Not exact matches
The carriers didn't make a profit on the old,
subsidized phone plans, so they've benefitted
from shifting the expense onto customers directly.
So the aim was not only to provide basic infrastructure needs freely or at
subsidized prices, but to prevent private owners
from erecting tollbooths on roads and charging monopoly prices for power,
phone systems (as in Telmex in Mexico or similar
phone monopolies in the post-Soviet kleptocracies).
The purchase of a
phone, either at full retail or
subsidized, does not constitute a guarantee
from T - Mobile that the device will be updated.
Cellphone companies, by contrast,
subsidize the sale of
phones but profit
from monthly service charges.
T - Mobile doesn't sell
subsidized devices like a traditional carrier — they'll sell you a new smartphone on an installment plan if you like, effectively decoupling the price of the
phone from the price of the monthly service.
Carrier pricing will certainly be less on contract, but the Nexus 6 marks the end of «
subsidized» Nexus
phones sold directly
from Google.
But carriers have since moved away
from contracts and the
subsidized phones that came with them.