companion device for your smartphone, then fork over the extra $100 to buy it outright and cancel the plan.
The biggest complaint I have with regard to this watch is the eSIM, which restricts the carriers it can be used with, eliminating the possibility of using on an inexpensive MVNO plan.
Yeah. So, buy the bluetooth, non-LTE version and save about $768 over that same time frame.
Sent telepathically

Categories

Resources