Sprint Taking 'Wait-and-See' Approach to Phone Financing
Sprint CEO Dan Hesse today said that company is paying attention to what its competitors are doing with respect to handset financing. For example, T-Mobile has announced plans to change its subsidy model to a financing model, requiring customers to make a downpayment for a new handset at the initiation of a new contract followed by monthly payments for the device on top of the contract cost. For the moment, Sprint has no immediate plans to change the way it subsidizes handsets. If Sprint's competitors are successful with their monthly installment plans, however, then Sprint could move quickly to adopt the financing model. Most wireless network operators offer handsets at discounts called subsidies. The carrier hopes to recoup the subsidy over the course of the contract. Reducing handset subsidies, especially for costly devices such as Apple's iPhone, could help Sprint improve its finances. Sprint also noted that it expects to be "competitive" with AT&T and Verizon Wireless with respect to its LTE 4G network by the second half of the year. It expects to cover about 200 million POPs with LTE by the end of 2013 or early 2014.
Apple Debuts Its Own iPhone Upgrade Program
Apple will let consumers lease an iPhone directly from Apple itself in a change that reflects the current dynamics in the U.S. wireless market.
Sprint to Cease Offering Contracts By Year's End
Sprint will soon stop asking customers to sign two-year contracts when purchasing new phones, says the Wall Street Journal. The change coincides with moves made by its competitors, including T-Mobile and Verizon Wireless.
Sprint Confirms No More Contracts Starting Today
Sprint said beginning January 8 new customers will not be able to buy handsets at subsidized prices by signing a contract. The company is following the industry trend of moving toward installment-based options for financing handset costs.
Sprint Brings Back Two-Year Contracts - With A Catch
Sprint has reversed its position on contracts and starting today began offering them again as an option to customers purchasing new equipment. Sprint customers can pay full price for phones, lease them, break payments up over time, or sign a two-year contract to purchase phones at subsidized prices.
AT&T CEO Believes Phone Subsidies Will Eventually Vanish
Phone subsidies and two-year contracts are on their way out the door, according to Ralph de la Vega, AT&T's CEO of mobile and business solutions. "I think it is one of those options that is going to go away slowly," said de la Vega to Recode, "not because we insist on it but because customers will choose it less often." AT&T has made changes recently to limit the availability of subsidies and contracts.
what I took out of this is....
Until the FCC puts up the nationwide WiFi network they keep talking about, that has the US wireless carriers and cable/broadband companies pooping bricks
This would be the best thing that could happen to the industry.
Would this even work? The 2.4Ghz and 5Ghz bands are unlicensed, if they set up a powerful nationwide wifi network, there will be HUGE interference issues. I'd really, really be i...