Verizon is making a change to a couple of its fees. Beginning February 5, Verizon will raise its activation and upgrade fees. The activation fee will rise from $35 to $40, a small change of $5. The upgrade fee is going to be rising from $30 to $40, a slightly larger increase of $10. Verizon says that both changes are being made in order to “stay committed to the fees remaining competitive within the wireless industry.”
It seems odd that Verizon is raising fees, while other carriers are seeking to lower prices and offer better value for customers. Both T-Mobile and Sprint are in a neck and neck race to provide the best value for customers, and even AT&T has been affected by the moves made by both of the carriers. Verizon, however, seems to be sitting coolly through it, relying on its extensive coverage to retain customers. While the strategy seems to be working, it begs the question, is it sustainable?