T-Mobile CEO confirms the iPhone and the death of phone subsidies

Submitted Dec 07, 2012 by Taylor Wimberly

At Deutsche Telekom’s analyst conference, T-Mobile CEO John Legere revealed that T-Mo’s deal with Apple will include the iPhone, but it will also coincide with a radical change in its pricing. It’s eliminating subsidies entirely, charging customers full price for their devices.

Full article by Kevin Fitchard on gigaom.com

6 Comments Join the discussion!

99 jaxidian 12/07/12 4:37 PM

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Whoa! This is great news! The phone subsidies, that is. Not the iPhone.

I’ve been on T-Mobile’s value plans with 5 lines since the Galaxy S III launched and it’s been a great deal! We originally had 5 lines with 1k minutes shared and 2GB data (before throttle) and unlimited SMS for ~$125/mo (total for all 5 lines)! Sure, T-Mobile doesn’t have a great network everywhere but it even rivals VZW’s network here in Indianapolis, so I’ve been loving being with them!! I’ve since upgraded a couple lines to truly unlimited data for an add’l $10 per line and it’s great!! :-)

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12 avijaunty 12/08/12 11:27 AM

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IPhone and no subsidy? Apple is going to go the blackberry way soon ….

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80 scubabum 12/09/12 2:08 AM

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“T-Mobile will have to explain to customers that they will actually save money over the length of a two-year contract by paying a lower value plan rate”.

Wow, buy the iPhone at full price (from $650 to $850) and still have to sign-up for a 2-year contract? I would try the non-contract, monthly deal instead.

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- 5 PJofTheGame 12/10/12 9:35 PM
  
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  Your choices are to get the two year contract and the subsidy, or not get it. If you don’t get it, you should be comparing the savings you would get over 2 years- even though you are not locked in for that period.
  
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4 trailblazerz 12/10/12 10:27 AM

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Looking forward to this. Been a loyal T-mobile customer for 10+years. I’m in Hong Kong for a year and love that carriers don’t control phone retail. I can get any phone I want and just walk into any service provider. It is quite silly if you think about it, you don’t see TV providers selling TV’s.

The competition it brings is beneficial to consumers, phone carriers will actually persuade you with their SERVICE and pricing, not exclusives on phones.

The problem is that people can’t do math and would rather pay carriers more long term.

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41 KingCrow02 12/11/12 8:34 AM

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Bold move T-Mobile

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