View Full Version : Operator subsidies? What's the point?

25-10-2002, 06:20 PM
In many countries from Europe and not only, the handset subsidy is very common and many people are more than happy to get a "great deal", by buying a new handset with subscription, or any others apparently great offers, like "unlimited GPRS", etc. Can someone explain what's the point with these offers? Don't you understand that, at the end, you, the consumer, will be the one who will pay the whole price of the package, and much more? Do you really believe that the operators will sell you the phone (e.g. Orange spv) with such a lower price, only because they are nice? And the services they offer, are they really almost for free as they seems to be? So, at the end, what's the point with these subsidies? I ask this, because in Finland, for example, there is no such thing like subsided phones with contract. And if you cannot afford to pay the whole amount of money, there is the small credit system, where you can buy the phone with an initial small amount and the rest with monthly payment in 12 months or so. Is there any difference between this small credit system (where you are not linked to any operator), and the operator subsidies, except that the former is, at the end, more expensive? :cry:

25-10-2002, 09:33 PM
It depends on the situation.

If u can get a phone with a 75 USD Discount, and the contract fee is 4 USD/ Month, think about it...

You keep the phone, get GPRS or other free services like 200 free sms,,,,,,, and everybody is happy.

The GSM operator increases (on paper) the number of subscribers, the reseller gets 50USD or less bonus for new customer, You get a Phone.

Got It?

25-10-2002, 09:42 PM
It depends on the Country, In greece you dont get a lot of free offers with a contract phone apart from the subsidised price! However in the UK u get the subsidised price pof the phone, 200-400 free x-network minutes 100 free sms! The situation in greece for example is the same as in Finland oinly the operator is "offering" the installments, the second one about the UK you get all the offers from Greece + free minuteys and messages! :)

26-10-2002, 03:46 PM
If operator would get only 4 EUR per month from each subscriber, then it will be quick out of business. If they give one a phone with such a low price, e.g. let say around 300 EUR for a SmatPhone, they expect that one will use their services, MMS, video, streaming, GPRS, etc., all very tempting, and sooner or later one will pay more than the real price of the phone. Otherwise why would one want the phone, if one don't plan to use the services, and pay for them? Don't think at your particular case, but generally… The idea is that the subscribers will always pay the whole price of the phone and much more, of course.

26-10-2002, 10:57 PM
Look, I did not say Smart.../
I am not even interested at the time being, because there is no way to beat my 9210. Not at all.

I said 75 USD discount.

And for 4 USD you could get 3 months free or even 6 months 50% fee with 200 SMS.

Usualy this is not promotion for Cheaper Phones like Smart Ones. :-?

Damn I love this Roll

29-10-2002, 12:10 PM
cant understand what u getting at but in uk

u can get a phone with a 12month contract. The phones cost sometimes depends on what tarrif u subscribe to. to see an example of this goto

the more expensive the tarrif/or the greater the sellers comission on selling that tarrif, the cheaper the phone becomes.

Although on Orange (dont know about other networks) u get yourself a phone like 7650 for free by subsciribing to a higher tarrif, stay on it for the minimum 3 months then switch to a cheaper tarrif or one that u prefer.