As Seen On
CNN NBC News CBS News ABC News USA Today Yahoo Finance
HomeNews
News

Carrier Deals for the Note 7 Go Live

· Written by Jake Heder

Here we go again with the invisible ink and the fine print. The wireless industry simply refuses to play it straight with the people paying the bills. Pre-orders for the Samsung Galaxy Note 7 opened this week, backed by massive carrier incentives. Apple positioned the device online, the aggressive bundling reveals how crucial this specific device launch is for Q3 metrics. The carriers are terrified of missing their quotas before Apple launches its competing flagship next month.

Look, I care deeply about details. Whether it's demanding a specific caricature of the Fairhope clock for a local logo design instead of settling for some generic lighthouse, or reading the exact fine print on a cell phone contract, specificity matters. The carriers are actively hoping you ignore the specifics. They want you to glaze over when they talk about 'deprioritization thresholds' and 'video optimization protocols' because that vague language gives them the legal right to throttle your speeds whenever it suits their infrastructure needs.

I spend a lot of time off the beaten path—whether that's exploring a deep canyon in a State Park, heading out for some deep-sea fishing near the offshore oil rigs in the Gulf, or just trying to send a text from a crowded music festival. In those environments, the marketing brochures are completely useless. A carrier can boast about their theoretical LTE advanced speeds all day, but if you can't load a basic weather map when a storm is rolling in off the coast, what are you actually paying for? These new promotions are designed to distract you from the reality of network dead zones.

The competitive gap in actual, real-world network performance has narrowed to an almost indistinguishable margin in most urban and suburban areas. Independent testing firms routinely show that the difference between the 'best' network and the 'worst' network is often just a few megabits per second—a difference completely unnoticeable when simply scrolling through social media. Therefore, the battle has shifted entirely from civil engineering to aggressive marketing.

Stepping back to analyze the broader market context, 2016 is proving to be an absolutely defining year for telecom infrastructure. The looming, capital-intensive shadow of 5G deployment is forcing all major carriers to aggressively hoard cash, which inevitably trickles down to impact consumer pricing models. They need billions of dollars for the next-generation hardware rollout, and the absolute easiest place to find that capital is by slightly tweaking the profit margins on current, widely-adopted LTE plans.

Device innovation has largely plateaued across the board, meaning the massive upgrade supercycle we saw with the early generation of smartphones is completely over. Because consumers are now comfortably holding onto their phones for three or four years instead of two, carriers can no longer rely on frequent hardware upgrades to trigger contract renewals.

So, what does this mean for your bottom line? Stop paying for overpriced carrier phone insurance. The deductibles are astronomically high, the claim process is a nightmare, and the replacement devices are often poorly refurbished units. Put that fifteen dollars a month into a high-yield savings account instead.

Don't fall for the artificial hype. Protect your hard-earned cash, read the absolute bottom line of the digital contract, and remember that you owe these massive telecom companies absolutely nothing.

← Back to News