Switching Cellular Services in 2021

 

It’s been over a decade since it has been propitious for me to “go mobile” with cellular services.  My household has remained with Boost Mobile because it offered the most bang for the buck with unlimited talk and texting along with a generous hotspot capability gratis.  The handsets were mostly one generation behind, but they were affordable for replacement, thus obviating the expensive and unsatisfying “phone insurance racket.”

Alas, there have been shifts in the cellular marketplace which prompt a change.  As a thrifty  android aficionado, I regretted that LG decided to leave the cell phone market in July as I owned several iterations of the Stylus.  I had not heard good reviews of the LG Stylo 6 and I hoped that its successor would be worth procuring, but in the US the LG Stylo 7 was not  to be released.  

Boost does offer a Motorola Moto Stylus 5G but it has a higher price point.   I was considering getting a Moto Power, which has most of the features, aside from the stylus and massive built in 128GB RAM, but for less than half the cost.  But handsets are not the only thing in flux.

When T-Mobile merged with Sprint in 2019, federal regulators required the merged company to spin off Sprint’s house MVNO Boost Mobile so that there would be a viable fourth major cell competitor and lessen the likelihood of monopolistic price gouging.  

After some ado, Dish Network acquired Boost Mobile and the feds required T-Mobile to provide seven years of network sharing which would allow Boost could build its own celllular network. Prior to he merger, Boost relied on Sprint’s CDMA old network; however, T-Mobile relies on GSM networks (like much of the world).   Even though the trend amongst cell providers is to create 5G networks, it takes time to transition, especially for Dish’s Boost Mobile as it needs to start from scratch.  

T-Mobile decided to scrap the old CDMA 3G networks.  T-Mobile had sought to decommission the old CDMA network by the end of 2021.  But in pointed T-Mobile press release from  October 21, 2021, it announced that it was delaying the CDMA sunset until March 31, 2022 because its partners had not sufficiently followed through on customer migration to the new network.  Boost Mobile claims the tardy telephone services are post paid and not pre-paid like Boost. 

Despite the network sharing agreement, it requires new SIM cards for Boost’s “Expanded Network” which essentially means switching to 5G capable network.  Some Boost i-Phone customers, may just be able to upgrade their SIM cards.  But for the rest of the low budget customer base, that means new handsets. Although Boost Mobile offered some discounts, they are not remarkable incentives.

Despite being longtime customers, our loyalty is being shaken by provisions when switching from Boost’s “Nationwide Network” (CDMA) to “Extended Network” (a.k.a. GSM towers).  Aside from basically requiring new handsets for Android customers, whenever a retained customer Boosts up to the new network, they must join a new plan.  

Well we have a heritage Family Plan that was grandfathered in at two lines with unlimited talk and text and unlimited (really around 32 GB) data plus 12 GB separate of hotspot data for $80 a month flat (no extra taxes or fees).  It was not clear if two person family plans are available on the “Expanded Network”.  This could mean a $20 “boost” to our bill. 

After several frustrating webchats, a Boost CSR shared a webpage which indicates that a customer can change family plans, which presumably would extend into the new Extended Network.  But this information is contradicted by fine print on Boost’s webpage and frankly many opinions which contradict each other impeaches confidence in this assertion. 

So I considered other carriers.  The major carriers like Verizon, T-mobile and AT&T supposedly have migrated away from iron clad two year contracts with substantial early withdrawal penalties (up to $350).  Instead, this system has been replaced with expensive phones with installment plans over 22 to 36 months, which makes handsets seem so much more affordable, although this is on top of the cost for your phone plan. Taxes needed to be paid up front for the full value of the handset.  Moreover, if a customer switches before the phone is paid off, their contract is only released if the balance is paid off.  On the bright side, at least one can keep the device, but at a high price.

Then I looked at the pre-paids, which are MVNOs (Mobile Virtual Network Operators), which tend to offer good value for money, albeit with some cost cutting.  These savings can derive from not having brick and mortar stores, significantly automating customer contacts, offering older model new phones or encouraging customers to bring their own devices.   Boost is an MVNO which offered curtailed customer service and prior generation devices.  Now that Boost is switching to GSM, it seems that they may be dissuading data driven current customers from remaining to bring in new blood which is interested in inexpensive cellular plans that have less data attached to it.

As this analysis is being written, MetroPCS, a MVNO subsidiary of T-mobile since 2013, has an aggressive pricing plan to lure Boost Mobile and Cricket Wireless customers by offering a $25 a month cellular plan with unlimited talk, text and smartphone data.  This is half the cost of the comparable Boost Mobile plan.  The major difference is that Boost offers a hotspot whereas MetroPCS does not. Plans with hotspots start at $50 with an additional $20 a month surcharge.

To sweeten the deal in switching from Boost or Cricket, MetroPCS offers a free phone, a Samsung Galaxy A32 which on paper has good specs (6.54" screen, 64 GB internal memory, 4 GB ROM, and a 5000 Mah non removable Lith io battery, a quad rear camera with 48/8/5/2MP).  Boost Mobile offers this for $139.  

Frankly, I have my eye on the Motorola Stylus 5G, which has 218GB internal memory but otherwise similar specs for an additional $19.99 with the switch from Boost, whereas Boost Mobile wants $199 for the same handset.

To be fair, Boost is trying to retain customers with the Celero 5G for $49 online if one is invited (actually it rings up at $89.99).  The specs look good but there are some real question marks. Even in pre-order it seems out of stock, yet Boost will immediately charge the customer. Aside from the less discounted price, the manufacturer is not known, so it is buying a pig in a poke (but from my poking around, it’s FCC filings stem from Wingtech, a Hong Kong based company).  If my memory serves correctly, some handset providers from that area had problems with customers’ personal information surreptitious being sent to the Middle Kingdom. No thanks.

Boost Mobile consistently offers contradictory information about those switching to the Extended Network both in stores, on the website and through website chats.  It seems that the emphasis is to sell new handsets, even though the mid and lower priced models are two generations behind competitors, and push their BoostUp program which effectively locks customers in for 18 months.

From a market analysis standpoint, T-mobile through its subsidiary MetroPCS is leveraging its size with loss leaders (such as heavily subsidized handsets and half priced cellular plans) to drive away Boost customers.  This move may deprive DISH Network from having ample capital to build its own 5G network during the remainder of the T-mobile network sharing.  In doing so it may stifle Boost’s nascent attempts to become a fourth major US cell carrier.  

The handsets which MetroPCS has deeply discounted may not be the latest and greatest phones, but they provide plenty of value for money for most customers.  For my desired phone, it would be $180 savings vis-a-vis Boost Mobile website (or $226 via the BoostUp option).  And MetroPCS’s  presumably temporary promotion pricing would save a consumer $720 over two years. 

It is wise to consider what features cellular plan or a handset are crucial when discerning a cellular choice.  My household has prized hotspot tethering because we are often traveling to a place that has no household internet.  That may give Boost an edge.  But there are economic alternatives.  Rather than opt for a pricier plan with MetroPCS, one account could stay with Boost and share the signal while traveling.  There are also cheap prepaid carriers which are al a carte and could be turned on and off when tethering data is needed. There might also be other ways to achieve the occasional objective.   But saving $30 a month for two years is appealing to a thrifty techie.  And good customer service is priceless.  

Deals for Data Hungry Cellular Consumers

Now that the proposed merger between Sprint and T-Mobile has fallen through, the underdog cellular companies are jockeying for better position in the marketplace.

It used to be that voice minutes were the pivot but now unlimited talk time is not that unusual.  The battlefield shifted to texting, in which major players would force consumers to buy bulk messages to avoid being niggled with incremental costs for individual texts.  Now the concentration is on data.

T-Mobile pushed unlimited data earlier in 2014, but this claim had caveats.  T-Mobile included 500 mb of unlimited data at 4G LTE speed, but afterwards the speed dropped down to 2G level, which was OK for slowly opening e-mails but not really adequate for Web 2.0.  Thus consumers faced adding on data packages along with base $50 for talk and text.  There are three added tiers for T-Mobile data, an extra $10 for 3GB, +$20 for 5GB and +$30 for “unlimited” data.  Add on taxes and fees, consumers could expect to pay around $71, $83 and $95 respectively for their tiered talk/text and data plans. That does not represent a lot of savings for individuals  from the so called Un-Carrier.

That being said, T-Mobile’s "data strong" drive does have a few laudable features.  These plans include mobile hotspot capabilities, which some carriers have charged extra for the privilege.  T-Mobile’s first added tier includes 3 GB of data rather than the 2.5 GB which many carriers consider “unlimited” data.  T-Mobile claims to not charge data for consumers who listen to streaming radio from services like I-Heart Radio and Pandora (and offers a deal for Rhapsody).

If one considers choosing the Magenta carrier, make sure that you have good coverage both at your home base as well as places where you anticipate hanging out.  This is especially true for data coverage.  Having a sizable 4G data plan is little consolation when one can only get 128 kbs or no wireless data coverage in remote locales.



Sprint is rolling out what it terms “disruptive pricing”along with the prospect of unlimited 4G LTE data to grow its market share.  Sprint killed the “Framily” plan but replaced it with a temporary “New Day for Data” deal which data hungry cellular customers should like.  Through September 30, 2014, Sprint will allow four lines with unlimited talk/text and 20 GB of data (plus an extra 2 GB per line until the end of 2014) for $100 a month.  Plus Sprint will pay up to $350 in termination fees.  That sounds great, but the devil is in the details.

Of course, Sprint springs a $36 per line activation charge.  It guarantees the $100 a month through the end of 2015, when it then assesses a $15 per line access fee. So in 15 months, this family plan jumps to $160 a month before taxes (or approximately $190 after taxes and fees).  Individuals can take advantage of Sprints so called disruptive pricing with a $60 come-on rate (which jumps up $15 after December 2015).  The “Framily” plan supposedly met its demise because it was too complicated for customers to comprehend.  With all of the caveats and changing fees and services, Sprint’s disruptive pricing may similarly confuse consumers.

A year ago, a Sprint family which had 1500 shared voice minutes, unlimited texting and data had a base price of $60 per line along with a $10 smart phone fee (not counting workplace discounts).  So after the introductory rate expires, the only effective difference in the plans seems to be  that  the mobile hotspot is now complimentary, but eventually consumers will pay an extra $5 a month for the plan.  Although Sprint does not force customers into  the iron clad two year contract anymore, their EasyPay option installment plan has a similar effect and has consumers paying close to full freight on their handsets, albeit in 24 monthly increments.

So if you are a seriously heavy data user and need mobile data outside of major cities, Sprint may have a deal for you--but beware as the good times only last for so long.  And good luck keeping the terms straight.

Data driven consumers may also wish to consider a Mobile Virtual Network Operator on the Sprint network called FreedomPop.  This cellular service cuts costs by marketing pre-owned handsets and devices, eschewing advertising in lieu of social media marketing and sending voice calls through LTE VOIP, which may somewhat effect sound quality.

FreedomPop now offers LTE Phones (Samsung Galaxy 4, Galaxy SIII and Victory) with unlimited talk/text and data for $19.99, but their idea of unlimited is 1 GB at 4G LTE and then governed down to 3G speeds for the remainder.  FreedomPop also has a deal for "unlimited" data on tablets. FreedomPop is selling the iPad Mini and the Galaxy 3 tab which are refurbished 7" tablets with 4G LTE which also participate in the $19.99 unlimited talk/text and governed data but with mobile hotspot enabled. The MVNO does allow customers to Bring Your Own Devices (BYOD) but their whitelist is limited to certain models and all of the devices must be compatable with Sprint’s CDMA network and not come from other MVNOs like (Sprint owned) Virgin Mobile USA and Boost Mobile.

Many of the self-selected digerati may scoff at Sprint, T-Mobile and a MVNO claiming that their data speed sucks.  Fine, then pay a premium for Verizon Wireless and have a paltry bucket of data.  AT and T also is parsimonious about doling out data and extra use really is costly.

 All consumers need to make the right choice for them.  Speed and coverage can be important factors in choosing cell providers.  But the bottom line also drives decision-making for thrifty techies.

If one does not mind buying a remanufactured device or bringing your own unlocked device from Sprint and does not need torrents of high speed data, FreedomPop should be the Thrifty Techie’s choice.   For a cell phone user who uses a lot of data in a metropolitan area, T-Mobile would be a wise choice.  T-Mobile does have a little known monthly plan which has only 100 voice minutes but unlimited texting and 5 GB of data for $30 and has mobile hotspot capabilities.  In response to Sprint's disruptive pricing, existing T-Mobile customers and those they refer can receive one year of unlimited internet.   Techies who are major data consumers should get in with Sprint’s special while they can.

It seems that there are no easy answer for data hungry cellular consumers but only trade offs.

Patching Over the Disconnect on Cell Phone Savings

After becoming fed up for a high cell phone bill, I researched strategies when issuing a Cellular Call for Change in saving on mobile telephony bills.  Granted that people have different needs and one plan does not fit all.  But while the notion of economizing on cellular charges has an abstract appeal, many are called but few choose to mitigate mobile communication costs. 

It was clear that one impediment from consumers heeding a call for cellular change was the US cycle of receiving subsidized handsets in exchange for an iron clad two year contract.  Someone was interested in upgrading their iPhone 4S to an iPhone 5.  The cellular customer would likely stay with Verizon because of their excellent coverage but she is pressed to upgrade as there is only a limited period that the “new every two” is applicable. 

Sometimes, the desire for a shiny new techno-toy overrides everything.  A nephew got tired of using his feature phone to text so he wanted to splurge on a Google Nexus 4 from T-Mobile.  But in order to satisfy this techno sweet tooth for Android Jelly Bean meant walking away from a grandfathered $25 per month pre-paid plan through Mobile Virtual Network Operator (MVNO) Virgin Mobile.  After the sugar rush from Jelly Bean, he may be surprised that not only did his monthly bill double, but he also is responsible for taxes and fees which often add an additional 20%.

Another friend who would be  inclined to economize on cellular costs feels that switching cellular providers is impossible because of the family plan.  Nights and Weekend and mobile-to-mobile minutes cut down on metered usage.  And big buckets of shared data has a mystique.  Sprint prides itself on truly unlimited data.   But how many cell phone users consistently stream Titanic on a 4" screen?  It might well be cheaper to get separate plans with an MVNO but it pays to check your usage yourself first before switching.

There is a strange bias in the cellular industry about prepaid plans, which is epitomized in a mock Apple i-phone ad.  Sprint’s Customer Retention Represenatives employed a  strange selling point when trying to break up with them as they denigrated Sprint’s own MVNOs of Virgin Mobile and Boost Mobile as being “just a prepaid plan” was supposed to be a selling point, when those MVNOs could cut my bill in half.   In response to this built up consumer bias, some prepaid cellular providers like Cricket Mobile have migrated away from branding their handsets so that others do not look scornfully at their consumers.

As I was migrating to Virgin Mobile , my beloved wife hesitated because of her love of a sliding keyboard smart-phone.  Some MVNOs like Boost Mobile and Ting (both running off of the Sprint network) allow for Bring Your Own Device (BYOD) but  that “white list” can be short list as new phones are excluded. Boost has since rescinded BYOD as it was not popular Alas, sliding keyboard smartphones have gone out of vogue so she will either have to adjust or lovingly cradle her handset for the foreseeable future.

Aside from overcoming the unwarranted bias against prepaid plans, stifling the urge to get new subsidized phones in exchange for a two year contract and feeling that a consumer NEEDS to have unlimited minutes, the wise cell phone shopper should discern what they need based upon experience and inclinations.  If you have to have coverage everyone, then pay a premium for Verizon’s excellent cellular coverage.  If you find that you unlimited data is sine qua non, then look to Sprint,

Other carriers claim that they have unlimited data but they have different understandings of the concept than a plain reading of the words. For instance, T-Mobile’s base smartphone plan touts “Unlimited Data at 4G speed”.  But in smaller print, this unlimited 4G data is only for the first half gig, after that you are governed down to 1G speed (more or less 128kbs).   For comparison purposes, think back to dial up internet, where you could surf via telephone at 54 kbs.  Today, it might work at a plodding pace for e-mails, but forget about downloading graphics much less video. 

There are some new and lesser known cell providers which might be the right choice.  Ting is a cellular phone service by Tucows using the Sprint network has a pay for what you use approach and they allow customers to have multiple devices on the same account and to use use old Sprint devices.  Another attractive feature is bundling in features like HotSpots gratis, while other carriers charge a premium (e.g. Sprint charges $19.99 for 2 GB Hotspot).  








FreedomPop is another prospective MVNO celluar provider which operates on a “Fremium” model.  When FreedomPop offers 200 voice minutes, unlimited texting and 500 MB of data for FREE. You can get unlimited calling for $7.99, unlimited calling and texts for $10.99 and for many of their handsets "all you can eat" voice, text and data for $20.00 a month. Moreover, FreedomPop will allow customers to use old Sprint phones.





 How can FreedomPop expect to charge nothing and give away their base plan?  They have found with their mobile hotspots and wireless home internet that about 40% of their customers pay for some upgrades.   FreedomPop’s calls will be made using 3G VOIP, which should have good sound quality.  FreedomPop’s Freemium model also relys upon social networking for advertising, so customers can earn more data or minutes by taking surveys or recommending friends.  FreedomPop also economizes by not having humans staffing their customer service outreach.  


Several parents in “my circle” have considered getting their tween children cell phones to keep in touch after school etc..  For techie involved parents, Kajeet might be a good provider.  Kajeet is a Sprint based no contract MVNO created especially with kids in mind with plenty of parental controls.  While Kajeet offers pay-as-you-go plans which start at $4.99, a worried parent might want to get the $24.99 plan, which includes 300 anytime minutes a month, unlimited texting along with a GPS locator.  The GPS Phone locator allows parents to find their kids at any time, as well as allowing parents to schedule e-mail updates on their childrens’ whereabouts.  Kajeet allows for BYOD but only for Sprint phones.   The fine print indicates that Kajeet adds a 10% transaction cost to all service plans supposedly to defray administrative costs. 

Another approach for kid communication might be thru a PayLo plan from Virgin Mobile, which can be as low as $20 a month for 400 minutes, but texts are 15 cents each and very expensive web access at $1.50 per MB.   The PayLo $30 plan has unlimited calling and unlimited messages but the very expensive $1.50 per MB for internet.  Frankly, it would make more sense to go with a low end Virgin Mobile plan which offers 300 voice minutes, but unlimited texts and unlimited internet (but after 2.5 GB, the user is throttled back to 3G speed).   Virgin Mobile USA does not allow customers to port their phones.  

Most of Virgin Mobile’s  non-subsidized phones are popularly priced (as they are older handsets) but they are currently offering their non-contract  i-Phone 5c and i-Phone 5s as well as the i-Phone 4s (selling for $404.99, $489.99 and $279.99 respectively). 

For those who resist joining the Apple cult and still want a stylish new phone from an MVNO cellular provider, Virgin Mobile USA will soon by selling the Sharp Aquos Crystal for $149.99, which is $100 less than thru it's corporate parent Sprint.

Why Don’t People Answer the Call to Cellular Phone Savings?

One of the costly monthly expenses for most households in America is their cellular phone bill.  The CTIA Wireless Association estimates that average cell phone bill was $47 in 2012 but many individuals pay double that amount.  The CTIA figures do not factor in the costs of handsets or choices for “reasonable” plans

Smart phone consumers comprise 46% of the market (including 66% of youths aged 21-30).    The CTIA figures do not factor in the costs of handsets or choices for “reasonable” plans.  So there may be a low cost plan, but if one is required to carry a data package, monthly costs precipitously increase.

Another reality is that the most of the major American cellular carriers push subsidized phones with strict two year agreements.  Few cellular consumers consider the overall costs incurred with such a subsidized cell phone contract.  Such customers are  are more concerned about getting what they perceive is the latest and greatest handset for a couple of hundred dollars down (usually 1/3rd of the actual cost) while paying a significantly higher amount in the monthly cellular bill then they might pay otherwise.  

Tero Kuittinen, an independent market analyst from Alekstra, notes: "That psychology has worked for hundreds of years, and it’s still working.”   Another factor to consider is the attachment that many people feel toward their cellular purchases.  AT and T retained gripping customers for years because it retained a monopoly on i-Phones, which had a less generous plan and cost more than other smartphones, but those in the Apple cult craved it.  It seems akin to the mentality which drives new car purchases that customers will overspend to get that “new car smell” for a durable that loses 20% immediately after purchase. 

T-Mobile took the lead among cell providers in weaning prospective customers from the subsidized cell phone model with their Simple Choice plan.  But an  alternate model which T-Mobile innovated but had more success in competitors emulating is the “Next, Edge, Jump” and “OneUp”.  These programs which are essentially cell phone installment payment plans.  Consumers lease a phone by paying a bit extra ($10-20 a month plus up to $10 for the privilege) for 20 to 24 months  but with the ability  to upgrade in six months to a year.  But if consumers do not “jump”, then they will pay significantly more as there is no subsidy underwriting the purchase. This sort of gimmick may have some appeal to digerati would constantly want to upgrade without being locked in a contract, even though they are effectively locked in a contract.

Alas, cell phone services are not fungible.  Aside from the handset cost, choice of carriers are impacted by coverage.  An inexpensive plan is worthless if one does not get range in one’s preferred calling area.  Verizon Wireless has the best coverage but people pay a premium for the extensive coverage.  But most customers may not need such extensive range.

Cost conscious consumers should know that they can cut their cellular costs in half (or more), by using Mobile Virtual Network Operators (MVNOs), pre-paid cell plans and fremium cell providers like FreedomPop. But the reality is that according to Ovum, only 23% of cellular customer have opted for such frugal mobile phone service. 

 As MNVOs and the ilk do not have the deep pockets for advertising, they have a dubious reputation.  In fact, when breaking up with Sprint to switch to one of its MVNOs Virgin Mobile to save half on cell costs, the customer service representative thought that it was a compelling argument to sneer “Well, that’s a pre-paid phone”.   As a customer who had been off his contract for over a year and did not need another handset, that was a less than convincing ploy. 

Usually, second tier cellular carriers offer less current handsets.  Even though these cell phones may only have been on the market for six months, finicky consumers turn their noses at these out of data handsets.  Sometimes, upgrades are prudent, such as switching from a 3G phone to one that also gets faster 4G or LTE coverage.  But when a new release is buggy, or simply has minor cosmetic changes, a savvy consumer should question whether the latest is really the greatest. Of course, with Apple i-Phones, a consumer can not replace the rechargable battery himself, so it may only be good for around 18 months before starts to need replacement.

Personally, I have always considered the cellular phone plan to be more important than the particular handset.  In addition, I tend to baby my cell phone, so it has less wear and tear on the unit. But my experience switching cellular carriers from a Sprint HTC Evo with a 4.3" capacitive screen to a Virgin Mobile Samsung Victory (Galaxy II) with a 4.0" but with 4G LTE has demonstrated that the slight difference in display size impacts inputting on a virtual QWERTY.  

What may drive my decision to switch cellular companies again is whether FreedomPop allows for Bring Your Own Devices with their Freemium model roll out.  I would not buy one of FreedomPop’s outdated and refurbished HTC Evo Designs for $99 (or later $149), but I would happily switch to FreedomPop to get 200 voice minutes, 500 texts and 500 MB of data for free.  FreedomPop is relying on consumers to add on to their free base.  I might get unlimited calls and texts with a half Gig of data for $10.99.  But since FreedomPop will allow for tethering (hotspots) and they charge $10 per Gig of data, my old HTC Evo might be a supplemental hotspot for months that I need it. 

In another phase of its Un-carrier campaign, T-Mobile tried to  wreck the international roaming racket. T-Mobile stopped charging more for international text for Simple Choice customers when sending to 100+ countries.  Calls to Simple Global countries aside from the US are at $0.20 a minute.  Most importantly, there is no outrageous international data roaming charges at standard speeds.   However  there are some caveats to this International Roaming largesse.

Alas, T-Mobile considers 2G (or 128 kbs) to be an ideal speed for e-mail, social media, web pages and navigation but it such speeds would be painfully slow for graphic intensive applications.  So T-Mobile also offers three speed boost plans for international travelers.  One day of higher data speed (100 MB) for $15, one week (200 MB) for $25 and two weeks (500 MB) for $50.  This would be good for international travelers keeping in touch at home but operating on a guarded basis .  Since T-Mobile allows BYOD for GSM phones, it might pay for a traveler not taking a quick jaunt overseas to pick up an old unlocked GSM phone and sticking with T-Mobile.  Or they could just use that unlocked GSM phone with local SIM cards.  

As America enters harder economic times, more consumers may try to beat the high cost of living by answering the call to cheaper cellular services.

h/t: The Joy of Tech

A Cellular Call for Change

An important aspect of living in the Twenty-First Century is mobile communications.  Many have severed their ties to landlines.  People use the internet for e-mail, entertainment, information and productivity.  And cellular telephony allows people to take their pocket computers disguised as smartphones everywhere, with the expectation that the devices can be used ubiquitously.

Although the advances in electronics allow for incredible capabilities, the reliability is not perfect and seemingly every option of cellular providers has some disadvantages.


The American mobile telephone market has been dominated by a couple of corporate carnivores spawned from the breakup of Ma Bell in 1984.  Verizon Wireless (comprised of Baby Bells Bell Atlantic and NYNEX) and AT andT Inc (which started out as Southwestern Bell, but gobbled up Bell South, AT and T, Ameritech and Pacific Bell et ali).  



The nation’s third largest cellular telephony provider is Sprint, which started to deliver long distance as part of Southern Pacific (Railroad) Communications in 1978.  Sprint grew through successful  mergers with GTE and Nextel.  The last of the big four cellular companies is T-Mobile which is a holding company for Deutsche Telekom AG.  The US Department of Justice blocked a merger with AT and T in December 2011.  T-Mobile has acquired MetroPCS.  And  Now T-Mobile is in process of acquiring MetroPCS.  The Japanese Softbank owns the majority of Sprint and is looking to also aquire T-Mobile.  

This colorful corporate history of American cellular companies can offer a bit of perspective on the carriers.  Verizon’s and AT and T’s lineage stem from Ma Bell.  It is not coincidental that Lennie Bruce once likened communism to being like a big phone company, as an all powerful Leviathan is not known to be responsive to consumers or have competitive tendencies.  Sprint has cobbled together disparate technologies (CDMA, iDEN) and is trying harder but does not have the leverage to break out of the third place showing.  T-Mobile’s European parent may influence the GSM technology (the international standard technology) and it explains why T-Mobile was the first cellular company to try to stop subsidizing handsets which required a two year contract. 

To compound confusion on choosing cellular providers, there are Mobile Virtual Network Operators (MVNOs) which are companies that do not own radio spectrum or wireless network infrastructure but still can provide service by piggybacking on other cellular network’s overcapacity. In the U.S., these are generally prepaid plans which offer more economical rates without some of the frills that customers locked in a contract have.  For example, Virgin Mobile (a wholly owned subsidiary of Sprint) can offer a generous 1200 minutes a month for $45 with unlimited 3G data (and 2.5 GB full speed 4G data) and texting.  But a similar Sprint plan costs $20 more, but includes free nights and weekend voice minutes and unlimited data and texting.

It is unwise to think that there is only one answer for everyone on choosing a cellular provider.  Cost can throttle choice.  Coverage can vary widely.  People also use their phones differently.  The best advice is to know yourself and investigate thoroughly.


>


So many people are seduced into being locked into a carrier with the “New Every Two” mentality.  While wear and tear and technological improvements can make this replacement cycle appealing, the shiny new “toy” comes at a cost of another two year commitment and possible changes in contractual terms.  A couple of years ago, AT and T alienated iPhone owners by altering the “all you can eat” data plans.  New customers had a cap.  Some old AT and T iPhone customers  also complained that when they wanted to upgrade that their grandfathered unlimited data plans not convey.  

One other calculus which consumers need to consider is convergence.  Cellular technology can act as a phone, a credible camera, a GPS system, a reading device, a mobile computer etc.  When calling for a cellular change, the savvy consumer will explore how his chosen plan and his handset can take advantage of convergence.  For example a usable hot spot capability can connect a laptop or a tablet making a separate device a redundant expense. 

Verizon has the best voice and data networks, but you pay a premium for that privilege and it is notorious for extras (e.g. texting and data tiers) and some hard nosed business practices.   AT and T used to have an I-Phone monopoly which has ended, but they brag that they have the largest 4G network (though AT and T is storied for complaints about coverage).   The big two’s data advantage might increase as they have leverage over low band WiFi. 

T- Mobile used to be know for their calling circle promotion.  Now they want to be considered the Simple Choice, which is an option to stop subsidizing phones in return no contracts and lower monthly costs.  But their network is spotty outside of major metropolitan areas.  Perhaps the MetroPCS will increase their network’s footprint.   

Even though Sprint completed its acquisition of Clearwire (which provided their 4G WiMax data), Sprint has declared that it will fully convert to the US standard of 4G LTE.  Which means that even the best cared old Sprint handset will need to be replaced to get 4G coverage.  But Sprint has been slow in rolling out the LTE by not making promised deadlines.

Personally, my household has been a contract customer with several of the big four cellular carriers, but we dote on the terms of the contract and will not take the phone upgrade temptation track.  As the market has changed, I am developing an openness to pre-paid models that have lower monthly costs but lack the subsidized phone.  Recently,  I was almost ready to switch, but I noticed that my chosen MVNO had a limited selection of phones which had LTE capability.   While I was willing to wait for LTE to officially arrive shortly in the District of Calamity (sic), the limited phone choice prompted me to investigate further.  

It was a good thing that I studied the details, as the only LTE phone did not provide a hotspot option, which was a deal breaker for me.  I was willing to pay $15 a month for a Hot Spot with 2.5 GB full 4G LTE, as I could drop a NetZero low capacity Hot Spot and get better service.   This plan has not been ruled out but tabled for better choices.

In the cellular industry, things can change pretty quickly.  It may be that Amazon puts out a Kindle Phone in which Amazon acts as a MVNO.  Like the Kindle, Amazon may sell their devices at near cost and bank on the ease of future purchases through Amazon to pull out the profitability.  This option is appealing as Amazon’s customer service has been top rate (unlike certain phone companies) and my prior Kindle ownerships have hooked me into their system.  But opting for Amazon would still require scrutinizing the calling plans and handsets and correlating  hem to my household’s needs. 

Choice is great but it can be confusing and requires some sacrifices.  Then again, there’s always  the  Obama phone.  

But Lifeline program is rife with abuse and Congress is considering cutting back on the program, which has tripled in size since 2009 to cost $2.2 Billion per year.   Considering President Obama’s troubles with surreptitiously seizing phone records of scores of Associated Press employees, cutting back on the Obama phones might be prudent.