Thread: Contracts. Why?
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Old 01-09-2008, 07:05 PM
Todd Allcock
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Default Re: Contracts. Why?

At 09 Jan 2008 18:23:25 +0000 Thomas T. Veldhouse wrote:


>


> Prepaid phones are NOT subsidized.


Sure they are. We're probably splitting hairs, but the carriers subsidize
prepaid handsets to spur signups in a sort of "giveaway the razor to sell
the blades" fashion. Tracfone offers handsets for $15 and Virgin for $20;
the included batteries and chargers cost more than that!

> You bought a prepay phone,
> otherwise known as commitment free.


"Committment" and "subsidy" aren't necessarily related...




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