Verizon dies require you to purchase equipment that they approve to be connected to their network...correct. However, they do not require you to purchase the phone from them, or it be new, or any other alternative. That being said, if they offset that much money when they sell the phone, yes they can set the rate terms. Even if those rates differ from previous terms.

Btw love your responses to the other others in my argument. And what other companies do you hate due to them wanting to be profitable?

Yes, I drive a Lexus because it costs more to produce then a Chevy. Does Lexus profit greatly on their products? Probably, but I am willing to pay the premium for a better ride and luxury.

Come on people.