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Sunday October 25, 2009
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T-Mobile introduced a range of reasonably priced, no-contract unlimited use plans today with their "Even More Plus" plans. Their new plans are cheaper than other major carriers in many circumstances, and the no-contract options are the most affordable I've seen so far from a major carrier.
The "Even More Plus" plans have no contract required, with free nights, weekends, and T-Mobile to T-Mobile calling. Unlimited plans cost $49.99 for talk only, $59.99 for unlimited talk and text, and $79.99 for unlimited talk, text and smartphone Web access. Two-line family plans are $79.99 for talk, $99.99 for talk and text, and $139.99 for talk, text and smartphone Web. Plans with limited minutes are cheaper.
As Usual, Too Many Options Of course, this being a wireless carrier, there are an insane number of options. You can get as little as 500 minutes on one line for $29.99, or 750 minutes on two lines for $49.99. Adding unlimited Web for a regular phone costs $10 per line, or $25 for a smartphone.
So what do you lose? You lose discounted phone prices. No more free phones with the no-contract plans. Instead, you get an "equipment installment plan" that lets you pay for expensive phones divided over 20 months, at 0% interest - in other words, you could amortize a $500 phone for $25 per month added to your bill.
For folks who want discounted phones, there are "Even More" plans, which requires a two-year agreement and cost more per month, but give you the subsidized phones that Americans are used to. Even More's unlimited talk plan starts at $59.99; a two-line unlimited family plan starts at $99.99.
But the no-contract plans always end up cheaper over a two-year period. That's because you pay back the phone subsidy well before your 24 month contract ends, and even before the 22-month point when you're eligible for another highly discounted phone.
Let's say you're picking up a MyTouch 3G. T-Mobile has a $350 subsidy for this phone. If you plan to get unlimited talk, text and web, Even More Plus costs $20 less per month than Even More. You'll pay back that subsidy in about 17 1/2 months, after which you're paying T-Mobile $20 extra for nothing.
This equation changes depending on the phone you choose. Let's say you want a talk-only plan with the inexpensive Sony Ericsson TM506. There's only a $140 subsidy on that phone, and the difference between the plans is $10. So the no-contract option becomes cheaper after 14 months.
Versus the Competition Verizon Wireless also offers all of their phones on month-to-month plans, but they don't offer the installment payment option for phones, and their plans are much more expensive than T-Mobile's. Verizon's unlimited talk-only plan is $99.99 - that's the same plan as T-Mobile's $49.99 choice.
There are a few ways to find other carrier plans which are cheaper than T-Mobile's. For instance: a smartphone with 500 minutes on T-Mobile's talk, text and Web plan costs $79.99/month; a smartphone with 450 minutes on Sprint's Everything Data plan costs only $69.99/month.
For longtime T-Mobile users, a few elements of the new plans may rankle - there's no Web option that costs under $10, and apparently no text message bundle under $10, either.
T-Mobile used to have $3 and $6 Web options for various phones, and many existing customers are still using those plans. Ditto for the new $25-30 smartphone Web option; it used to be $20.
As for text messages, older plans had messaging bundles under $10. With the new plans, it looks from T-Mobile's Web site like unlimited messages for $10 is the only way to go.
And, of course, there are still reasons to choose carriers other than price. Verizon still has the best-rated coverage. AT&T still has the iPhone.
Conclusion T-Mobile's basic unlimited talk plans are now cheaper than every other major carrier. They don't quite match MetroPCS, Cricket or Boost, but T-Mobile has more exciting phones and national coverage.
The carrier is also now offering affordable, comprehensive no-contract options. For folks who don't want to make a commitment - which includes a lot of geekier types - that's just huge. Bravo, T-Mobile.
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October 26, 2009 12:10 AM
You neglect to mention, with your comment of sprint's plan being cheaper, that t-mobile is more expensive if you decide to go the contract route, whereas it is cheaper, 59.99, without the contract. If you buy a mytouch on ebay or craigslist for 250 to 300, i've seen that price commonly, you'll pay less in the two years than you would for a contract with sprint and purchase of a hero, betwixt 70 and 170.
October 26, 2009 2:48 PM
Boost Mobile may still be more affordable than Even More Plus with unlimited talk, text and Web for $50 per month, saving $360 annually, but Boost customers can also take advantage of true nationwide coverage that reaches more than 274 million people in over 17,500 cities on the dependable Nextel network compared to regional-only carriers MetroPCS and Cricket. On top of all this, Boost won't nickel and dime customers with questionable fees or extra taxes. We call that value plus.
October 27, 2009 1:10 AM
I would like to buy a T-Mobile. Please help me some one.
October 28, 2009 9:39 PM
Not really radical prices. Everybody made such a fuss about the mysterious 'Project Dark' and now it turns out its just more of the same...
I already use a plan that's much cheaper than this and have better coverage under Verizon. The plan is Straight Talk and $45 gets you unlimited everything. Project Dark compares poorly to that.