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Verizon ends discounted phones
On Friday, Verizon introduced new data plans that force customers to buy their phones in full or pay for it in monthly installments.
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Verizon users can choose between a small ($30/month for 1GB), medium ($45/month for 3GB), large ($60/month for 6GB), or extra-large ($80/month for 12GB) shared data plan.
Another $10 will be added to customers who want to connect other devices to Verizon’s network if they will connect a tablet and $5 for other devices, such as smartwatches.
All in all, why Verizon’s new plans will give customers the ability to switch from one plan to the next, customers will still have to pay more or less the same prices as they did before. Verizon’s More Everything Plan was $150, while T-Mobile charged $110 for a comparable plan.
Those with contracts paid $60 a month for 1 gigabyte of data and $90 for 3 gigabytes. Verizon has acknowledged that this is the first time such a payment scheme has been tested, and it will keep a close eye on the market to adjust prices to consumers’ needs. The customers won’t be offered subsidies on their phones.
Resistant to the idea just a few years ago, Verizon today formally announced that it’s killing subsidies and contracts entirely, and moving fully toward wireless device payment plans.
Users mostly preferred to get an iPhone 6 for $200 rather than the regular price of $649.
What many might notice most of all in regards to this completely revamped system is the fact that there are no single-line options and no family plants. There will be only 4 major data plans, starting August 13. Separating the cost of the plan from the cost of the device is arguably simpler in concept, but has led to a confusing rise in the number of plan options out there.
While the good news is you’re not stuck with a contract, you’ll need to pay full cost for a smartphone.
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Ever get that terrible, sinking feeling when thinking about your mobile contract? Typically, carriers would offer a smartphone at a substantial discount in exchange for a two-year contract.