TMO Daily Observations 2015-08-10: Verizon’s New Phone Deals, iTunes Alternative Wish List

| Daily Observations Podcast

Verizon is getting on the no contract smartphone plan, just like T-Mobile. Kelly Guimont joins Jeff Gamet to talk about smartphone plans and the competition between T-Mobile and the big carriers. They also talk about which apps they'd like to see come back from the grave to replace iTunes on their Macs.

TMO Daily Observations 2015-08-10: Verizon’s New Phone Deals, iTunes Alternative Wish List

Aug. 10, 2015 — Download: MP3 Version (AAC Version Coming Soon)


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Is moving away from contracts really a good thing?

How many “non-geeky” people do you know that run outdated desktops and laptops yet have a relatively modern phone?  The reason isn’t because “They understand and appreciate the way new tech can improve their daily workflow”. Its because they got an email from their carrier telling them that for only $199 they can get the latest iPhone”

From someones 10yr old kids to my 94yr old granny then almost everyone owns a SmartPhone and its primarily because of the enticement of subsidized pricing. They’re not leaving their carrier so a 2yr contract + $100 = Free Phone. But are these users wiling to do this at $800 every other year?

Case in point, My Sister-in-Law
- Buys iPhone 5 for $199
- Refuses to spend $99 for Apple Care because “Thats half the cost of the phone!”

- Cracks screen. Out of warranty, refuses to pay $79 to fix screen

- Still using cracked iPhone 5. Deleting 52012 photos to fit new photos
- Up for subsidized replacement. Refuses to pay $299 for iPhone 6

- Finally decides to upgrade. Goes to Best Buy and they tell her about the death of subsides and the NEXT plan.
- She asks why it costs 4x more now. I give her the iPhone 6 sales pitch.
- She keeps the old phone and pays $79 for someone to fix screen

This isn’t an uncommon situation for many people because, even though a smartphone is the most used gadget in their life, they fail to see the value of having a modern one. And without a subsidized upgrade path then getting a new phone simply isn’t something they’re willing to do.

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