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Posts: 607 | Thanked: 450 times | Joined on Sep 2009 @ Washington, DC
#8
Originally Posted by livefreeordie View Post
There's one thing I've been wondering about the US market. If people really believe a smartphone costs $99, like they seem to do, wouldn't the market for actually cheap phones be nonexistent?
No, actually cheap phones are free. In fact, I've seen prepaid phones on sale for less than the value of the prepaid minutes that come with the phone.

Originally Posted by livefreeordie View Post
Conversely, if people are actually buying the cheaper phones because they realize they come with cheaper monthly rates, then why do they still talk like those smartphones actually cost $99?
Because Americans, in general, have no idea what "unlocked" means. They take it for granted that a phone only works with one carrier. If you change carriers you change phones. It's only in the last few years that Americans have been allowed to change carriers without changing phone numbers as well. Furthermore, there is no discount for not buying a subsidized phone from the carrier versus providing your own unlocked phone.