No More 3 Year Cellular Contracts

[saveth]

Originally Posted by rizo

I would actually prefer three year contracts to two years contracts because if you can negotiate a good retentions plan, your credits are good for 36 months versus 24 months - in which you would have to call back and negotiate again.

This is exactly what I was thinking. I don't see myself ever going without a cell phone so the contract itself is basically irrelevant. I'm glad I just renewed last month with rogers.
Posted via RS Mobile

[roastpuff]

Originally Posted by nates

I don't get current carriers..

I just called Telus because my mom (who doesn't need internet or any form of data on her phone) wanted to upgrade to an ip4s (simply for the ability to take pictures). I said she would sign up for the 3 year contract, pay the $80 for the phone, but she wanted to remain on her cheap 25 dollar a month plan. They said 'no, the ip4s requires a min $50 plan. period'.

I don't get why they would turn down another 3 years of $25 a month, plus the $80 for the phone, especially when she has been a client for 16 years. why not make an exception and reward loyalty?

Not sure what to do now, she really wants an ip4s.

Buy one from the Apple Store or Craigslist. They want to get you on data when you buy their new smartphones, that's why. There's the contract subsidy and then the data subsidy, so the ECF would be close to $600 when all's said and done.

Also, why does she want iPhone if she is not going to have data? It doesn't have a very good camera compared to say a really small compact camera (Canon S110, etc.) If she simply wants to take pictures with it... I don't know what to say.

[Lomac]

Originally Posted by nates

I don't get current carriers..

I just called Telus because my mom (who doesn't need internet or any form of data on her phone) wanted to upgrade to an ip4s (simply for the ability to take pictures). I said she would sign up for the 3 year contract, pay the $80 for the phone, but she wanted to remain on her cheap 25 dollar a month plan. They said 'no, the ip4s requires a min $50 plan. period'.

I don't get why they would turn down another 3 years of $25 a month, plus the $80 for the phone, especially when she has been a client for 16 years. why not make an exception and reward loyalty?

Not sure what to do now, she really wants an ip4s.

Because the cost of the phone is subsidized in the payment plan. At $25/month, it's probably too low to let an iPhone go. After all, $25x12 = $300. For a three year contract, if they were to honor an iPhone, they'd make a measly $300 after paying off the phone. Not worth it for them.

If she really wants one, then you can just buy one outright, either new from Fido or used from here or CL.

[Tapioca]

Originally Posted by nates

I don't get current carriers..


Not sure what to do now, she really wants an ip4s.

Tell her to buy an Ipod Touch and a cheap phone.
Posted via RS Mobile

[twitchyzero]

Originally Posted by sonick

Ridiculous compared to where? People in Canada always think US has these super cheap plans when it really isn't the case. In the US T-Mobile's plans start at $50/mo itself with 500MB data. $60 for 2GB data. Similarly, AT&T starts at $60 for 300 MB.

As for Asia, it would be financially improbable to have those kinds of rates here considering the population density for the land area Asian countries have to cover vs Canada.

this...i like how everyone just assumes mobile bills in the US is dirt cheap...IIRC it still averages just a bit under $50/mo...which isn't far from what we pay.

I can see why CRTC wants to push for 2 year contracts...phone tech is advancing so fast that a phone becomes irrelevant after 2 years.

I still can't get over the insane profit mark-up on a phone though...it's ridiculous. $700 iPhone/galaxy S device where you can get equal/better specs in a tablet for 1/3 of the price (nexus 7/Kindle HD). What an extra 4G radio is gonna cost an extra $500....fuck off!

[willystyle]

Originally Posted by ziggyx

Does this mean I can cancel my 3 year contract in December of this year? By the time December 2013 rolls around for me, I would be 2 years and a couple of months into my contract. Or does this only apply to people who start their contract after December 2nd 2013?

After Dec 2.

Originally Posted by nates

I don't get current carriers..

I just called Telus because my mom (who doesn't need internet or any form of data on her phone) wanted to upgrade to an ip4s (simply for the ability to take pictures). I said she would sign up for the 3 year contract, pay the $80 for the phone, but she wanted to remain on her cheap 25 dollar a month plan. They said 'no, the ip4s requires a min $50 plan. period'.

I don't get why they would turn down another 3 years of $25 a month, plus the $80 for the phone, especially when she has been a client for 16 years. why not make an exception and reward loyalty?

Not sure what to do now, she really wants an ip4s.

That's because they will make more and will be able to recover the cost of the subsidized iPhone at $50/month. At $25/month, they will recover the cost of the iPhone and will make scraps.

[Tapioca]

Originally Posted by twitchyzero

I still can't get over the insane profit mark-up on a phone though...it's ridiculous. $700 iPhone/galaxy S device where you can get equal/better specs in a tablet for 1/3 of the price (nexus 7/Kindle HD). What an extra 4G radio is gonna cost an extra $500....fuck off!

I'm sure it costs a bit more in R&D to pack the technology of modern smartphones into the form factor. If not, then it's the market: most people want smartphones, while far less want tablets. Mobile phone companies can charge what they want - the sheep, including you and I, buy phones because we need them and increasingly define ourselves through our phones (witness the fanboyish behaviour.)
Posted via RS Mobile

[spideyv2]

Originally Posted by jeedee

Nice.

Phones usually start "deteriorating" / become "irrelevant" by 2 years

Good to know I can get a new phone by then

frustrating as fuk men, all my phones start getting slow even before the 1 year mark

they rarely make it to 2 years without me smashing it out of anger

[Lomac]

I don't think it's that phones start getting slow. Usually a restore will fix most slow downs. What tends to happen is that all the app updates are designed for faster and faster phones, so when we start using one that's designed for the newest phone, it appears to be slow.

I still use my old iPhone 3G at times and while it feels sluggish compared to my Galaxy3 it's still relatively quick.

[godwin]

I think there is a clause in Apple's agreement with the carrier, the carrier can only sell the phone with a plans at a certain price level.

However I thought Telus is selling refurbed 4s outright for $349.. that shouldnt' be too bad.

Originally Posted by willystyle

That's because they will make more and will be able to recover the cost of the subsidized iPhone at $50/month. At $25/month, they will recover the cost of the iPhone and will make scraps.

[Mike Oxbig]

On the phone right now with fido, they said i cant get the $39 plan (Plans | Shop | Fido.ca)
because when i signed contract with them to get the iphone 4s it was $50/ month. If i want to get the tab24 2 year plan and get the samsung galaxy s4 for $450 i have to pay $250 to cancel my current plan.

[Fafine]

Originally Posted by Big Earl

On the phone right now with fido, they said i cant get the $39 plan (Plans | Shop | Fido.ca)
because when i signed contract with them to get the iphone 4s it was $50/ month. If i want to get the tab24 2 year plan and get the samsung galaxy s4 for $450 i have to pay $250 to cancel my current plan.

are you adding data to the 39$ plan?
i have that plan and 6g of data
for $60+ tax
still on contract from the i4s as well.
just gonna wait it out

[ImportPsycho]

Get fido, 3yr contact no problem
After 2 years, i got $200 fido $$
Enough to get S4 For free with 3 yr contact
Just had to pay $100 early cancellation fee

Rinse and repeat every two years
Posted via RS Mobile

[Mike Oxbig]

Originally Posted by Fafine

are you adding data to the 39$ plan?
i have that plan and 6g of data
for $60+ tax
still on contract from the i4s as well.
just gonna wait it out

No. All they gave me was $5 off for my monthly fee from $50 to $45 now on until my contract expires.

[bloodmack]

Originally Posted by jeedee

Nice.

Phones usually start "deteriorating" / become "irrelevant" by 2 years

Good to know I can get a new phone by then

psh, my galaxy S is more reliable than these new fangled s3's s4's and HTC one (a,b,x,y,z?) and its as fast as i need it to be.

[jing]

1. Sign a 3yr contract and pay $250 for Galaxy S4
2. Terminate the contract 2 years later
3. ???
4. Profit

This is compared to a 2yr contract where the S4 will cost $450
Posted via RS Mobile

[winson604]

Originally Posted by jing

1. Sign a 3yr contract and pay $250 for Galaxy S4
2. Terminate the contract 2 years later
3. ???
4. Profit

This is compared to a 2yr contract where the S4 will cost $450
Posted via RS Mobile

The new rules will only apply to contracts signed after the new rules come into play so nice try but you don't think they're that dumb do you?

[twitchyzero]

Originally Posted by jing

1. Sign a 3yr contract and pay $250 for Galaxy S4
2. Terminate the contract 2 years later
3. ???
4. Profit

This is compared to a 2yr contract where the S4 will cost $450
Posted via RS Mobile

watch..the S5 announcement will be few months from December 2013

oh shit 4K display

[bing]

Originally Posted by nates

I don't get current carriers..

I just called Telus because my mom (who doesn't need internet or any form of data on her phone) wanted to upgrade to an ip4s (simply for the ability to take pictures). I said she would sign up for the 3 year contract, pay the $80 for the phone, but she wanted to remain on her cheap 25 dollar a month plan. They said 'no, the ip4s requires a min $50 plan. period'.

I don't get why they would turn down another 3 years of $25 a month, plus the $80 for the phone, especially when she has been a client for 16 years. why not make an exception and reward loyalty?

Not sure what to do now, she really wants an ip4s.

Loyalty is nothing when you're only paying $25/month. I've been with my bank for 10 years+ but if I have no assets do you think they really care?

You can buy a 4s off Craigslist for around 300.

[Gridlock]

Originally Posted by Spoon

^
You'll also see a lot of Canadian jobs go south as well then. Doesn't affect me at all, but at times, I understand the reasoning for keeping certain things Canadian owned.

As per usual, what we have here is a "hostage situation" in discussing anything to do with the Canadian economy.

"if you do x, y jobs disappear"

and we subsequently don't do x.

"If you deregulate the phone market(landline long distance), y jobs disappear" -I don't actually know how many were actually lost.

Yes, deregulating the long-distance market hurt the telco's. Guess what? They were fucking bloated! They were charging out the ass and could pay to have 30% more staff than they needed. Staffing bloats up. There is no incentive to be creative because there is no NEED to be creative.

We get held hostage all the time. And we get held hostage because we always feel that we are one step away from destitution in a competition with the US.

You know what? I don't want US cell phone companies to come into Canada either. I don't. They will blast the shit out of everything and everybody we have, do it fast and pool those jobs in bloody Texas where it won't even make a dent in their bottom line, but have destroyed ours.

But Robelus has a real duty here to not make us WANT a US company to come in.

You want a wall against real competition? Cool. Deserve it.

[SB7]

Originally Posted by sonick

Ridiculous compared to where? People in Canada always think US has these super cheap plans when it really isn't the case. In the US T-Mobile's plans start at $50/mo itself with 500MB data. $60 for 2GB data. Similarly, AT&T starts at $60 for 300 MB.

As for Asia, it would be financially improbable to have those kinds of rates here considering the population density for the land area Asian countries have to cover vs Canada.

Hmm I guess I phrased that a bit wrong. I'm more concerned with the price of data right now compared to before which hasn't really changed much while the price/cost of data is falling lower and lower. Still, carriers charge exorbitant amounts and now I still hear of many friends/family who are paying 60,70,80+ dollars for their cell phone plans, many who have upgraded phones through new 3 year plans.

The price of data will continue to fall, but those locked into long term contracts will be paying much more in the long run even if the phone is subsidized throughout the contract. I read an article a while ago, which I dug up here: Rogers, Bell, Telus: The most profitable cellphones around - Technology & Science - CBC News TBH I feel like consumers are already used to these high prices and are willing to pay more for the increased speed, which will keep these phone company giants' margins at a very nice amount at our expense.

[Tapioca]

Originally Posted by striker_boi7

The price of data will continue to fall, but those locked into long term contracts will be paying much more in the long run even if the phone is subsidized throughout the contract. I read an article a while ago, which I dug up here: Rogers, Bell, Telus: The most profitable cellphones around - Technology & Science - CBC News TBH I feel like consumers are already used to these high prices and are willing to pay more for the increased speed, which will keep these phone company giants' margins at a very nice amount at our expense.

Well, you basically just nailed it. Has the cost of data really come down with quicker speeds? Maybe, maybe not. However, consumers (me included) are willing to pay high rates because we value having mobile data. No one is forcing you to subscribe to wireless data plans. When I was in NYC last month, I often found many people loitering outside various Starbucks. Why? Because, they have free WiFi and I guess didn't want to pay T-Mobile or whatever $50/month to have data on their phones. People living in Manhattan, one of the most status-driven cities in the world, had no shame in using free WiFi outside Starbucks.

If you can't beat the Big-3, join them: big-3 stocks are a relatively safe investment.

[yogibear]

Originally Posted by nates

I don't get current carriers..

I just called Telus because my mom (who doesn't need internet or any form of data on her phone) wanted to upgrade to an ip4s (simply for the ability to take pictures). I said she would sign up for the 3 year contract, pay the $80 for the phone, but she wanted to remain on her cheap 25 dollar a month plan. They said 'no, the ip4s requires a min $50 plan. period'.

I don't get why they would turn down another 3 years of $25 a month, plus the $80 for the phone, especially when she has been a client for 16 years. why not make an exception and reward loyalty?

Not sure what to do now, she really wants an ip4s.

If your mom is upgrading to the 4S mainly just to take pictures, why not go with the iPhone 4 instead? It's currently available for an upfront price of $0 on any plan with a 2 year contract, meaning she can keep her $25 plan.

Just a suggestion

[PeanutButter]

I"m still a little confused about paying the rest of the phone off if you cancel in two years.

So if you buy a $600 phone from Rogers on a 3 year contract and only pay $200. Then you cancel in after year 2. Do you pay back Rogers $400 or a prorated amount? And if it's a prorated amount, is the prorated amount based on $400 or the initial $600?

[J89]

I work in the cellphone industry, and it makes no difference whether it's 3 years or 2 infact it's probably better for most people on a 3 year. People are often afraid of contracts...but really it's just a finance of the device. Meaning the if the phone is worth 500 you just divide that into 36 months. And if someone wants to upgrade just pay out the device balance aka pay out the rest for your phone...I mean honestly I rather "finance" my phone than pay 300-400 for a new phone up front but maybe thats just me.