A few things to be aware of with this new plan...
1. Yes, you can upgrade after only 6 months, but only if you've paid 50% of it off *AND* you have to trade in the current device when you buy the new one. That last part is important to anyone who's planning on re-selling their phone to off-set prices. I don't know if you're able to keep the device if you've paid if off in full (I'd hope so...but it is Verizon we're talking about), but if so a better plan for me would be to try to get the phone paid off after a year and upgrade then.
2. Verizon gets to double dip with these sort of plans because phone subsidies are already baked into their plan fees, regardless of whether you have a subsidized phone or now...so essentially if you go to the Edge plan, you're not only going to have an extra charge for paying off your cell phone, but you pay the same plan rates as someone on the standard "subsidized phone/upgrade every 2 years" scheme. Same thing goes for those who pay full retail.
In the past, they never would have been able to compete with the other national carriers, even if the numbers worked out in the customers' favor. Remember, a vast majority of those buying new phones want it cheap and don't seem to understand just how-dated a phone will be after 24 months.
With all of these new plans being introduced, it seems like the consumer market for smartphones is shifting towards those who want to upgrade sooner and are willing to spend a little extra to do so, so carriers will hopefully forced to be more competitive because of this.
Outside of double-dipping into the phone subsidizes fees (as I mention above), their new plans actually come close to what you're describing, since you have the ability to pay off the price of the phone on your schedule, and not one determined by your contract. (yes, I do realize it's not the exact same thing...just sayin').
1. Yes, you can upgrade after only 6 months, but only if you've paid 50% of it off *AND* you have to trade in the current device when you buy the new one. That last part is important to anyone who's planning on re-selling their phone to off-set prices. I don't know if you're able to keep the device if you've paid if off in full (I'd hope so...but it is Verizon we're talking about), but if so a better plan for me would be to try to get the phone paid off after a year and upgrade then.
2. Verizon gets to double dip with these sort of plans because phone subsidies are already baked into their plan fees, regardless of whether you have a subsidized phone or now...so essentially if you go to the Edge plan, you're not only going to have an extra charge for paying off your cell phone, but you pay the same plan rates as someone on the standard "subsidized phone/upgrade every 2 years" scheme. Same thing goes for those who pay full retail.
In the past, they never would have been able to compete with the other national carriers, even if the numbers worked out in the customers' favor. Remember, a vast majority of those buying new phones want it cheap and don't seem to understand just how-dated a phone will be after 24 months.
With all of these new plans being introduced, it seems like the consumer market for smartphones is shifting towards those who want to upgrade sooner and are willing to spend a little extra to do so, so carriers will hopefully forced to be more competitive because of this.
Outside of double-dipping into the phone subsidizes fees (as I mention above), their new plans actually come close to what you're describing, since you have the ability to pay off the price of the phone on your schedule, and not one determined by your contract. (yes, I do realize it's not the exact same thing...just sayin').
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