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T-Mobile Reportedly Set to Ditch Contracts Later This Month

by Todd Haselton | March 1, 2013March 1, 2013 2:00 pm PDT

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T-Mobile has been very transparent that it doesn’t like subsidies and contracts, and it may take its first steps to move away from that entire business model as soon as March 4. Most major carriers allow you to purchase a device without a subsidy and without a two-year contract, but T-Mobile would be the first of the big four wireless carriers to entirely eliminate the option.

TmoNews says it has learned that an official announcement may come on March 4. Instead of subsidies, the carrier will offer “equipment installment plans” under which a customer will pay a single down payment for their device and then pay off the rest of it over a span of 20 months. We’re not sure how that’s actually going to work without having a customer sign a contract. We do know, however, that T-Mobile will only offer the iPhone without a subsidy.

The carrier will also allegedly brand its 4G LTE network as “Dual 4G,” which seems like an big mistake given that consumers are just beginning to get adjusted to knowing that “LTE” means “faster” on AT&T and Verizon Wireless.

TMoNews

Todd Haselton

Todd Haselton has been writing professionally since 2006 during his undergraduate days at Lehigh University. He started out as an intern with...

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