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Carrier pricing makes no sense


New member
Apr 2, 2011
Since we're waiting to order our new iPhone 5 I thought I would vent a bit.

While researching my best deal to order our new iPhone 5's (64gb) I have come across something that just doesn't make any sense except maybe to carriers.

Backstory, my wife, son, and I have been ATT customers through all the acquisitions for about a decade. In fact I'm an enterprise customer (meaning I work for a major ATT customer and get extra discounts). I knew going into this, that all 3 of us are in contracts and not up for earlier upgrade so we would have to pay close to full retail.

Since I knew Verizon has a larger LTE footprint I created a test order to understand what it would cost me to switch my service to Verizon. What I found out is just simply baffling to me, it's $402 cheaper to pay to get out of my 3 contracts and buy new iPhone 5's (64gb) from Verizon.

I for one would think it should be the same or a bit cheaper to stay with ATT.

Anyone interested in the math See below

Price to end all 3 contracts with ATT = $746
Price to purchase 3 iPhone 5 64GB from Verizon on contract = $1199
Total to switch from ATT to Verizon = $1945

Cost to purchase 3 iPhone 5 64gb from ATT =$2347
Saving to switch to Verizon from ATT = $402

Again I'm struggling to understand how this makes sense and why you would treat your customers this way.