Verizon CEO Open To Eliminating Service Contracts, T-Mobile Could Have Started a Trend

Verizon CEO Open To Eliminating Service Contracts, T-Mobile Could Have Started a Trend

You know, it's a funny thing -- it seems that while the Big Four compete against one another for wireless sales in the U.S., they sure don't offer a lot of differentiation. Each carrier charges roughly the same thing each money, offers roughly the same portfolio of phones, and after one carrier went all-in with shared data contracts, it looks as if the dominos are falling there as well. Now, there's word that Verizon Wireless may follow T-Mobile's "no contract" lead.


Verizon CEO Lowell McAdam recently stated that he'd be open to the thought of getting rid of contracts, but here's the thing: while T-Mobile doesn't do contracts, they still have a grip on customers. T-Mobile's scheme has you on the hook for monthly payments on whatever phone you select up-front, so even though there's no contract per se, you'll still owe T-Mobile a wad of money for that phone should you duck out early. Really, it's six in one hand and a half-dozen in the other. To T-Mobile's credit, this scheme is marketing well, and people tend to be falling for it -- or, at least paying attention to a carrier that has largely been left behind


So, while Verizon may go the same route, be careful before assuming that it's a pro-consumer move. Moving payments and fees around isn't the same as actually reducing the cost of phones and mobile services.
0
+ -

Does Verizon still have a problem with running data and voice at the same time? It's really the only reason I switched from them to AT&T when I got my first smart phone. Now that the contract is up I'm looking for better options.

0
+ -

yes and no. See when on 4g you can talk and surf but if your in an area with only 3g or less you cannot. 3g will disconnect during a phone call

0
+ -

yeah i wouldnt trust anything verizon does to be pro-consumer. if they emulate tmobiles plans they are going to somehow find a way to screw over the customers. I have to admit as much as i dislike they're prices and plans since i am actually with them and im grandfathered in to unlimited data i absolutely love they're 4g coverage and general coverage

0
+ -

I live in Arizona, rural Arizona, the attitude of the phone companies towards us is ridiculous, our town of 8000 doesnt show up on At&t's maps. on every major carrier's website they have a locator to see if your area is covered, our zip code isn't covered by anyone, we have to use AT&T and register as a city 30 min away just to use their service in an area thats not supported, completely devoid of 3g 4g or any sort of data what so ever.

0
+ -

Anything that happens will be one of those they tell you one thing and go with another. I had t-mobile for a good 6-7 years before I broke off with them. I used the prepaid plan they had so I could not be changed anything extra regardless and got the subsidized phone deals, unlimited calling/text/data/ect. I dropped my phone into the lake one day on my boat and so I kicked myself but I was due for a new phone anyways and this was literally they day after they started doing all this. 

So I called them up and was told that I had to buy a phone from someone else (not though t-mobile at all to keep my plan) or do their "no contract but monthly installments". I honestly flat out was about to do it then said screw it and asked to cancel. The rep didnt put a fight and just said since I already paid for the month that it would be turned off at the end and went with a different carrier. 

Anyways the whole thing to this story is it would have cost me about $10-15 more a month to buy a phone though then instead of going on ebay or craigslist and getting a new or used phone for cheaper.

0
+ -

Looking at changing from T-Mobile most likely in the near future the pricing part is good for me but even in a city with wide span service for some reason it seems like I loose, am sometimes missing calls and text messages even take 10-15 minutes if they come through at all not to mention sometimes not getting voice mail for a good while. I have recently gone back to work and am on the road all day moving around within the city so I a pretty much cover the North to central parts of Atlanta daily every day. SO coverage is a must have everywhere I will probably go back to Verizon whom I previously left two years ago in late may. Helps that I get a discount for AT&T, Sprint, and Verizon as well with Verizon being the largest of the three discount wise as well.

Login or Register to Comment
Post a Comment
Username:   Password: