Now I think we are touching on the bigger issue of contracts and their suckiness (its a word!). I understand contracts are in exchange for getting the phone cheaper - but one should be able to do with it as they wish when such contract is fulfilled.
Beyond that, contracts as a whole are ridiculous because of the pricing scheme.
Contracts look attractive to most people because you can get an iPhone 5 for 200 instead of 650 when one would probably being using their service for over a year anyway - so people say "sure why not." The problem is blatantly obvious you put a iphone next to an iPad - the cost to build are very similar yet an unlocked iphone costs more? This shows that buying unlocked comes at a "penalty" - as in its only priced that high to make contracts look more attractive at the 200 price. if contracts didnt exist, the could be reasonably priced at 300.
But most people don't realize this, they just look at the price tag. Kind of like those people on Black Friday that see a laptop for $149 - its a piece of junk but they don't investigate it, they just buy without question and deal with its crappiness later.
Im on contract now because its my parents contract but when it ends Im on my own and Im not about to have to have a bill forcefully put upon me for the next 24 months. Im going prepaid, and I was hoping to bring my iPhone with me. If not, I'll sell it, buy a used one that is compatible with the network Im interested in. I was looking to virgin and straight talk, and even Tmobile with its great first step in a new direction.
If all big three carriers eliminated contracts, phones would be cheaper (maybe not 200 cheaper but still reasonable compared to the 650 price) and plans would be more competitive.
