The US carrier market has become a battle of the best connection, rather than a battle of the best price. Most flagship smartphones are available for $199 on a two year contract from all four providers and they rarely battle it out to lower prices.
However, Sprint and T-Mobile are making a rather aggressive move in the subsidy market, pushing what could be the most popular smartphone of 2014, the Galaxy S5, for $0 down on a twenty four month contract for $27.50 per month.
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This move to lower the price of the smartphone to $0 may draw in a lot more consumers, the $199 window is still a nice way to cover the big cost of a mobile phone, but allowing the consumer to get the phone for free and simply pay monthly is a better deal.
Surprisingly AT&T and Verizon Wireless will not be budging on the price and will both sell the Galaxy S5 on contract for the traditional $199, albeit with better services across the United States and different plans for returning customers.
T-Mobile has been aggressively pushing the US carrier market in the past few months, making new incentives for people to switch to the carrier and claiming they have the fastest service across all four carriers, after funding billions into their infrastructure.
Even though T-Mobile has made all four carriers offer their own upgrade program, it does not feel like the US carrier market has changed in any way and AT&T and Verizon Wireless still feel on top of the market, dominating sales and customers.
There has been rumors about Sprint and T-Mobile potentially merging, a move backed by SoftBank’s owner, who owns Sprint. The US Regulations Office has been quite adamant that this move cannot happen, as it will break down competitiveness in the market.
It does appear that both the carriers are on the same page with the Galaxy S5 however, whether this was a joint decision or both just wanted to drop the price in the hope of more consumers, we will probably never know.