AT&T Raises Early Termination Fee For iPhone; Is It Losing iPhone Exclusivity?

News | Saturday May 22 2010 7:56 AM | Comments (0) Tags: , , , , ,

While the higher end devices like the smartphones and netbooks will see an increase in ETF, ”
” lower end phones will see a drop in ETF from $175 to $150.
However, the actual fee paid by customers severing their contract will be on a prorated basis. Consequently, the ETF on lower end devices will be reduced by $4 for every month that the user has stayed with the carrier. Similarly, the ETF on iPhone and other higher end phones will be reduced by $10 for each month that subscribers remain with Ma Bell. The Early Termination Fee may no longer apply if the subscribers' contractual period is over.
. As you may be aware, Apple is expected to
during the event. Consequently, AT&T's move to drastically increase the ETF on smartphones like the iPhone has given rise to speculations over an imminent launch of a CDMA iPhone .
could be launching in the next few months.
asthere were a few things that will disincentivize a majority of AT&T customers from fleeing the network.
The change in ETF for AT&T subscribers could be another disincentive for subscribers who may want to jump ship to Verizon when the CDMA iPhone launches. The carrier has however refuted claims that the increase in ETF for smartphones was targeted at any particular device.
It is also important to note here that AT&T's new ETF charges for smartphones is pretty close to the $350 charged by Verizon for customers terminating their subscription.
of this year, will you be ready to hold back on the purchase of
until then? What you think about AT&T's move to raise early termination fee for the iPhone ?

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