I don’t play this game. I buy my own unlocked phone and find prepaid cell service at a fraction of the cost.
It won’t last, oligopolies are buying out mvnos to consolidate further. Maybe anti trust fear will halt them but doubtful.
There are still a ton of MVNOs though, and from what I can tell, MVNOs are generally not getting bought out by other telecoms, but by companies looking to diversify/transition their business. For example, Dish bought Ting and Boost, probably because they see their core offering (satellite TV) dying out w/ streaming taking over, and they want to diversify a bit. I’ve been seeing a lot of internet companies trying to offer mobile service, and it honestly doesn’t bother me if that’s the kind of consolidation we’re seeing.
Verizon buying Tracfone is a lot more troubling, but that seems to be more of the exception rather than the rule. I don’t necessarily like it because any acquisition tends to change the business model, but I don’t think it’s dangerous in any way, it just means customers may end up needing to shift around who they get service through to find what they’re looking for.
Yes, but some carriers lock the phones they sell so they only work with their subscriptions.
Why is prepaid service cheaper? I never understood why plans cost more. You would thing it would be the opposite.
Some reasons:
- prioritized traffic - if towers are congested, carrier customers get priority over prepaid customers
- name brand recognition - most have heard of Verizon, T-Mobile, or AT&T, few have heard of Tell, Ting, or RedPocket
- financing - you can get “free” upgrades from bigger carriers, whereas I pay cash w/ my prepaid service
- features - most big carriers support roaming (even international roaming), whereas those tend to be ala carte w/ prepaid
In short, you get a bit more hassle w/ prepaid, but you get a lot of savings. I pay <$10/month for my service (1GB data, unlimited text, 300 minutes call), and I could get unlimited everything for $25-30 (depending on prepaid carrier). I bought my phone for <$400, whereas cost is less of a concern for big carriers since they often offer financing issues. I hate monthly payments, so I prefer to buy devices in cash and keep my monthly service payments low.
Plus the bills are paid up front. No collections department, or write-offs. Plus you get to earn interest if the customer pre pays multiple months or a year in advance.
Basically, AT&T argues against it saying it’ll force them to innovate and be competitive with other services.
Won’t anyone think of the poor telecom shareholders??
All I see with that statement is, “Please Federal Government, hit me with your breakup hammer.”
https://crtc.gc.ca/eng/contact/phone/q19.htm
Canada:
First, locked phones are a thing of the past. Effective December 1, 2017, service providers will have to offer unlocked devices to their customers.
What are the benefits of having an unlocked device?
An unlocked device can be used on other networks, which means that you will be able to switch providers and keep the same phone. That means more flexibility for you, the consumer.
I want to reiterate this. Even second hand phones. Find the carrier and call them. They legally have to oblige.
I remember trying to do this when this first became law. Bell told me no anyways.
Just make carrier locking illegal and have customers pay the actual price, now it’s just hidden costs to the consumer.
It isn’t been a hidden cost for a while. Phone companies sell the phones at full price, but consumers want the 2 year 0% APR financing.
If consumers bought the phones from a third party, there’d be absolutely no reason to lock the phone to a carrier. But when carriers also provide the financing, there’s an incentive to keep them on the service until the bill is paid. Screw that.
If I could drop $1000+ for the device all at once, I already would be getting them carrier unbranded.
You’re going off of phone contracts that haven’t been around for a decade. The cost of the phone up front, and has been for a long time.
They lock it so you’ll pay for the phone. That’s the only reason.
Should requiring people to pay for things be illegal?
Frankly you’re being ignorant, and expect to somehow get a thousand dollar device for free. That’s not how the world works.
I accidentally broke my Sony after drowning it a little too hard. I remember going into a AT&T store at a mall in the us and having this literal conversation.
“Do you have the Pixel 7 Pro?”
“Yes! We do.”
“Does it come carrier unlocked?”
“No…”
“Thanks for your time”
I usually just buy my phone directly from a big box store never from a carrier
Same, and phones are good enough now that I feel perfectly comfortable buying a device that is two generations behind. I recently saved nearly $1300 by doing this ($1800 when it was new; I paid $550), and the phone feels just as fast and responsive as a brand new flagship.
I get all mine on eBay. There are some big-time sellers who are pros at reselling old phones and give an honest A-D rating. Same goes for PCs. Buy from the pros if you’re wary of the average Joe.
Exactly. I bought my Pixel 8 refurbished on eBay, and everything came as expected, and honestly in better shape than I was expecting. Find someone with good reviews, check for recent bad reviews, and then go for it. I paid <$400 and feel like I got a really good deal (I also stacked w/ an eBay discount, which rocked).
I bought my last phone new from Google Fi (fantastic deal) then transferred to a cheaper service after the required time, and the two phones I got before that (my SO’s and mine) were also from eBay. It’s a great way to go, just be careful and don’t buy something at the absolute lowest price since there’s probably a reason they’re advertised cheaper than the pack.
