• By
  • Thomas Gryta
Smartphone subscribers are increasingly paying full price for their phones.

The best wireless deals from the largest carriers may still require you to sign a contract.


Traditional plans have buyers pay part of the price up front—say $200—then pay off the rest through what is essentially a charge bundled into their monthly bill. These plans have enabled the proliferation of high-end devices like the base model iPhone, which actually has a retail price of about $650.


Verizon advertises that its no-contract plans save money for consumers. That’s true for the monthly service fee, but not for the total cost.

A spokeswoman said the Verizon no-subsidy plan offers flexibility to customers seeking to upgrade more frequently, but concedes that there is “value” in the contract plans.


AT&T and Verizon have each adjusted earlier versions of their no-subsidy plans to make them a better deal for subscribers. And the no-subsidy plans offer faster upgrades and no money down for new phones. But they still are going to cost you more over time.

The carrier says its unsubsidized plans save customers more over contract-plan options when more data and devices are added.

Related: Thomas Gryta has details on digits. 


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