Friday, April 26, 2013
Competition as the Last Resort: A BYOD Discount
T-Mobile has further deviated from lock step wireless pricing with discounts for subscribers that bring their own devices, or buy them from the carrier. Previously it tried, with limited success, to use Verizon and AT&T rates as a ceiling which it would price at or below.
Now that it won’t become a part of AT&T T-Mobile has gotten serious about becoming the pricing innovator. Being the maverick provides consumers with real price competition, true facilities-based, intramodal competition. New price points surely would not appear in an even more concentrated wireless marketplace had the FCC bought the premise that AT&T’s acquiring T-Mobile would “promote competition.”
True competition—having to do with out of pocket prices—has arisen. Go figure.