Verizon pushing it's upgrade fee to $30

[jsntrenkler]

I think it's ridiculous that carriers charge you to upgrade your equipment via service fee. At minimum they should give you the option for home activation with no fee. It's not hard to do a imei swap from your browser, and really what does it cost them?


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[Fausty82]

I only upgrade once every two years so it's not a big deal to me. $30 isn't going to break the bank for me (seems like it will for a lot of other people in here). If people can afford to buy expensive phones at retail, then this shouldn't be a problem for them.

It's not about the money "breaking" me. I can well afford it.. but this is about the principle of screwing over the paying customer just because they can get away with it. It's nothing but an ugly, greedy money grab.

 

[Kehjj04]

I'm not worried about it even though I don't fully understand what this means. It's only a one time fee of $30, not a big deal

Ditto. If im willing to shell out hundreds for a new iPhone then what's 30 more??

 

[Adawg1203]

This fee is a non issue. And the last i checked our friends at Apple are sitting with almost a trillion dollars in the bank. Yet, I hear no one complaining about the prices they charge for their products.

Everyone enjoys the convenience of buying a $650 iPhone at the cost of $300 when they upgrade, and who do you think subsidizes the rest? Yup, Verizon. Apple sure isn't providing them with any discounts. And when consumers break contracts early, paying a termination fee still doesn't always add up to the cost of what Verizon paid for the device. In the end they lose.

When you look at things as a whole, you can better see VZ is not trying to line there pockets. But merely, trying to offset some the costs from broken commitments and other things. When carriers subsidize phones it immediately impacts there bottom line (negatively). Remember, they pay in advance to Apple the full cost of the device. What if the carriers didn't subsidize a device? Now that would be reason to complain.

So, you can still choose to be upset with Verizon over such an insignificant fee. However, save some of your anger for Apple, who continues to rake in record quarterly profits then, ask them to slash the prices of their products by $30 and see how that works out for everyone.

 

[c_hack]

This fee is a non issue. And the last i checked our friends at Apple are sitting with almost a trillion dollars in the bank. Yet, I hear no one complaining about the prices they charge for their products.

Everyone enjoys the convenience of buying a $650 iPhone at the cost of $300 when they upgrade, and who do you think subsidizes the rest? Yup, Verizon. Apple sure isn't providing them with any discounts. And when consumers break contracts early, paying a termination fee still doesn't always add up to the cost of what Verizon paid for the device. In the end they lose.

When you look at things as a whole, you can better see VZ is not trying to line there pockets. But merely, trying to offset some the costs from broken commitments and other things. When carriers subsidize phones it immediately impacts there bottom line (negatively). Remember, they pay in advance to Apple the full cost of the device. What if the carriers didn't subsidize a device? Now that would be reason to complain.

So, you can still choose to be upset with Verizon over such an insignificant fee. However, save some of your anger for Apple, who continues to rake in record quarterly profits then, ask them to slash the prices of their products by $30 and see how that works out for everyone.

Your rant makes no sense. The upgrade fee applies to all their phones - Blackberries, Androids, iPhones, flip phones.

Verizon already makes ridiculous profits and are just getting greedier. Blaming Apple for Verizon's greed is just lame.

 

[johnkey]

I don't like these charges. Build them into the cost of the phone or do something with the monthly charge, but to have to pay to renew a contract feels like I am being poked.

 

[Fausty82]

I don't like these charges. Build them into the cost of the phone or do something with the monthly charge, but to have to pay to renew a contract feels like I am being poked.

Psst. Hey, buddy. if you give me $30, I can lock you up in a contract where you pay me $xxx each month for the next two years... and if you want out early, it will only cost you $375.

That's the deal that I've been waiting for.

 

[Adawg1203]

Your rant makes no sense. The upgrade fee applies to all their phones - Blackberries, Androids, iPhones, flip phones.

Verizon already makes ridiculous profits and are just getting greedier. Blaming Apple for Verizon's greed is just lame.

First, it's not a rant. Secondly, we all know this applies to all devices. How many flip phones do you think Verizon sells compared to iphones, Androids even BB's. Today, most people buy expensive smartphones. Like everything the cost goes up on these devices as features increase. Can you tell me the device verizon loses the most money on? Probably not since you just blurted out an uneducated opinion.

Lastly, i am not blaming Apple for anything. You say Verizon already makes rediculous profits, but from what? Here's a hint, its not from the selling of phones.

 

[Fausty82]

First, it's not a rant. Secondly, we all know this applies to all devices. How many flip phones do you think Verizon sells compared to iphones, Androids even BB's. Today, most people buy expensive smartphones. Like everything the cost goes up on these devices as features increase. Can you tell me the device verizon loses the most money on? Probably not since you just blurted out an uneducated opinion.

Lastly, i am not blaming Apple for anything. You say Verizon already makes rediculous profits, but from what? Here's a hint, its not from the selling of phones.

No, it's NOT from selling smart phones... it's from voice, data and text messaging plans. Sorry, but if they choose to sell handsets at a loss, that's their business decision. I look at it like the razor/blades model. Sure they take a financial hit on the sale of the device. But they make it up on services... and gouging customers an extra $30 for the privilege of buying a phone that costs the wireless provider money is NOT the way to solve any financial issues that they may have. Just like Gillette giving away razors to sell more razor blades, VZW and the other service providers have an opportunity to make it up selling their services. If they can't make it, that's too bad... the mobile industry in general is making more and more off of data (and obscene texting rates), and less on voice... yet it's the voice plans that set the rates for service plans, and sets the bar for profits... for the most part the data services, which are becoming their most used service come at one or two price points. Perhaps they need to rethink how they sell their services.. but again, screwing the customer by charging $30 for the privilege of going under contract is not the way.

 

[rewNATION]

people just don't understand that this is the way the world is moving. it's pretty simple really, if you don't like it, don't get a cellphone (or get a burner instead). What did you think was going to happen? Did you think they were going to lower costs or something? Get real

 

[Just_Me_D]

...(snipped)...

Everyone enjoys the convenience of buying a $650 iPhone at the cost of $300 when they upgrade,

True

and who do you think subsidizes the rest? Yup, Verizon. Apple sure isn't providing them with any discounts.

True again

And when consumers break contracts early, paying a termination fee still doesn't always add up to the cost of what Verizon paid for the device. In the end they lose.

Also true, but, we the consumer did NOT set the early termination fee nor did we sign contracts with Apple in the sense that the carriers did which in turn caused them to, as you put it, lose. They themselves are to blame. It's like advertising Unlimited plans and then punish the consumers for using an unlimited amount of data and trying to slant them as being inconsiderate of other users.

When you look at things as a whole, you can better see VZ is not trying to line there pockets. But merely, trying to offset some the costs from broken commitments and other things. When carriers subsidize phones it immediately impacts there bottom line (negatively). Remember, they pay in advance to Apple the full cost of the device. What if the carriers didn't subsidize a device?

People would still buy the products but they would be intolerant of being tied to a contract. ...(snipped)...


Just Me, D
(Tapatalk - iPhone 4S)

 

[Adawg1203]

There does need to be some tweaking on the data plans and how they are packaged. The issue with the carriers is, they are not making up the difference for selling phones on subsidy, with there plans.

The new chatter from the carriers is, stopping subsidies on some devices. Now thats a sting we will all feel if, carried out. To me, that's a drastic move but it's all about the margins to them.

Right, wrong, indifferent wireless companies are going to find ways to deal with thier cost. Like the next person I do not want to pay any more than I have to, but this $30 charge to upgrade may be better than the alternatives.

 

[Just_Me_D]

There does need to be some tweaking on the data plans and how they are packaged. The issue with the carriers is, they are not making up the difference for selling phones on subsidy, with there plans.

The new chatter from the carriers is, stopping subsidies on some devices. Now thats a sting we will all feel if, carried out. To me, that's a drastic move but it's all about the margins to them.

Right, wrong, indifferent wireless companies are going to find ways to deal with thier cost. Like the next person I do not want to pay any more than I have to, but this $30 charge to upgrade may be better than the alternatives.

Well stated.


Just Me, D
(Tapatalk - iPhone 4S)

 

[Fausty82]

Well, well, well... lookie here... apparently Verizon does need the $30/upgrade to cover their costs... their NET REVENUE for LAST QUARTER were only a paltry $3.91 BILLION. Tough to survive on that. Plus they added nearly 750,000 NEW subscribers...

http://www.imore.com/2012/04/19/verizon-sells-32-million-iphones-earns-391-billion-q1-2012/

 

[MRSBROWN2006]

If it keeps costs down for me in the long run, then I am fine with the extra 30.00. Now I will be buyng my two iphones at retail, but I like having the option to go on contract for the reduced price vs. being forced to always purchase retail price due to having no carrier subsidies. I agree with the op who said if one can afford to shell out a couple hundred for an iphone, bb, whatever, then 30 dollars is not that critical to the overall picture. Either that or sell back your old phone and get that thirty bucks paid for completely.

 

[Fausty82]

Interesting development... I bought an iPhone 4S upgrade a the Apple store rather that at my provider's store (AT&T), and was not charged any upgrade fee. It's been 3 months... wonder how VZW handles that? Maybe a "backdoor" around the fee?

 

[Peligro911]

I have had Verizon for years and never been charged any upgrade period via a store or online


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