·AT&T DSL Service
|reply to JasonOD |
Re: Nexus 4
Carriers eat 2/3 of the cost of a phone? Only because that's how their distorted business model is set up.
How much do you really think it costs to build an Iphone in red China?
Look on Dealextreme, there are lots of Iphone clones, obviously built with most of the same parts for $65. A real Iphone cannot cost more than $85 to make.
Why do they price it at $600? To make the contracts seem attractive, that's why.
As it is the carriers keep a stranglehold on the equipment and use that power to keep their customers signed up on long contracts to prevent competition.
They do it intentionally. That's what should be stopped.
The cellphone carriers should be barred from selling equipment at all as a condition of their radio spectrum licenses.
If the cellphone carriers were only carriers you would be able to buy unlocked multi network phones from retail stores much cheaper than now. The manufacturers only sell to carriers now, if they could sell their products at retail there would be much more competition.
Don't you think Motorola, Apple, LG, Samsung and all the rest wouldn't be eager to sell to you? Of course they would. They would have to compete to do it but if they had to do it or go out of business, they'd do it. They are largely hampered by there being only 3 or 4 buyers (cellular carriers) for their products. 100 million buyers would be much better for them. Even if they only sold through Radio Shack, Walmart and other retailers they would have to compete.
Prices for both phones and service would decline and quality would improve. There would be real competition.
No carriers whining about unlocking phones. No carriers advertising phones, they would only advertise their service and how great it is, and without contracts they would have to provide good service or you would take your multi network phone elsewhere.