Exactly.
People used to go for the "free" iPhone for the exact same reason. They really believed the carrier was giving them a free iPhone. How nice of them!
You and I know it was actually "
no money today... but you WILL pay $450 for this 'free' iPhone"
In the case of your friend... did you explain to him that his $300 was only a down-payment and that he actually paid the other $450 over the course of two years?
You're right... it was absolutely an illusion. It was clever trickery that the US carriers did for the last 20 years.
So why did they get rid of contracts and subsidies? It was working so well... but now people are losing their minds.
I think it all started with T-Mobile and their "uncarrier" movement. They said "
No more contracts!" And people cheered. Eventually all the major carriers started doing this.
People didn't like being "
locked in a contract"
But now they don't like "
paying for a phone"
Well folks... one of those things has gotta happen! (and it always did... they were paying for the phone anyway)
So will carriers will backtrack and start offering the "illusion" again?
Like I said... nothing has really changed. Your friend will pay the $750 eventually... either by a large down-payment with other "hidden" payments inside his bill... or no-money-down and a "
non-hidden" $31 a month.
It's six-of-one... half-dozen-of-another.