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Cellphones Businesses Wireless Networking

T-Mobile Ends Contracts and Subsidies 404 404

Posted by Soulskill
from the reducing-complexity dept.
AlphaWolf_HK writes "In what I see as a refreshing change, T-Mobile, the fourth largest carrier in the U.S., has made sweeping changes to its service, ending both phone subsidies and service contracts. Its CEO said, 'Here's the deal: If we suck this month, go somewhere else. If we're good, stay with us.' As part of that change, the new base plan will include unlimited access, including voice, text, and data. Data will be restricted to edge speeds after 500MB with no overage costs, but can be upgraded to 2.5GB for $10, or unlimited for $20. Portable Wi-Fi hotspot usage is also unrestricted for no additional cost. In addition, LTE services just went live in eight markets. As is already standard practice with T-Mobile, you are free to bring your own device. To keep customers from having to front the full cost of the phone with unsubsidized plans, they'll let people pay off phones in installments. They're also getting the iPhone 5 next month for $650."
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T-Mobile Ends Contracts and Subsidies

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  • by linuxguy (98493) on Tuesday March 26, 2013 @05:51PM (#43285839) Homepage

    This is a bold step for T-Mobile and I hope that they succeed. However I am somewhat concerned as I have already seen too many people complain that they'd have to foot the bill for the full cost of the phone. The math would may prove to be difficult for people who are not good at it.

  • Spectrum cartel (Score:5, Interesting)

    by tepples (727027) <(tepples) (at) (gmail.com)> on Tuesday March 26, 2013 @06:06PM (#43286007) Homepage Journal

    Why is this? Other than 'muricans are dim fucks that put up with any shit?

    The problem is that one can't just start his own cell phone network, with blackjack and hookers [tvtropes.org], because an oligopoly of four companies have snapped up effectively all the spectrum in the cellular bands. One must either put up with what the spectrum cartel offers or do without cellular service. If you believe I've presented a false dilemma [wikipedia.org], please feel free to explain your third option [tvtropes.org].

  • by AlphaWolf_HK (692722) on Tuesday March 26, 2013 @06:17PM (#43286119)

    I think the down payment option is a good deal. However not everybody agrees, and I think the reason why is kind of stupid.

    Techcrunch basically attacks t-mobile over this one because if you want to change carriers, you're still stuck with a $600 (or whatever) phone, as opposed to a $350 early termination fee.

    http://techcrunch.com/2013/03/26/t-mobiles-uncarrier-pricing-isnt-so-different-from-the-contract-devil-you-already-know/ [techcrunch.com]

    I'm wondering if they have a bone to pick with t-mobile, because a few hours ago slashdot posted an article from them about how t-mobile UK are scamming customers with premium SMS.

    The only possible way I could see the light in this statement would be if you could bring that phone to any of the other major carriers. Sadly, as far as major carriers, your only other option is AT&T. Though you can get some pretty good deals with the MVNO's, their coverage isn't as good. Personally I'd prefer to just own the phone than be in a contract.

  • Re:They get it (Score:4, Interesting)

    by eudaemon (320983) on Tuesday March 26, 2013 @06:39PM (#43286321)
    Or if they just gave away local cell extenders for free instead of wanting to charge for them. I'd stick it in my attic just so my neighbors could benefit as well. But not if I have to pay to fix T-Mobile's coverage.
  • by VP (32928) on Tuesday March 26, 2013 @06:42PM (#43286343)
    The carrier who would be best positioned (at least in Europe) to offer a decent data roaming option due to their relationship with the German carrier of the same name, and who partially owns them, only provides the insane price of $15 per MB (yes, per megabyte) for international data roaming. For comparison, Verizon and AT&T provide 100 MB for $20...
  • Re:They get it (Score:3, Interesting)

    by MessageApprovalMan (2871053) on Tuesday March 26, 2013 @07:50PM (#43286879)

    Substitute "mobile computer that can make phone calls" for "phone" and your perspective may shift.

    Our mobile devices are more powerful than our desktops of 10 years ago, and the trend will only continue. Eventually we won't need separate "computers" or "game consoles" at all. Most point-and-shoot cameras, MP3 players, and PDAs have already been subsumed by "phones." What you get for your $650 is nothing short of incredible - even if it's more expensive than competing devices.

The universe is like a safe to which there is a combination -- but the combination is locked up in the safe. -- Peter DeVries

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