AT&T Rolls Out New 'AT&T Next' Smartphone and Tablet Upgrade Program

[iPagan]

Wheres the value for the customer??? Only advantage is deferring payment.

Well, if you are on a limited budget, the deferred payment is actually a huge advantage. Take me as an example. I'm currently still stuck on an iPad 1 with AT&T's grandfathered in unlimited data. I'd like to upgrade to the upcoming iPad or iPad mini--love the Retina screen, but I don't have the dough to pay upfront. So the payment divided into 20 installments is actually a great option to me!

I don't have a cell phone, so I don't know what folks are saying in that regard. But if you want to buy an iPad--regular or mini, the deferred payment is actually very alluring. Well, to me, at least.

 

[redscull]

I'm actually curious about the tablet plans though... Would I be able to get the latest iPad and pay monthly on it BUT only activate service when I need it? In that case it's basically an interest free loan AND a built in buyer/credit toward the next new one...

You know, that's a good point. Unlike my phone, my tablet, being unsubsidized in the first place, increases my monthly plan by only* $10. If the math works the same as the phones, a new 16GB LTE iPad each year would cost $31.50/mo +$10/mo service plan. That's $378 annually instead of $630. That's almost compelling.

* I still think even $10 is absurd when I get absolutely nothing for that except the convenience of not having to toggle on my phone's hotspot.

It's for people who want each year's update of their favorite phone.

Except that it's not a better deal. You'd pay less breaking your contract early, paying the fee, then selling the old phone.

 

[tasset]

This stuff is going completely the wrong direction.

Get the prices of phones down, like the Nexus 4.

Sell everything off contract.

Allow users to buy and use whatever phone they want on your network.

Attract users to your network, by making the network good.

The Big Two carriers are more interested in telling their shareholders they are a boutique day spa than the ones responsible for the plumbing underneath. I always wanted devices to get cheaper off-contract and had hoped Apple would deliver faster than this, much like the way iPods decreased in price year over year. But it appears AT&T wants to keep the baked-in subsidy of your device once it becomes he norm to decouple from the service.

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Wow, people can't seem to grasp the idea behind optional offerings. This isn't for people who are good at updating their phone each year, selling the old one. It's not for people who keep their phones for the full two years before upgrading. It's not for people who want a "bring your own phone" discounted plan.

It's for people who want each year's update of their favorite phone (iPhone, mostly). For those people, bitching about subsidies is meaningless, as they have no option anyway! And, yes, if they can do better elsewhere, they may as well. But this still comes out cheaper than buying an iPhone (or other phone) each year, if that's what you want, without hassle.

So, it's not for everyone. Cool, it's optional after all. But it's definitely going to end up saving some people a lot of money and/or effort.

Sure it's an option, now tell me my friend which option do you suppose the store flacks are going to be incentivized by headquarters to educate the customer on, and which do you think will get commercial time on TV with those adorable children? Hint: it's the new 'n shiny.

 

[panzer06]

AT&T offers a terrible deal. As many have already stated its like paying for the phone twice. Almost as stupid as sprint demanding a 2 year contract even if you bring your own device. Even Verizon knows better.

Right now T-Mobile is the best deal. If they get LTE deployed in the cities and upgrade all the rural and interstate areas to 3g you've got a winner!

Cheers,

 

[acarney]

You know, that's a good point. Unlike my phone, my tablet, being unsubsidized in the first place, increases my monthly plan by only* $10. If the math works the same as the phones, a new 16GB LTE iPad each year would cost $31.50/mo +$10/mo service plan. That's $378 annually instead of $630. That's almost compelling.

* I still think even $10 is absurd when I get absolutely nothing for that except the convenience of not having to toggle on my phone's hotspot.

Except that it's not a better deal. You'd pay less breaking your contract early, paying the fee, then selling the old phone.

Well I've got an att iPad that I bought from apple. I can do month to month data with no contract. I'm SUPER curious if they would let you do that with the idea of not losing any money on the deal and at least getting a device in your hands hoping you DO start signing up monthly for data. If you HAVE to do a monthly data contract then that's about 11 months of iPad data plans I DON"T currently use... So a bad deal for me

 

[Technarchy]

I'd have to see the full plan details.

A 16GB iPhone 5S upgrade will cost me $199 + ($161 x 12 months) = $2131 a year...

So what's this new plan going to cost if I choose to bundle the the cost of the iPhone 5S into my plan? More or less than $2131 a year?

Equal I can live with. Less is better. More is a no go. I don't need the expense just for an upgrade.

 

[EbookReader]

Line 1: $50 -------------(unlimited talk, unlimited text, 500MB of 4G speed, unlimited 2G)
Line 2: +$30 --------------(unlimited talk, unlimited text, 500MB of 4G speed, unlimited 2G)
Line 3: +$10---------------(unlimited talk, unlimited text, 500MB of 4G speed, unlimited 2G)
Line 4: +$10---------------(unlimited talk, unlimited text, 500MB of 4G speed, unlimited 2G)
Line 5: + $10--------------(unlimited talk, unlimited text, 500MB of 4G speed, unlimited 2G)

$100 for 4 lines = $25 per line

 

[mmomega]

After one year, do you have to pay any money for the new upgrade?

Also, after one year, are you required to sign a new 2-year agreement?

Can someone explain how this is a bad deal economically?

Example: I bought a new iPhone 4S, 1yr later I wanted the iPhone 5, I paid $100 early upgrade then $200 for the iPhone 5. = $300, now I have 2 phones.

ATT new plan, pay $390/yr and not own any phones.

Now if you take in to account you could sell your previous iPhone for at least $200, you would be upgrading for $100/yr rather than $390/yr.

 

[EbookReader]

This stuff is going completely the wrong direction.

Get the prices of phones down, like the Nexus 4.

Sell everything off contract.

Allow users to buy and use whatever phone they want on your network.

Attract users to your network, by making the network good.

NEXUS 4 isn't doing so well.

Only sold 3 millions thus far
http://www.unwiredview.com/2013/05/...pe-after-all-sold-3-million-nexus-4s-to-date/

 

[tasset]

I'd have to see the full plan details.

A 16GB iPhone 5S upgrade will cost me $199 + ($161 x 12 months) = $2131 a year...

So what's this new plan going to cost if I choose to bundle the the cost of the iPhone 5S into my plan? More or less than $2131 a year?

Equal I can live with. Less is better. More is a no go. I don't need the expense just for an upgrade.

Your current plan:
$199 upfront + $161 per month ($400 subsidy baked into your current plan over two years) and you get to keep/resell your device when the term is over

Proposed plan:
$0 upfront + $161 per month + $32.50 per month. After one year is up you either give them the phone back with nothing to show for it, or continue to pay $32.50 for an additional 8 months and keep it. So you are paying $150-$400 more than you would be by paying the $199 upfront.

 

[EbookReader]

AT&T offers a terrible deal. As many have already stated its like paying for the phone twice. Almost as stupid as sprint demanding a 2 year contract even if you bring your own device. Even Verizon knows better.

Right now T-Mobile is the best deal. If they get LTE deployed in the cities and upgrade all the rural and interstate areas to 3g you've got a winner!

Cheers,

T-Mobile LTE now reach 116 Markets And 157 Million People

http://www.tmonews.com/2013/07/t-mo...expansion-116-markets-and-157-million-people/

T-Mobile’s 4G LTE Network Rapidly Expanding

Having a great device means little without a fantastic network supporting it, so T-Mobile is also moving at incredible speed to make its already lightning-fast network even better and faster for customers.

Today, T-Mobile announced that its 4G LTE network now reaches 157 million people across the United States — far exceeding the company’s stated midyear goal of reaching 100 million people — and is live in 116 metropolitan areas.

Major metropolitan areas where T-Mobile’s 4G LTE network service has launched include New York, Los Angeles, San Francisco, Chicago, Boston, Philadelphia, Dallas, Seattle, Atlanta, Miami, and many others. The company debuted 4G LTE less than four months ago.

T-Mobile remains on target to deliver nationwide 4G LTE network coverage by the end of the year, reaching 200 million people in more than 200 metropolitan areas.
In addition, T-Mobile’s 4G HSPA+ network service is available to 228 million people nationwide. By combining 4G HSPA+ and LTE network technologies, T-Mobile can provide customers with a strong, seamless nationwide 4G network experience.

LTE: 157 million
HSPA+: 228 million

HSPA+ 1900Mhz refarming for iphone and other devices: 142 million (back in May 2013 so it's higher today)
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[macs4nw]

I don't really see how this is such a bad deal... Like in the example for a 16GB iPhone 5 you would end up paying $390. Provided the phone wasn't destroyed you'd get back $260 - Which equals $130 for the phone. Yeah, AT&T has their flaws but I don't think this is such a bad deal.

Hold on a minute, what they're saying is, you're paying $260 less for the phone over those 12 mos, than it's $650 purchase price; but you're not getting any $$ back. You're basically renting the phone for $32.50/mo for those 12 mos (on top of your monthly rate), and then have to return it. Only if you made the 20 payments, do you get to keep the phone. You save the activation fee, and always have the latest phone. Unless I'm totally wrong, that's my understanding of it.

"For customers purchasing a 16GB iPhone 5, they would pay $32.50 per month for 12 months, and could then upgrade to the latest iPhone -- trading in the previous device. They would pay $390 over that time, with the phone being bought back for the equivalent of $260. If the customer makes the 20 monthly payments, they can upgrade to a new phone and keep the old one".

 

[EbookReader]

One of the UK biggest carriers is launching this:

http://www.o2.co.uk/refresh

With O2 Refresh, your monthly bill is split into 2 parts:

Phone Plan
the cost of the phone phoneplan

Airtime Plan
all your data, minutes and texts airtimeplan

So when you want a shiny new phone, just pay off your Phone Plan. Choose which phone you want next, and then start again.

Paid off your Phone Plan, but don’t want a new phone just yet? Carry on paying just your Airtime Plan and have a lower monthly bill.

Following T-Mobile example....

 

[coolfactor]

There's currently some pressure growing in Canada against the Big 3 providers - Bell, Rogers, Telus - to get rid of the criminal 3-year terms. Furthermore, pressure for the rates to drop after the 3 years since the hardware has been paid off. Currently, after the 3 years, or if you bring your own device, you still pay the on-going subsidy price. It's a rip-off. So happy to hear this will be changing soon. Now to see 20-month terms in the US - wow! I would fully expect the monthly rate to go UP if the term goes down.

 

[tasset]

Tmobile was smart enough to wrap insurance into their JUMP plan. I wonder what AT&T will do when a customer brings a device all banged to hell or worse after 12 months? I suspect the people this scheme most appeals to are as good at device care as they are at math.

 

[tommyminahan]

I'd have to see the full plan details.

A 16GB iPhone 5S upgrade will cost me $199 + ($161 x 12 months) = $2131 a year...

So what's this new plan going to cost if I choose to bundle the the cost of the iPhone 5S into my plan? More or less than $2131 a year?

Equal I can live with. Less is better. More is a no go. I don't need the expense just for an upgrade.

The plan price does not change- this becomes an "equipment price".
the 16GB phone is $649 on ATT, so at 20months that comes out to $32.45 a month.
after a year that is $389.40..

so your current plan ($161+$32.45)x12 = $2321.40

effectively $190 more a year on the new plan.
now, granted you don't have to pay an upgrade fee, so take 36 off that. its still over $150 on the new plan a year.

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Tmobile was smart enough to wrap insurance into their JUMP plan. I wonder what AT&T will do when a customer brings a device all banged to hell or worse after 12 months? I suspect the people this scheme most appeals to are as good at device care as they are at math.

*Requires 20-month Installment Agreement and qualifying credit. If you cancel wireless service, remaining balance on device becomes due. 0% APR; no down payment. Sales tax due at sale. Wireless service agreement required (voice and data). Upgrade prior to 20 months: Requires minimum 12 installment payments, account in good standing, plus trade-in of current device in good and functional condition, and purchase of new device/wireless service agreement under then-applicable terms and conditions. After upgrade remaining unbilled installment payments are waived. Terms subject to change.

T&C on site say 'good and functional' condition. they will probably not give you anything if they deem it poor.

 

[Mr. Retrofire]

I haven't paid money for a phone out of pocket since I bought my first iphone.

iphone's don't lose resale value, hell they are worth more than the subsidized price when you sell it 2 years later.

Yes, if you have some strange dreams about the mobile phone industry. Thank god, that this is not my money!

 

[rmeadejr]

Tmobile was smart enough to wrap insurance into their JUMP plan. I wonder what AT&T will do when a customer brings a device all banged to hell or worse after 12 months? I suspect the people this scheme most appeals to are as good at device care as they are at math.

i went to the at&t website and read up on it and they will charge you to fix the phone.

 

[anomie]

Well, it seems T-Mobile is a lot like Apple in this situation. They disrupted the status quo and are changing the phone buisness as we know it. Now here come the copycats running so they don't get left behind.

You serious? Be assured the all have plans like this since years. This was just about who comes out first with it.
Btw this is definitely not changing the phone business at all.

 

[shurcooL]

No thanks. Never buying from carrier again. Direct from manufacturer only.

 

[Sean4123]

What a joke, You end up paying MORE over the course of 12 months then you would have upfront, and then you have to give the device back. You'd be better off opening up another line for a "12 month upgrade cycle" and paying the extra $10 a month. Thats what I have been doing for years, I just bought the AT&T Home Phone Connect thing to throw my other line on, gives me a phone on the wall which is nice and it would STILL be cheaper then doing this. And I get to keep the phones and sell them on my own terms, if I were in to that kind of thing.

The question i would like to ask AT&T, if you are doing this, and I am paying for more of the phone then I would have under the subsidy model, where is the money I am paying in to a subsidy going? This wouldn't be a complete sham if monthly service were cheaper.

I hope you realize that paying $10 a month on a ghost line and using that ghost line's upgrade for a $650 smartphone, working the system you are no better than AT&T.

AT&T is barely making their money back on that device, if they even are at all.

Don't expect that crap to last much longer.

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No thanks. Never buying from carrier again. Direct from manufacturer only.

Cool story, bro.

 

[dukebound85]

I hate this practice of double paying that is getting common

For. Instance, i am Mad when Xbox makes you pay for live so you can use your paid Internet to use a paid service like Netflix

 

[johnny5k]

AT&T is basically ignoring the fact that phones are already subsidized, and hiding it behind the guise of more frequent upgrades and no up-front costs.

Here's the math (using the always-newest iPhone as an example):

Current Option (DIY new phone every 12 months): You pay $200 + $36 activation to start out. After 12 months, you sell the phone on your own for around $300 and buy the new version unsubsidized for $650. At the end of the 2nd year you sell the 2nd phone for $300. You've spent a net total of $286 for 2-years of always having a phone that's never more than a year old.

AT&T Next: $0 up front & $0 activation, for $32.50 per month, or $780 over the course of 2 years when you trade up every 12 months.

So you spend an additional $494 over 2 years with Next vs. selling your phone yourself every year. Ouch.

That $494 comes out to about $20/mo - which is how much AT&T's plans already subsidize their phones.

This is a gimmicky version of T-Mobile's plan. It should cost $20 less per month to be reasonable. The current version is just an insane attempt by AT&T at a(nother) money-grab.

 

[darster]

One thing for sure, AT&T knows comedy. This another one of their jokes!

 

[iBreatheApple]

I'd rather have a ghost line for an added $10 a month, buy my devices subsidized and own them, and upgrade every year.