We soon may see rising prices for cell phones, says the Wall Street Journal, since wireless carriers are working to change the terms of smart phone deals that have benefited phone manufacturers like Apple. The result would be consumers paying more for devices like the iPhone.
From the WSJ piece: “Carriers in the U.S. have been raising monthly rates and charging higher fees when customers upgrade to new phones. In Europe, embattled carriers are taking more aggressive measures: Spain’s two leading wireless companies are refusing to subsidize devices for new customers.”
This could hit consumers especially hard since most upgrade their devices every two years. It’s plausible some will react by lengthening that period, but others might consider upgrading to a new-to-them device that’s still newer than their current phone. If so, this new development could be a boon to retailers who refurbish and sell used cell phones. Then again, if the American economy continues its slow but steady supposed recovery, maybe folks will pony up more cash for brand new phones. OF course, that would worsen the already substantial problem of cell phones piling up in landfills. Hopefully, people will wise up and realize that lightly used phones can do nearly exactly as much as brand new ones.