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I never buy locked phones, because I travel a lot for work, often for extended periods of time, and I need to be able to put different SIM cards into my phone. Also, where I live the price difference isn't that great.
 
It's actually cheaper to go 2 years buying an unlocked iPhone and using Straight Talk than buying a subsidized phone from a provider on a 2 year contract.

You end up saving ~$300+

Your phone is unlocked, it can be used over seas on their sim card without jailbreaking, and has all the features of the major carrier for less.

(MMS works with editing your plist file which isn't technically jailbreaking)
 
For me it's a no brainer..

1. Unlocked $650.00 + $45.00 month for data = $1,730.00 2 yrs of usage, not mentioning fee's


2. Locked $200.00 + $45.00 month data + Activation = $1,316.00 two yr contract not mentioning fee's.


I'll take the 2 year contract from Verizon which I have been using for ever now :D
I won't be using unlimited, since I don't use music/movies/facebook stuff, and like the OP mentioned, I could over a short period of time just cancel the contract + pay the early termination fee, what ever that will be a few months later. I will still use Verizon since its the better of the others in my area

How do you have 45 a month with a locked, under contract phone?
 
The rest of you do raise some other discussions points though concerning activation/upgrade fees and the first monthly bill. From what I understand, AT&T isn't strict on activation/upgrade fees. I have always had the activation/upgrade fee waived every year for the lines on my plan, so that's not necessarily a cost for all users. Furthermore, I guess I was thinking more in terms of a typical user's stand point, so they would be probably on a shared/family plan. This would lower their "first" bill to more of the ballpark of $25-$40 per line. The "master" line could easily be switched to the non-unlocked phone switcher, thus the hefty first month bill is easily avoidable.

Applying both of these facts, one would even still arrive at the $200+325+40 (assume most expensive scenario, unless you are on your own line) and that's still at $565, almost $100 cheaper than the unlocked phone. Even if you were flying solo, I was under the impression that AT&T's cheapest plan starts at $55 a month, so that's not much more than the $25-40 range.

You're assuming most optimum conditions and even so, you're still not accurate or accounting for ALL costs. First, using AT&T as an example, the cheapest individual plan is $59.99 (minutes and data, no text plan) PLUS TAXES (I paid $9.34 in taxes and fees on my bill last month). Also, I'm not sure if they can/will do so but if you immediately cancel, I doubt they'll waive your activation. You also have to pay sales tax on the handset (assuming 7% that's common many places, another $14). That's $214 + $325 + $60 + $9 + $36 = $644, plus the hassle of getting AT&T to unlock the phone. Wouldn't you also lose your ability to port your number (not sure)?

For many, myself included, that's just too much hassle for to save a marginal amount of $.
 
This is exactly the reason all the major carriers raised their ETF to $325-350. We all remember te good ole days back in 2009-2010 when AT&T still had $175 ETF. Many savvy people took advantage of the $175 etf and simply just added a line and than canceled line ($199 plus $175 ETF plus activation fees). This came out to around $400 for new iPhone and it was simply much cheaper than paying the full $600 retail price for iPhone 3GS at that time (apple raised retail price of iPhone to $650 in April 2011).

Now with etf being well over $325-350 it makes very little sense trying to cancel the new line. Your cost savings are very little especially factorIng in AT&T makes u return phone if u try to cancel line immediately or be charged full price for phone.

I also think people do not realize you only pay the ETF based on how many months of the contract you have remaining. So it still could end up being much cheaper to cancel and then sign up for a new 2 years contract if you were somewhere around 18 months in and they would not let you upgrade early.

Granted you would lose unlimited data if you had it. That is probably why they started doing subsidized upgrades too.
 
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Correct me if I'm wrong but I believe in America you pay the same monthly fee regardless of whether you got the phone from Apple or the carrier?

In England we have 'sim only' contracts for people who already own a phone themselves. For example:

I buy an iPhone from Apple for £500 and then pay £10 per month for my sim only contract totalling £740 over a period of 24 months.

Well that's what I did. It also gives you the advantage of when you want to upgrade, not when your contract is up.
 
What if you have to be out of country for couple of months, you would have to pay for the cell phone bill even if you don't use it, just sth. to consider for the contract. + In Canada, it is 3 year contract, and some carrier, like Bell, never unlock iphones. :(
 
well i got mine factory unlocked (all phones on a contract r unlocked here nowadays) for 1€ on a 30€ plan so after 2 years i basically got the iPhone or the service (depends on how u look at it) for free :D
 
For me: put in a prepaid voice card and use data via mobile wifi router. But with the upcoming shared plans maybe not needed anymore.
 
How do you have 45 a month with a locked, under contract phone?

That was a mistake. For data plan that is 1 GB per month $50.00 not $45.00 Plus $40.00 for calls = $90.00 total. He was just adding data plan of 1 GB plus cost of phone, not the amount for the 450 minute call plan nor fee's.

This is what I would pay on a locked phone...

1. Phone is $199.00
2. 1 GB plan $50.00 Per month

Total of $1,400.00 over a two yr contract. Not counting the 450 minutes of $40 per month plus taxes and fee's.

Unlocked phone would be...

1. Phone $650.00
2. 1 GB plan $50.00

Total of $1,850.00 for two years if one keeps it that long. Not counting 450 minutes of calls per month + taxes and fee's plus your normal sales tax for the retail amount of the phone. In Florida where I live its 7%.
 
That was a mistake. For data plan that is 1 GB per month $50.00 not $45.00 Plus $40.00 for calls = $90.00 total. He was just adding data plan of 1 GB plus cost of phone, not the amount for the 450 minute call plan nor fee's.

This is what I would pay on a locked phone...

1. Phone is $199.00
2. 1 GB plan $50.00 Per month

Total of $1,400.00 over a two yr contract. Not counting the 450 minutes of $40 per month plus taxes and fee's.

Unlocked phone would be...

1. Phone $650.00
2. 1 GB plan $50.00

Total of $1,850.00 for two years if one keeps it that long. Not counting 450 minutes of calls per month + taxes and fee's plus your normal sales tax for the retail amount of the phone. In Florida where I live its 7%.

How can you not count the minutes. You must have minutes
 
One other benefit of not buying a locked phone and not having a contract means you can use prepaid plans which can be a lot cheaper here in the US. If a person signs up for Straight Talk, they pay only $45 for everything compared to around $90 for a 2 year contract individual plan from other carriers.

Locked phone:
$199 for phone
$90 x 24 months = $2,160
total = $2,359

unlocked phone:
$650 phone
$45 x 24 = $1,080
total = $1,730

After two years, people will save $629 which could've been used to buy another iPhone but of course all that money goes to the carrier instead in a locked phone contract.
 
Wirelessly posted

For those who travel a lot between multiple coutries the answer is obvious. Not everyone lives your small life.
 
Wirelessly posted

For those who travel a lot between multiple coutries the answer is obvious. Not everyone lives your small life.

I think you misunderstand the question. He is comparing buying unlocked to buying subsidized, canceling with etf and then unlocking.
 
Correct me if I'm wrong but I believe in America you pay the same monthly fee regardless of whether you got the phone from Apple or the carrier?

Yes and No. If you to use AT&T and buy an unlocked phone, you're still charged the same price. But there are SIM-only "carriers" (MVNO's) that piggy back on larger carrier networks such as AT&T, Sprint etc but offer much cheaper monthly plans. Most notably Straight Talk. Where you could be paying $45 a month for unlimited voice, text and data (throttled at 2.5GB/month), compared to AT&T's plan for the same plan with tiered data starting at 3GB/month is $120 a month.
 
Yes and No. If you to use AT&T and buy an unlocked phone, you're still charged the same price. But there are SIM-only "carriers" (MVNO's) that piggy back on larger carrier networks such as AT&T, Sprint etc but offer much cheaper monthly plans. Most notably Straight Talk. Where you could be paying $45 a month for unlimited voice, text and data (throttled at 2.5GB/month), compared to AT&T's plan for the same plan with tiered data starting at 3GB/month is $120 a month.

Straight Talk does not allow tethering, if you need tethering (and don't want to jailbreak) what are your options?
 
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You aren't factoring in all the costs.

$199 plus tax=$216
$36 activation
$59.99 monthly plus tax=$70-$75
$325 etf
Total= $652

Not much difference from buying unlocked with no hassles
 
That was a mistake. For data plan that is 1 GB per month $50.00 not $45.00 Plus $40.00 for calls = $90.00 total. He was just adding data plan of 1 GB plus cost of phone, not the amount for the 450 minute call plan nor fee's.

This is what I would pay on a locked phone...

1. Phone is $199.00
2. 1 GB plan $50.00 Per month + Voice and Text $40

Total of $2,360.00 over a two yr contract. Not counting the 450 minutes of $40 per month plus taxes and fee's.

Unlocked phone would be...

1. Phone $650.00
2. Straight Talk $45 voice, text, data

Total of $1,730.00 for two years if one keeps it that long. Not counting 450 minutes of calls per month + taxes and fee's plus your normal sales tax for the retail amount of the phone. In Florida where I live its 7%.
Fixed.
Your choice, pay the $650 upfront with $45 monthly plan or keep getting screwed on a monthly basis.
 
Actually the contracts are 2 years long but in many cases you can upgrade at 16 or 20 months. At that point you start a new contract, so contract price of the phone and monthly fees is not that much worse than unlocked and prepaid price.

For some it's just easier to buy the phone from the carrier nearby than at a far away apple store or online and be able to select from a selection of phones rather than stick with a very limited number of good unlocked phones, even though the price may be a little bit more in the long term. Also paying at the end of the month makes a lot more sense then paying for service in advance to me.
 
Good point raised. I guess it is just easier to pay $350 compared to $1000 for an iphone, even when the 1st option results in higher monthly phone bills. For me, I was able to use an education corporate plan to get a 25% discount on my monthly bill (paying $45 compared to the normal $60). So it's like "The more you spend, the more you save).

Something I will definitely consider when it is time to upgrade 1 year later - comparing a 2-year contract vs iphone straight from apple store + cheaper monthly plan. :)
 
Why would you ever buy an unlocked iPhone?

I have been asking myself the exact opposite. In the US it might not matter, but down here buying your phone outright and using it with a sim-only plan is simply cheaper (although most people don't). Also, I can change plans and carriers whenever I want. Who wants to be stuck for two years at a time?

That's why, I guess.
 
I understand the whole idea of using straight talk b.c you save a lot of money, but if you are with anyone of the big 3 (verizon, sprint, ATT) and plan to stay with them, why the hell would you buy an unlocked phone? I have been with ATT for around 6 years, and I will stay with them, so it only makes sense to save a lot of money on the phone and extend my contract out. People seem to have a very weird fear about being in contracts....
 
I understand the whole idea of using straight talk b.c you save a lot of money, but if you are with anyone of the big 3 (verizon, sprint, ATT) and plan to stay with them, why the hell would you buy an unlocked phone? I have been with ATT for around 6 years, and I will stay with them, so it only makes sense to save a lot of money on the phone and extend my contract out. People seem to have a very weird fear about being in contracts....

You can used an unlocked,phone on AT&T prepaid plans.
 
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