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MetroPCS and Virgin Mobile USA Locked in Court Battle

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Isn't that part of the risk...

crood

Sep 30, 2009, 2:10 PM
... of being a prepaid/no contract provider? People can leave whenever they choose. It was Virgin's choice to subsidize the phones without guarantee of recouping.
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Jayshmay

Sep 30, 2009, 2:23 PM
This is news to me, I thought Virgin is just another cheapo prepaid, they're phones are like what? $20 @ 7-11? I didn't even know they subsidize handsets. Heck, are they're handsets even expensive enough to be worth subsidizing?

Anyway, I'm a consumer kind of person, all I can say if the CONSUMER OWNS the handset, they can do with it as they please. I don't believe in contracts, I believe in earning business, not binding someone to a business.
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JeffdaBeat

Sep 30, 2009, 3:12 PM
Any phone that costs less than $100 or so dollars are subsidized. Handsets are expensive and in no way do they cost $20 or $40 to make. The reason prepaid subsidizes them and can do it without a contract is that pre-paid customers devote far more money per minute than post paid customers locked into a two-year contract. I want to say that within a few months of service, the prepaid company is able to recoup its discount because of how they pay.

I think the problem Virgin Mobile has is not Virgin Mobile customers fleeing to Metro PCS, but rather Metro PCS customers who damage or lose their phones taking Virgin Mobile phones to replace their own.

Also, if I am not mistaken, reflashing your phone voids any warranty...but who cars when yo...
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crood

Sep 30, 2009, 3:53 PM
I'm not someone who has a problem with contracts, ETFs, and such. If that's how some companies choose to recoup the price of the phones and customers go along to get a better phone than they'd pay full price for, that's fair.

Likewise, if a company chooses to forgo contracts and ETFs, that's fine too. However, if they provide inexpensive phones that can just be flashed to work on another network, then that's their problem. So long as the customer has not violated anything in purchasing the phone (e.g. they have to buy a certain block of minutes), then they're free to do what they want.

Now the article mentioned something about trademark issues. I'm not sure what those would be unless MetroPCS representatives are actually advising p...
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asLeepLessman

Sep 30, 2009, 4:57 PM
I thought it was regarding the fact that your Virgin Mobile phone (which is branded with a Virgin Mobile logo) is being used on a different provider. Using it isn't a issue, however, advertising it (MetroFLASH) is a issue. They are not saying you cant use the phones on a different provider they are saying you cant advertise our products on with your service.

Think of T-Mobile created a TmoFLASH service. TmoFLASH allows you to bring a (AT&T Branded) Iphone over to a T-Mobile store and they will unlock it so you can use it on T-Mobile.

Using a unlocked (AT&T Branded) Iphone on T-Mobile isn't a issue, but, T-Mobile advertising such a service would be.

I don't have to pay to advertise the phone, its capabilities or its pricing. AT&T wo...
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JeffdaBeat

Sep 30, 2009, 5:15 PM
AT&T will also unlock their own phones after a certain amount of time of using it as long as the phone is out of contract...don't know how that works though
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Versed

Sep 30, 2009, 7:50 PM
JeffdaBeat said:
AT&T will also unlock their own phones after a certain amount of time of using it as long as the phone is out of contract...don't know how that works though



After 90 days with account in good standing, AT&T will unlock on request.
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acdc1a

Oct 1, 2009, 9:22 AM
"Any phone that costs less than $100 or so dollars are subsidized."

Actually I disagree. Many of the lower end handsets run carriers about $50 these days.
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