T-Mobile USA to Cease Offering Subsidized Device Pricing Options in 2013
Just as it announces that it will begin offering Apple products, presumably including the iPhone and iPad, next year, T-Mobile USA has also revealed that it will be restructuring the way it sells to customers by eliminating device subsidies and focusing on lower monthly plan costs. The plans were announced at Deutsche Telekom's annual investor conference today and noted by Fierce Wireless.
Currently T-Mobile offers Classic plans that subsidize the device and require a two-year contract and Value plans that let customers pay the full cost of their smartphones or pay it off in monthly installments in exchange for lower monthly plan rates. Legere said that in 2013 T-Mobile will eliminate its Classic rate plans that include device subsidies and instead only offer Value plans to customers.
Under one example for "the most iconic device in the world", Legere noted that customers might pay $99 upfront and then $15-$20 per month for 20 months on top of their monthly plan in order to pay off the full cost of the device. With the customer being responsible for the full cost of the device, T-Mobile can offer lower base plan pricing.
Legere did not provide specifics on the company's plans to offer Apple products, which was announced earlier today. However, he did say that when the company launches Apple's products, it will be dramatically different. He also said that T-Mobile had not made a volume commitment to purchase Apple products on size of what Sprint Nextel has committed to "or anything close to it." Sprint last year inked a four-year, $15.5 billion deal to sell the iPhone.
T-Mobile will become the last of the four major U.S. carriers to offer the iPhone, joining AT&T, Verizon, Sprint and a host of smaller carriers that have partnered with Apple on the device.
Popular Stories
A new Apple TV is expected to be released later this year, and a handful of new features and changes have been rumored for the device.
Below, we recap what to expect from the next Apple TV, according to rumors.
Rumors
Faster Wi-Fi Support
The next Apple TV will be equipped with Apple's own combined Wi-Fi and Bluetooth chip, according to Bloomberg's Mark Gurman. He said the chip supports ...
Apple will launch its new iPhone 17 series in two months, and the iPhone 17 Pro models are expected to get a new design for the rear casing and the camera area. But more significant changes to the lineup are not expected until next year, when the iPhone 18 models arrive.
If you're thinking of trading in your iPhone for this year's latest, consider the following features rumored to be coming...
Apple's next-generation iPhone 17 Pro and iPhone 17 Pro Max are only two months away, and there are plenty of rumors about the devices.
Below, we recap key changes rumored for the iPhone 17 Pro models.
Latest Rumors
These rumors surfaced in June and July:A redesigned Dynamic Island: It has been rumored that all iPhone 17 models will have a redesigned Dynamic Island interface — it might ...
The long wait for an Apple Watch Ultra 3 is nearly over, and a handful of new features and changes have been rumored for the device.
Below, we recap what to expect from the Apple Watch Ultra 3:Satellite connectivity for sending and receiving text messages when Wi-Fi and cellular coverage is unavailable
5G support, up from LTE on the Apple Watch Ultra 2
Likely a wide-angle OLED display that ...
iPhone 17 Pro and iPhone 17 Pro Max models with displays made by BOE will be sold exclusively in China, according to a new report.
Last week, it emerged that Chinese display manufacturer BOE was aggressively ramping up its OLED production capacity for future iPhone models as part of a plan to recapture a major role in Apple's supply chain.
Now, tech news aggregator Jukan Choi reports...
The iOS 26 public beta release is quickly approaching, while developers have recently gotten their hands on a third round of betas that has seen Apple continue to tweak features, design, and functionality.
We're also continuing to hear rumors about the iPhone 17 lineup that is now just about right around the corner, while Apple's latest big-budget film appears to be taking off, so read on...