Report: T-Mobile Set to End Phone Contracts

Wireless carrier T-Mobile is purportedly preparing to end phone contracts in an effort to better compete with its competitors.

According to an internal memo obtained by TmoNews, T-Mobile could announce its "uncarrier" plans during March. The decision would remove two-year contracts, early termination fees and traditional phone subsidies, consequently allowing customers to purchase new devices via a monthly installment plan.

The memo in question also apparently reveals that T-Mobile intends to market its HSPA+ and forthcoming LTE network as "dual 4G" technology amid its merger with MetroPCS. The re-branding initiative is due to commence on March 24.

Back in December, T-Mobile CEO John Legere discussed alternative options to compete with Verizon and AT&T. He said during Deutsche Telekom’s annual investor conference that "we think there is a huge room for a carrier to change in a way that the larger players will choose to or will not be able to respond to."

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  • goodguy713
    sounds like t-mobile is planning on a buisness model like vergin mobile .. sounds like a good deal especially if they offer phone purchase plans verses lump sum purchases .. and month to month has always been a better deal because your not locked into a contract with fixed minutes and data rates
    12
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  • goodguy713
    sounds like t-mobile is planning on a buisness model like vergin mobile .. sounds like a good deal especially if they offer phone purchase plans verses lump sum purchases .. and month to month has always been a better deal because your not locked into a contract with fixed minutes and data rates
    12
  • silvianoshei
    Sounds great. Considering switching if true. They are carrying the HTC One, which I do like.
    6
  • slomo4sho
    Oh look one of the big 4 are actually adapting and changing their business model to mimic cell phone service everywhere else in the world besides the USA. Definitely a step in the right direction. Now only if we could get data service comparable to South Korea :)
    9