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Sprint CEO says he may drop phone subsidies in 2015


joshnys8913
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I am actually glad to hear this might actually happen.  I know a lot of people hate subsidies and I dont blame them, they were good for back in the 2000s but this is 2014 and A LOT has changed since then. I think Claure is on to something and he is willing to put up a fight with the other carriers and thats good!! I am all for change if it makes sense and it helps out current customers and potential new customers with pricing and phone selection/installments.  :tu:

 

http://www.cnet.com/news/sprint-ceo-says-he-may-drop-phone-subsidies-in-2015/

 

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I am actually glad to hear this might actually happen.  I know a lot of people hate subsidies and I dont blame them, they were good for back in the 2000s but this is 2014 and A LOT has changed since then. I think Claure is on to something and he is willing to put up a fight with the other carriers and thats good!! I am all for change if it makes sense and it helps out current customers and potential new customers with pricing and phone selection/installments.  :tu:

 

http://www.cnet.com/news/sprint-ceo-says-he-may-drop-phone-subsidies-in-2015/

I'm not. I don't want payment installments added on top of my bill. I would rather keep it the exact same and just pay my one time fee with my phone trade in which is usually $100 or less. Pass.

 

Edit: I would probably just go to best buy or order online. Wherever it allows me to just renew my contract lol.

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If he goes through with this it may end up being painful for Sprint unless he can offer some quality phones for cheap.

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I'm not. I don't want payment installments added on top of my bill. I would rather keep it the exact same and just pay my one time fee with my phone trade in which is usually $100 or less. Pass.

 

Edit: I would probably just go to best buy or order online. Wherever it allows me to just renew my contract lol.

Agreed. I was able to pay $50 with my upgrade for my Note 4 at Best Buy using their $200 trade-in promotion and other gift cards I had. Now I'm just paying for my service (with the built-in subsidy, of course) for the next two years, instead of paying for service plus a phone installment. With my employer discount, I'm paying less per month than I would with the $60 unlimited + phone installment.

 

Sbusidies/contracts actually benefit some customers, which is why I continue to do them despite many people claiming they're not good. Everyone's case is different and choice is a good thing.

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I'm not. I don't want payment installments added on top of my bill. I would rather keep it the exact same and just pay my one time fee with my phone trade in which is usually $100 or less. Pass.

 

Edit: I would probably just go to best buy or order online. Wherever it allows me to just renew my contract lol.

Well not everyone is going to have $600 to $800 to drop on a new device and if they did they still may not want to spend it all at once, so nothing wrong with having that option.  As a matter of fact, not having that payment option will probably be suicide for sprint if they go to the non subsidy model only.

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Agreed. I was able to pay $50 with my upgrade for my Note 4 at Best Buy using their $200 trade-in promotion and other gift cards I had. Now I'm just paying for my service (with the built-in subsidy, of course) for the next two years, instead of paying for service plus a phone installment. With my employer discount, I'm paying less per month than I would with the $60 unlimited + phone installment.

 

Sbusidies/contracts actually benefit some customers, which is why I continue to do them despite many people claiming they're not good. Everyone's case is different and choice is a good thing.

Exactly. It'll work for some people. I just hope they still leave the option for me to renew in 2 years...that and all the new family share pack customers. 

 

Well not everyone is going to have $600 to $800 to drop on a new device, so nothing wrong with having that option.  As a matter of fact, not having that payment option will probably be suicide for sprint if the go to the non subsidy model.

 

True. I don't have 6-800 bucks to drop on a phone, which is why I rely in 2 year contract plans. I trade in my iPhone and this year they gave me a very decent price for it. Or I sell it and use the money towards the next device or to pay off most of the credit card I put it on lol.

 

Having options is always nice, I just hope they allow those who wish to stay in a 2 year to stay in a 2 year contract plan.  I don't want to be nagged at to switch to whatever they have next, like they tried to do with framily which ultimately would have ended up costing me a lot more money.

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Exactly. It'll work for some people. I just hope they still leave the option for me to renew in 2 years...that and all the new family share pack customers. 

 

 

True. I don't have 6-800 bucks to drop on a phone, which is why I rely in 2 year contract plans. I trade in my iPhone and this year they gave me a very decent price for it. Or I sell it and use the money towards the next device or to pay off most of the credit card I put it on lol.

 

Having options is always nice, I just hope they allow those who wish to stay in a 2 year to stay in a 2 year contract plan.  I don't want to be nagged at to switch to whatever they have next, like they tried to do with framily which ultimately would have ended up costing me a lot more money.

I understand what you are saying, I am on an older plan as well and I will try to ride it out as long as I can but I am sure sprint will try their best to get everyone off of the older plans because they are far less profitable especially if you are on one of those family plans with multiple lines.

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Sprint CEO says he may lose my account in 2015

 

No 2-year contract, no sale. I have no interest in a rate hike, which is what it would end up being for me.

Who will you go to?  Sprints newer plans are currently cheaper than the competition.

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Guys, the point of dropping subsidies is to start forcing subs to pay for their own devices.  It should be an all in proposition; otherwise, it would not have the desired effect.  So, if Sprint makes this move, there will be no contract subsidy option, and you will just have to deal with it.

 

AJ

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I understand what you are saying, I am on an older plan as well and I will try to ride it out as long as I can but I am sure sprint will try their best to get everyone off of the older plans because they are far less profitable especially if you are on one of those family plans with multiple lines.

;)

 

$56 bucks a month per line, 4 lines 1500 shared minutes and unlimited text and data. I'll ride it out as long as I can.

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I dont under stand the issue. Why pay 200 front for an iphone and 80 a month instead of 0 up front and 70 (lease) or 77 (easy pay). The times when it cost more a month like with a note 4 which is 90 a month you have to consider you saved 300 up front and will pay 10 a month more/240 over the 2 years. Thats a $60 savings over the life of payments and every month you keep it longer you are saving 30 every month.

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I'm not. I don't want payment installments added on top of my bill. I would rather keep it the exact same and just pay my one time fee with my phone trade in which is usually $100 or less. Pass.

 

Edit: I would probably just go to best buy or order online. Wherever it allows me to just renew my contract lol.

If subsidies go away you won't be able to renew your contract through any Chanel. Can't wait for that day,

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If subsidies go away you won't be able to renew your contract through any Chanel. Can't wait for that day,

 

People who have to finance their devices may still be able to sign contracts with third parties.  But those contracts will be solely for the devices, not for actual wireless service.

 

AJ

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The other thing to look at here is if they get rid of the subsidies, there might be better competition from phone manufactures to lower their price points.  

 

Yes, correct.  Subsidies have helped maintain artificially high handset prices -- because those costs are hidden in the overall wireless service costs.  Eliminating subsidies pulls back that curtain, forcing everyone to realize that their iPhones do not cost $200.  They cost $700, and that is too high.

 

AJ

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The other thing to look at here is if they get rid of the subsidies, there might be better competition from phone manufactures to lower their price points.  

BINGO!!!!!

 

Unfortunately though, if all the carriers don't go all in with doing away with the subsidy model then sadly this won't happen anytime soon.

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People who have to finance their devices may still be able to sign contracts with third parties. But those contracts will be solely for the devices, not for actual wireless service.

 

AJ

Sure. But to my knowledge it hasn't happened yet and T-Mobile has been subsidy free for almost two years now. It is hard to see what a third party would have to gain but this is a realitivily new model so all sorts of things are possible.

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Sure. But to my knowledge it hasn't happened yet and T-Mobile has been subsidy free for almost two years now. It is hard to see what a third party would have to gain but this is a realitivily new model so all sorts of things are possible.

Third parties would still gain in the same way, it doesn't matter if its a device contract or a service contract, a commitment is a commitment and third parties will still get their commissions regardless.

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I don't see this being beneficial for consumers until all devices are like the nexus 6 compatible with all nationwide carriers. So if I purchase a device from Carrier A and don't like their service I can try Carrier B, C, and D after paying off my device.

 

Sent from my Nexus 5

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If subsidies go away you won't be able to renew your contract through any Chanel. Can't wait for that day,

Lol. I will work with whatever I have. If I have to change my plan or am forced into another, then so be it. But I am still going to ride my ED plan out the longest I can. Can you blame me for sticking around for the pricing and unlimited data offer (despite me hardly using over 4 gb a month).

 

Eliminating subsidies will help all phones go down in pricing, not just iPhone. They're all over priced. 

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