Since T-Mobile USA disrupted the telecom industry a few months back, when CEO John Legere announced their new Jump! phone upgrade promotion, the industry—and by that, I mean AT&T and Verizon—quickly reacted and offered up their own plans, like Edge and Next, from Verizon and AT&T respectively. Sprint, however, has been rather quiet, that is until today.
On Friday (9/20) morning, the Nation’s 3rd largest wireless carrier announced their own “upgrade plan” and it’s perhaps the most compelling one yet, at least from the consumer’s point of view. Sprint requires anyone who wants to take advantage of their new, “One Up” promotion, to sign up for one of their Unlimited, Talk, Text and Data plans. Here’s the kicker, if you sign up for the plan, Sprint will take $15 dollars off the monthly bill, making their starting price just $65 a month. The One Up plan will allow customers to purchase a new phone once a year, instead of every two. As of the time of this post, Sprint hasn’t mentioned specific prices on how much customers will have to pay monthly for the upgraded device, but we expect it to fall in line with its competitors, which is around $25 a month.
So here’s the deal, since Sprint is lower the cellular plan by $15, assuming you pick an eligible plan, and you have to start making monthly payments for a new device on top of that said plan, the price you’d pay for the new device essential wipes out the savings Sprint’s giving you on your plan. While that may sound bad at first, it’s actually pretty sweet, as you would be paying near the normal monthly price for your contract, which means you’re now only playing roughly $5 – $10 more on top for that new device, since the contract is absorbing a majority of the savings.
Look at it this way, AT&T and Verizon require you to continue paying the normal price for your contract, which we’ll just say is $100 (a single line with unlimited voice, text and either 2GB or 3GB of data), then if you want to add a new device on top of that with no down payment, you have to add roughly $25 (on average) on top of your monthly bill for the new phone for 24 months. That comes out to about $125 (without taxes) a month. Now, with Sprint’s plan, which now starts at just $65 a month ($15 off their normal price of $80) for unlimited voice, text AND Data, if you wanted a new device too, assuming the device prices (per month) are the same $25 a month as AT&T and Verizon, you’d only be paying about $90 a month (without taxes), which is $35 dollars cheaper a month.
So, it’s clear that while Sprint may have been quiet and a little late to the game, they were preparing a game plan. Sure, they may not have the same amount of coverage as AT&T and Verizon, or even the fastest download speeds, but they do offer a very compelling price plan. A plan that could save you $420 a year over the big boys, all the while, you’re carrying a new phone every year.