Sprint might copy T-Mobile some more and ditch phone contracts in 2015
In its efforts to stop the bleeding and secure a stronger position in the US marketplace, Sprint is considering copying T-Mobile even more by ditching phone contracts in 2015. According to a report on CNET, Sprint CEO Marcelo Claure wants the carrier to transition from the contract/subsidy model in favor of both phone leasing programs and equipment installment plans.
Sprint has already been experimenting with phone leasing through special programs for the iPhone 6, iPhone 6 Plus, Samsung Galaxy S5, and Galaxy S5 Sport. In these instances, customers pay a certain amount each month to rent or lease a smartphone, and they are guaranteed upgrades every two years with zero money down.
Of course, whether or not Sprint ends up ditching contracts all together will depend on how the current leasing programs fare. But if T-Mobile’s recent success is any indication, customers do not seem opposed to the idea of paying for phones and services separately, forgoing traditional contract subsidies.
Do you think this could work at Sprint?
[CNET]
