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Sprint Charging $10 Fee to Nextel Subs Who Don't Upgrade

Article Comments  26  

Nov 28, 2012, 3:55 PM   by Eric M. Zeman

Sprint Nextel has begun notifying its iDEN Nextel customers that they will be charged an extra $10 per month beginning January 1, 2013. Sprint has already announced plans to shut down its iDEN network no later than June 30, 2013. Despite this looming shut-off date, some Nextel subscribers have yet to transition to CDMA-based devices and services. The new fee will be added to all remaining Nextel iDEN and PowerSource lines of service for each month the service remains active until the June 30 shut-off date. Sprint confirmed to Phone Scoop that the price increase does not apply to customers and/or devices using Sprint's nationwide CDMA network. Sprint spokesperson Mark Bonavia said to Phone Scoop in an email, "Customers that migrate prior to January will likely find a price plan comparable to what they have now. They are also eligible to receive a variety of very attractive device offers." According to Sprint, its CDMA-based DirectConnect service offers three times the service footprint that its iDEN PTT service does. Sprint hopes to refarm the 800MHz spectrum used by its iDEN network for enhanced CDMA voice services.

source: Sprint


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Dec 18, 2012, 11:35 PM


I apologize if this has already been covered, but does anyone know if this new fee will allow customers out of thier contract without penalty?

Thanks for the help.

Nov 28, 2012, 5:06 PM

Patiently waits for Sprint to post this on our internal systems

I read this a week ago, must be looking in the wrong place. I forgot where I saw it though!

Nov 28, 2012, 8:59 PM

Hesse Making Lemonade Out of iDen Lemons

The acquisition of Nextel eight years ago was one of the top ill conceived mergers of modern business history to paraphrase Forbes magazine at the time.

Hesse walked into a nightmare (as iDen was not Sprint's only issue at the time he took the helm by far) and took action and turned the sinking ship around.

- Increased Subscriber Base
- Took the CSAT from dead last to be tied with VZW for 1st.
- Increased RPU
- Decreased Churn Rate
- Not only lowered the Port out rate but have been migrating subscribers steadily fron AT&T and VZW.
- Turned a profit (positive contributions to the EBITDA and OBITDA)
- Raised Net Promoter Score.
- Raised Stock value from nearly being junk bond status

Offloading Nextel iDen dead weight is one of ...
MadFatMan said:
Kudos Mr Hesse for being the driver of these successful changes!

You forgot to mention that Sprint LOST 16 MILLION CUSTOMERS, most of them AFTER Hesse took over.

Some improvements in customer serv...
They haven't made a profit yet, the best they've been able to do so far is just to reduce the losses.....unless they made a profit in Q4 2012 and I haven't read about it yet, which seems unlikely given how closely I follow wireless industry news.

Nov 28, 2012, 9:41 PM

Why Stop At $10?

If this is legal then why not go for the gusto and charge $50 extra?
Because then, instead of driving people to their CDMA services, Sprint would just drive them to other carriers.
Great feedback!

You see, from a business prospective; a subscriber will pay the $10 MRC although NOT happy about it this would encourage them to migrate to CDMA sevices. As the point of any fee is to encourage desired behaviors much like a shock c...
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