Kevin Fitchard of GigaOm:

T-Mobile will shift entirely to its unsubsidized Value Plans, which offer customers far cheaper rates for voice and particular data. Traditionally carriers factor subsidies into their normal contracts rates – basically you’re paying a mortgage on your phone. With the Value program, T-Mobile is keeping the contract, but passing what it saves on subsidies back to consumer.

I, for one, really really really hopes this works. But my guess is that it won’t. Customers absolutely should be fine with paying more upfront in order to save a ton in the long run, but it never works that way. Instant gratification, and all that.

The finance part of the equation is certainly a wild-card, but that sounds awfully convoluted. My only hope is that it’s only slightly more convoluted than a two-year carrier contract. Also, that T-Mobile can get its head out of its ass and launches an LTE network sometime this decade.

  1. federiconano reblogged this from parislemon and added:
    Kevin Fitchard of GigaOm, via
  2. simonscomments reblogged this from parislemon and added:
    You should look into what happened in France when a fourth operator appeared with only unsubsidized contracts, cutting...
  3. prosperitytech reblogged this from parislemon
  4. roguecnidarian reblogged this from parislemon and added:
    LTE would be nice, but 3G would be better. Were I to bring my own phone over to their network right now, I’d only get...
  5. shaneguiter reblogged this from parislemon
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  7. punkassjim reblogged this from parislemon and added:
    The vast majority of smartphone users, if given the choice to purchase the phone up front — regardless of the benefits...
  8. parislemon posted this