Verizon Could Follow T-Mobile, Drop Cell Phone Contracts

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Following T-Mobile's announcement that it will start offering Apple's iPhone on April 12 without contracts, Verizon CEO Lowell McAdam said his company could consider doing the same. He said changing to T-Mobile's no contract and no subsidy pricing model wouldn't be difficult, but the carrier is waiting to see how consumers respond.

Verizon: We can be like T-MobileVerizon: We can be like T-Mobile

Mr. McAdam said, "I'm happy when I see something different tried," according to CNET.

T-Mobile is offering the iPhone as part of its Uncarrier program that does away with subsidized phone prices in favor of monthly financing, and drops the two-year contract requirements that are standard in the industry today. Customers can get an iPhone 5 for US$99 down and $20 a month, and their monthly bill drops by $20 once the phone is paid off.
Mr. McAdam isn't saying when Verizon would consider mirroring T-Mobile's plan, but apparently could make the change without much lead time. "We can react quickly to consumers' shifting needs," he said.

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Waiting to see how consumers respond is really code for "if lots of customers leave us for T-Mobile."

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Verizon doesn’t care about the customer, this is total BS. They’ve been gouging us for as long as they could, and now they are finally getting it stuck to them by t-mobile

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