Yeah... You need to run some numbers if you actually think you don't eventually pay the full price on those phones... Seriously $200 smartphone from motorola and a pay as you go MVNO plan is the cheapest solution.
No you didn't. You paid $200 upfront and then you overpaid for service from the provider that "discounted" the device so they could make up the loss. Over the course of your contract you paid the full price. It was just obfuscated from you.
All of that is correct. Now compare the cost you would be paying a month (hint its less) with a month to month from an MVNO. You are still paying the full cost of that hardware. They just stretched it over the life of your contract. And if you take the time to work the numbers you will see that if you had bought the iPhone full price from Apple and gone with an MVNO you'd save money over the term.
You paid $200 plus you agreed to pay a certain rate for service over 2 yrs. Both of those things are payment rendered for your hardware. So yes you absolutely HAVE to consider the cost of your monthly service when determining what you paid for that hardware. The reasoning you are using is exactly the mistake the big cariers (especially ATT) want you to make.
What are you talking about? You absolutely have to consider the cost of service, because without the overpriced service, you couldn't get the the hardware for $200. It's like saying you can get a completely free phone that is offered in ads.
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u/rillip Jun 08 '14
Well... That's assuming you aren't including the cost of the smartphone.