Kevin Dean writes: >On Wed, Jun 11, 2008 at 3:33 PM, Joe Pfeiffer <[EMAIL PROTECTED]> wrote: >> >> US. To me, it's quite obvious that a contract without a phone >> *should* be cheaper, but that's a long way from "is" (it actually >> worked out for the best, since I've had a working phne all these >> months as a result). > >I'm an American and your statement confuses me. Why is it "obvious" >that a contract without a phone should be cheaper? The service >(cellular connectivity for voice and/or data) is the same service no >matter what phone you have.
Because the price of the "free" phone is bundled into the price of the contract. If I don't get a phone, I shouldn't have to pay for one. >In the US, the price of service contracts doesn't change. The price of >PHONES does when you agree to commit to a service contract but the >service contract doesn't. > > >> >>>The most obvious example of this is that one can choose how much to >>>pay up front - on can choose the phone "for free" with one set of >>>tariffs, or pay £75 on purchase and get the same number of minutes >>>for £10 a month less (on an 18-month contract, for example). One can >>>also get much cheaper contracts when no phone purchase is involved. >> > >Not sure if you're confusing cause and effect here or if Brits just >look at "cellular service" differently than Americans. You are >implying that "the contract" is "the monthly service of voice/data >connectivity and a handset". In the US, ONLY the monthly service of >voice/data connectivity is contracted. It seems to me that what you're >ACTUALLY doing when you make your purchase is purchasing a phone at >some price, agreeing to a service level (monthly voice/data) and then >financing the cost of that device through your monthly bill. By paying >the £75 up front you're simply paying for the phone and NOT paying the >cost of it in installments monthly. > >But from how I see it the service that is purchased (voice/data >connectivity) remains the same price. Not quite -- you're also committed to pay the inflated price long enough to pay for the phone, or pay for the phone under the guise of an "early termination" fee. _______________________________________________ Openmoko community mailing list [email protected] http://lists.openmoko.org/mailman/listinfo/community
