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What are the Advantages of a No-Contract iPhone 5?

C

CoMoMacUser

macrumors 65816
Original poster
Jun 28, 2012
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The answers probably will vary by country, but in the U.S., where I live, I'm not sure what the advantage is.

Suppose that I pay $649 for an unsubsidized iPhone 5 16 GB. To recoup the $450, I'd need to find a plan that's at least $18.75/month less expensive than what I could get going the traditional subsidy-and-contract route. The forthcoming T-Mobile iPhone plan, for example, will save $20/month, so the savings over two years works out to $30. That's not a huge savings.

So unless I can save a lot more than $30 over two years, what's all the fuss about?
 
C

CoMoMacUser

macrumors 65816
Original poster
Jun 28, 2012
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When Sprint PCS launched, it tried to break the mold by eschewing subsidies. That lasted about 5 minutes, about as long as its GSM network.
 
F

forcetactic

macrumors 6502
Jul 30, 2010
478
7
Straight talk is $45 a month and ATT is close to $100 for an individual line. Of course you don't get LTE but the savings is huge
 
6

617aircav

Suspended
Jul 2, 2012
3,975
818
CoMoMacUser said:
The answers probably will vary by country, but in the U.S., where I live, I'm not sure what the advantage is.

Suppose that I pay $649 for an unsubsidized iPhone 5 16 GB. To recoup the $450, I'd need to find a plan that's at least $18.75/month less expensive than what I could get going the traditional subsidy-and-contract route. The forthcoming T-Mobile iPhone plan, for example, will save $20/month, so the savings over two years works out to $30. That's not a huge savings.

So unless I can save a lot more than $30 over two years, what's all the fuss about?
Click to expand...

The fact that you are not stuck in a two year contract is an advantage to some. They can switch carriers as they see fit.
 
C

crispytreat

macrumors member
Oct 29, 2007
38
3
forcetactic said:
Straight talk is $45 a month and ATT is close to $100 for an individual line. Of course you don't get LTE but the savings is huge
Click to expand...

This is why I switched from AT&T 6 months ago. I started out on a 4 and pick up a 5 a couple weeks ago. I am a happy camper. If T-Mobile gets there network together I may switch to them. These are the 2 factors that I value, a lower monthly bill and the freedom to change carriers when I want.
 
C

CoMoMacUser

macrumors 65816
Original poster
Jun 28, 2012
1,022
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Shelling out $650 for an iPhone 5 and then signing up for 3G rather than LTE seems odd, like buying Apple TV and then signing up for 1.5 Mbps DSL because it's cheap.
 
M

Mrbobb

macrumors 603
Aug 27, 2012
5,009
209
CoMoMacUser said:
Shelling out $650 for an iPhone 5 and then signing up for 3G rather than LTE seems odd, like buying Apple TV and then signing up for 1.5 Mbps DSL because it's cheap.
Click to expand...


I got WIFI at home, WIFI at work, I really only need to use my cellular data so *occasionally* hell even edge <gasp!> may suffice 4rme. I can't buy a dumb phone because they don't do data at all, and the "other" smart phones, well, don't work as good, smooth, seamless like the iPhone so that's what I got, but hell why pay the carrier if I don't have to?

Camp1: Heavy cellular data user - indeed it does you no good to pay full price.

Camp2: We know what we do, we know how much we want to pay as the total (2 yrs) cost of ownership.
 
M

Mr Hill

macrumors 6502a
Apr 28, 2012
500
1
Charlotte, NC
Once T-Mobile gets one it will no longer make sense to buy one out of contract.

The only time it is a good idea is if you plan on using T-Mobile prepaid or an MVNO like Straight Talk or Simple Mobile. You won't have LTE either since the Big 4 will not allow prepaid or MVNOs to use their LTE networks.
 
GoCubsGo

GoCubsGo

macrumors Nehalem
Feb 19, 2005
35,741
153
CoMoMacUser said:
Shelling out $650 for an iPhone 5 and then signing up for 3G rather than LTE seems odd, like buying Apple TV and then signing up for 1.5 Mbps DSL because it's cheap.
Click to expand...

This girl nailed it! Why bother if you're only going to have 3G?
 
C

CoMoMacUser

macrumors 65816
Original poster
Jun 28, 2012
1,022
330
Mrbobb said:
I got WIFI at home, WIFI at work, I really only need to use my cellular data so *occasionally* hell even edge <gasp!> may suffice 4rme. I can't buy a dumb phone because they don't do data at all, and the "other" smart phones, well, don't work as good, smooth, seamless like the iPhone so that's what I got, but hell why pay the carrier if I don't have to?
Click to expand...

An iPod Touch might be the way to go if you live in a city where there's enough hotspots that you could skip cellular altogether. LTE modems cost at least $125 in the volumes that Apple buys. Add in the markup, and that's a lot of extra money for something used only sparingly and then only on 3G or EDGE.
 
I

isephmusic

macrumors 6502
Oct 31, 2012
416
0
2 years on atnt contract = 2.5k + 200 phone
2 years on straight talk unlimited 45$ = 1.08k + 670$ phone

pretty legit savings if you ask me
 
XboxMySocks

XboxMySocks

macrumors 68020
Oct 25, 2009
2,230
198
Okay then regard this.
I pay $23 a month on Rogers on an iPhone 5. This includes pay-for-use data (LTE) which is used maybe 1-2x a month at $1 per day usage. HUGE. Savings.
 
M

Mrbobb

macrumors 603
Aug 27, 2012
5,009
209
CoMoMacUser said:
An iPod Touch might be the way to go if you live in a city where there's enough hotspots that you could skip cellular altogether. LTE modems cost at least $125 in the volumes that Apple buys. Add in the markup, and that's a lot of extra money for something used only sparingly and then only on 3G or EDGE.
Click to expand...


Roger that. But even occasional I do need it from time to time and I've been looking forward to merge my iPod and phone into 1 device for a long time.
 
C

CoMoMacUser

macrumors 65816
Original poster
Jun 28, 2012
1,022
330
Mrbobb said:
Roger that. But even occasional I do need it from time to time and I've been looking forward to merge my iPod and phone into 1 device for a long time.
Click to expand...

A couple of years ago, Sprint sold a ZTE modem sled for the iPod Touch that basically turned it into an iPhone sans circuit-switched voice. I considered it.
 
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