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T-Mobile Preps to Offer iPhone on Installment Plan – While Other Carriers Watch

T-Mobile Preps to Offer iPhone on Installment Plan – While Other Carriers Watch

T-Mobile will begin selling Apple’s iPhone in three to four months, and when it does, it will be offering the popular handset on monthly installments. The idea is that the struggling carrier won’t have to spend billions upfront on iPhone subsidies, and customers should get more for their money via cheaper voice and data rates.



It should be a win-win. Matter of fact, T-Mobile USA’s strategy is “very intriguing” to Verizon CEO Lowell McAdam and AT&T boss Randall Stephenson applauds the idea and says that’s something his company is “going to be watching” going forward.

If the magenta network’s experiment pays off, and they can keep Carly in leather jumpsuits and pink lipstick, it’s conceivable that the rest of the U.S. carriers could begin offering similar plans to their customers.

Randall Stephenson, CEO of AT&T, likes T-Mobile’s idea. ”That’s something we’ve looked at on several occasions. I kind of like that idea,” he said. “It’s something we’re going to be watching.”

Verizon CEO Lowell McAdam is intrigued by the idea, but says he wonders if customers are ready to pay the full price. After all, If you buy a contract free 16GB iPhone 5 from Walmart, it’ll cost you $649.

With T-Mobile’s unsubsidized plan, instead of getting a new iPhone for $199 in exchange for an expensive two-year contract, you’ll pay the carrier full price for the handset .

As you’ll be absorbing the entire cost for the device, T-Mobile will offer you an unsubsidized plan with cheaper monthly rates for voice and data.

The carrier already has close to two million unlocked iPhones on its network. It has been offering nano SIMs for the iPhone 5, and has provided free support to any unlockers who bring their iPhone over to one of its unlimited 4G data plans.

So, how about it readers? Does T-Mobile’s plan sound good to you? Will you pay more upfront for your phone in exchange for cheaper voice and data rates? Let us know in the comments section below.


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