What he is saying is that all of those "brave" iSheep that said they were going to pay $700 for an iPhone to keep their unlimited plan caved when they got to the register and turned in their unlimited plans to get the phone at $200, which is of course what the rules were designed to do.
This is the reason that subsidies exist, people can't make rational economic decisions and that's why they did what they did.
By subsidizing the phones, this artificially keeps monthly charges up higher, because if people had to pay cash for their phones up front, I guarantee Apples stock wouldn't be $700 and monthly phone bills would go down at least $20 a month. So in the meantime postpaid pays that subsidy into Samsung and Apple coffers.
If you look at it over 2 years the "premium" to keeping unlimited is about $20/month if you lease the iPhone.
Nobody said that you had to buy a new phone though, and this just confirms my suspicion that people behave in predictable irrational ways.