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AT&T looking to reduce smartphone subsidies

11 December, 2013 | Read the news | Post your comment
AT&T looking to reduce smartphone subsidies - read the full textAT&T might soon be reducing the subsidies for the devices sold on its network. The wireless operator CEO Randall Stephenson feels that the carrier can no longer afford to fund the maintenance and upgrade cycles of the smartphones it sells. At an investor's conference in NY the AT&T said that the...

 

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> In reply to Romano @ 2013-12-12 07:19 from s125 - click to readAT&T doesn't need up sympathy. They are a profitable company unlike tmobile. Tmobile CEO is willing to sell the company. As powerful as u say their network is. I'll put my AT&T network against yours any day and ill dust you

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  • 2013-12-14 23:58
  • 5%dL

> In reply to Brandon @ 2013-12-11 17:49 from YaaF - click to readThe base part of the plan is lowered as well. It's more than just $15

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  • 2013-12-14 23:55
  • 5%dL

well who is going to lose corporate giants r consumer

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  • 2013-12-14 16:58
  • Q$N3

> In reply to INDIAN777 @ 2013-12-12 11:58 from ttcH - click to readI totally agree. Should be banned in EU at once.

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  • 2013-12-12 16:29
  • s0G2

Get rid off subsidies thing.It is spoiling the world.people are unnecessarily buying expensive phones which in real they cant afford and later on cry i have so many monthly bills to pay.

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  • 2013-12-12 11:58
  • ttcH

> In reply to Spade616 @ 2013-12-12 11:21 from UD%n - click to readExactly this means , due Viber and whatsapp and other apps , Revenue earned from users for Texting and Voice calls by companies have dropped , which will lead to companies killing subsidies in future .

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  • 2013-12-12 11:58
  • uuHv

> In reply to Spade616 @ 2013-12-12 11:16 from UD%n - click to readThen you should also be aware that Indian middle class is Bigger than whole us population put together, they can afford smartphones Now and India is 3rd Biggest Market for Smartphones and by 2015 will be second after China .

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  • 2013-12-12 11:54
  • uuHv

> In reply to coldfire2005 @ 2013-12-12 10:10 from uuHv - click to readAlso, people don't really care about cheaper calling rates since they're: A)already reasonable, B)free calling apps like Viber etc., are pretty much used by everyone. People care about faster data speeds, higher data caps, and lower monthly bills(related to cheaper smartphone subsidies).

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  • 2013-12-12 11:21
  • UD%n

> In reply to coldfire2005 @ 2013-12-12 10:10 from uuHv - click to readFlawed statement right there. The only reason most people are able to get smartphones is because the carrier subsidizes it and they dont have to pay 800+ dollars for an unlocked smartphone. Carrier subsidizing is a NECESSITY. Most Indians buy phones off contract because most buy cheap androids and old nokias.(India being a country with one of the highest poverty rates) I know this for a fact since I was stationed in India for a few months.

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  • 2013-12-12 11:16
  • UD%n

In India Rich or Poor do not get Any kind of subsidies , Phones are brought up front and Indians enjoy cheapest calling rates in the World . If Subsidies are killed in US maybe this will result into cheaper call rates and lower Mobile bills

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  • 2013-12-12 10:10
  • uuHv

I have three phone lines with AT&T and only paying $80.. I don't use high end devices just the regular once.. AT&T help me cut down my monthly bill by switching over to their new plan value plan..

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  • 2013-12-12 07:34
  • K7gW

I have T-Mobile haha and womp-womp! AT&T is a greedy company. A lot of companies are now providing phones under 300$ with high end specs and also T-Mobile's network at least where I live is incredibly powerful! I have NO sympathy for AT&T. And I sincerely don't believe it's just the costs of the phones.

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  • 2013-12-12 07:19
  • s125

Get rid of the subsidies. They're doing nothing but creating a spoiled, self-righteous, egotistical culture that feels entitled to have Walmart prices for everything that should be expensive. I'm tired of it.

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  • 2013-12-12 07:15
  • bHq6

> In reply to pukemon @ 2013-12-11 17:03 from FFhe - click to readLMAO.

Next you see directors buying new BMWs and Bentleys.

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  • 2013-12-12 02:04
  • bCk3

We buy from whichever carrier that offers the best subsidy. If AT&T doesn't take care of its customers, others would.

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  • 2013-12-12 02:00
  • bCk3

> In reply to TrinYa @ 2013-12-11 19:43 from YgTq - click to readDon't forget, you also get the privilege of sharing all your communications on the AT&T network being sent directly to the NSA. AT&T was the first and have been doing it for at least 8 years.

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  • 2013-12-12 00:19
  • GT6G

I'd like to know the full terms and conditions for customers to get that $15.00 back because AT&T isn't going to give away hundreds of millions without any strings attached.

I think you need to read between the lines on this one. AT&T makes money on the phones by bundling them with contracts and knowing that people will always want to upgrade phones anyway. Of course AT&T wants to focus on helping customers use the network because they can make more money that way - they're not doing this for free.

I don't believe the smartphone penetration comment as the reason, as focusing on the low end phone market means you can't offer big subsidies anyway because the phone cost is low unsubsidized. Also, smartphones are increasingly becoming a commodity. You can find a quad-core smartphone with 1gb RAM, 16gb memory, 12mp back camera, 1080p display, sd card slot, fm, etc, etc, for less than USD $300.

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  • 2013-12-12 00:18
  • GT6G

AT&T, next time maybe you should check with the bean-counters before you embarrass yourself:
http://www.usatoday.com/story/...ows/3172989/

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  • 2013-12-11 23:03
  • Ix2q

> In reply to Anonymous @ 2013-12-11 17:09 from P@1G - click to readit could if humans went about producing things in a smart way. Like using more renewable forms of energy for power and recycling broken and old technology properly. Also if companies want us to buy their shiny new products every year, they should at least take back every scrap of their old devices and recycle them properly, melt them or whatever they need to extract the materials for creating the new product.

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  • 2013-12-11 21:15
  • ItZW

Subsidies are there to lure into contracts, with the end of subsidies, so AT&T, does it also mean the end of contracts? and also reasonable prices?
AT&T is a greedy company, and this is just a move in that direction. Thank god, there is T-Mobile for some healthy competition.

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  • 2013-12-11 19:43
  • YgTq

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