Verizon planning $20 upgrade fee even for customers of Apple's iPhone Upgrade Program, leak suggest

AppleInsiderAppleInsider
Posted:
in iPhone edited March 2016
Starting April 4, Verizon will be charging a flat $20 fee to upgrade most devices bought for its network -- even when a customer is using Apple's iPhone Upgrade Program, according to a leaked memo.




The new fee is needed because of "increasing support costs associated with customers switching their devices," the memo obtained by MacRumors claims. People will also be charged a fee if they use a payment plan or upgrade at full retail cost, but not if they supply their own hardware.

A $40 fee is still in place for people upgrading on a two-year contract.

The iPhone Upgrade Program is nominally carrier-independent, giving subscribers an unlocked phone they can move to any other provider at will, and upgrade through Apple every 12 months. It does, however, cost at least $32.41 per month, and is still limited to the iPhone 6s and 6s Plus, despite the launch of the iPhone SE.

Verizon is not alone in charging upgrade fees. AT&T has a $15 cost associated with Next plans, while Sprint's fees can reach up to $36. Of the four major U.S. carriers, only T-Mobile now has no such upgrade fees.
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Comments

  • Reply 1 of 31
    rob53rob53 Posts: 3,322member
    "People will also be charged a fee if they use a payment plan or upgrade at full retail cost, but not if they supply their own hardware." Doesn't make sense. I bought mine through the Apple Store credit program. I own my hardware yet the memo says I'd have to pay $20 the next time I upgrade my phone. Which is it?
    moreckdysamoria
  • Reply 2 of 31
    ktappektappe Posts: 824member
    >"support costs associated with customers switching their devices"

    There is no such cost. Seriously.
    tallest skilmdriftmeyerrhinotufflatifbpmoreckdysamorianolamacguyredgeminipaRick Kramdon
  • Reply 3 of 31
    tallest skiltallest skil Posts: 43,388member
    ktappe said:
    There is no such cost. Seriously.
    It costs about as much to send SMS. You know, the technology that is transferred across the already always-on carrier signal.
    rare commentmoreckdysamoriaicoco3
  • Reply 4 of 31
    thewhitefalconthewhitefalcon Posts: 4,453member
    I think when my contract is up in September I'll be leaving big red. 
    latifbpdysamoria
  • Reply 5 of 31
    mdriftmeyermdriftmeyer Posts: 7,503member
    ktappe said:
    >"support costs associated with customers switching their devices"

    There is no such cost. Seriously.
    Of course there is no cost. Some a-hole proposed this at a board meeting to drive up revenue.
    moreckdysamoria
  • Reply 6 of 31
    john.bjohn.b Posts: 2,742member
    So this applies even if I swap SIM cards myself?
  • Reply 7 of 31
    bdkennedy1002bdkennedy1002 Posts: 543member
    Save a penny here, steal a penny there.
    moreckppartekimlatifbp
  • Reply 8 of 31
    boltsfan17boltsfan17 Posts: 2,294member
    I think when my contract is up in September I'll be leaving big red. 
    I wish I could leave Verizon, but the other carriers just don't have the same coverage. T-Mobile seems to be the best out of the big 4 carriers for not gouging customers. T-Mobile's coverage sucks though outside of metro areas. It is tempting to switch since T-Mobile has free international data and voice. 
    edited March 2016 john.brare comment
  • Reply 9 of 31
    pcornwellpcornwell Posts: 1member
    I'm glad my family and I switched to T-Mobile. I can say that in our area, they have really worked hard to make coverage available outside the metro areas. We left Verizon because we always felt ripped off. Just another reason to stay away.
    dysamoriaredgeminipa
  • Reply 10 of 31
    Madmax1955Madmax1955 Posts: 1member
    Yet another big corporation shoving it down  the consumers throats.  Why???    Because they can and they are greedy bastards!!!
    moreckdysamoriaredgeminipa
  • Reply 11 of 31
    fallenjtfallenjt Posts: 4,056member
    thewhitefalcon said:
    I think when my contract is up in September I'll be leaving big red. 
    i'm thinking of leaving all networks for good. Nowadays, all you need is a prepaid SIM with good data plan, get app Sideline if you need additional number free. paying hundred $/mo on phone bill doesn't make sense anymore since you can communicate thru all kinds of services: iMessage, FaceTime audio, Facebook Messenger....
  • Reply 12 of 31
    thewhitefalconthewhitefalcon Posts: 4,453member
    boltsfan17 said:
    I think when my contract is up in September I'll be leaving big red. 
    I wish I could leave Verizon, but the other carriers just don't have the same coverage. T-Mobile seems to be the best out of the big 4 carriers for not gouging customers. T-Mobile's coverage sucks though outside of metro areas. It is tempting to switch since T-Mobile has free international data and voice. 
    Yeah, that's an issue for me too. I will say that the best alternative seems to be Project Fi since you're combining Sprint and T-Mo, but it's Nexus only. 
  • Reply 13 of 31
    tallest skiltallest skil Posts: 43,388member
    thewhitefalcon said:
    I think when my contract is up in September I'll be leaving big red. 
    I’m going to wait until right after the iPhone 7 is released to see what their plans are like. Not going to leave, but with my contract up I’ll be able to get something like 50 bucks per month off our bill and get over twice as much data. And that’s just comparing to their CURRENT plans!

  • Reply 14 of 31
    6ryph3n6ryph3n Posts: 61member
    The new fee is needed because of "increasing support costs associated with customers switching their devices,"
    Really? If support calls really cost that much then charge directly for them. Why should I be billed for someone else's support calls when I've never called the support line? I left AT&T years ago when they blocked FaceTime on my data plan. I was already considering leaving Verizon because of the expensive data plans. If I can confirm that T-Mobile has decent service in my area looks like I'll be switching again.
    dysamoriaredgeminipa
  • Reply 15 of 31
    jm6032jm6032 Posts: 147member
    I wish I could leave Verizon, but the other carriers just don't have the same coverage. T-Mobile seems to be the best out of the big 4 carriers for not gouging customers. T-Mobile's coverage sucks though outside of metro areas. It is tempting to switch since T-Mobile has free international data and voice. 
    True Story: Buddy and I went to Europe to meet up with my wife and one of her friends. I have (had) AT&T, he had T-Mobile. Get off plane in Amsterdam. I don't dare turn on my AT&T phone. He gets a text, "Welcome to Amsterdam. You now have unlimited data and $0.20 a minute calling." We fly to Budapest. My AT&T phone is in ultimate battery saver mode. His T-Mobile phone gets a text, "Welcome to Hungary. You now have unlimited data and $0.20 a minute calling." We drive to a resort town in Hungary. On the way, we cross into Austria. I'm not even turning on my AT&T phone to take pictures. His T-Mobile phone dings and he get's a text, "Welcome to Austria. You now have unlimited data and $0.20 a minute calling." Later we cross back into Hungary...You get the drift. I'm on T-Mobile now.
    dysamoriaredgeminipa
  • Reply 16 of 31
    rhinotuffrhinotuff Posts: 65member
    boltsfan17 said:
    I think when my contract is up in September I'll be leaving big red. 
    I wish I could leave Verizon, but the other carriers just don't have the same coverage. T-Mobile seems to be the best out of the big 4 carriers for not gouging customers. T-Mobile's coverage sucks though outside of metro areas. It is tempting to switch since T-Mobile has free international data and voice. 
    Make the switch to StraightTalk. It uses Verizon towers, so the service is just as good. I think it's $45 a month for unlimited talk, Text and Data (5gb at 4g, anything beyond at 2g)
  • Reply 17 of 31
    john.bjohn.b Posts: 2,742member
    fallenjt said:
    i'm thinking of leaving all networks for good. Nowadays, all you need is a prepaid SIM with good data plan, get app Sideline if you need additional number free. paying hundred $/mo on phone bill doesn't make sense anymore since you can communicate thru all kinds of services: iMessage, FaceTime audio, Facebook Messenger....
    Wasn't T-Mobile going to start offering a data-only plan? Maybe I just dreamt that.
  • Reply 18 of 31
    boltsfan17boltsfan17 Posts: 2,294member
    jm6032 said:
    I wish I could leave Verizon, but the other carriers just don't have the same coverage. T-Mobile seems to be the best out of the big 4 carriers for not gouging customers. T-Mobile's coverage sucks though outside of metro areas. It is tempting to switch since T-Mobile has free international data and voice. 
    True Story: Buddy and I went to Europe to meet up with my wife and one of her friends. I have (had) AT&T, he had T-Mobile. Get off plane in Amsterdam. I don't dare turn on my AT&T phone. He gets a text, "Welcome to Amsterdam. You now have unlimited data and $0.20 a minute calling." We fly to Budapest. My AT&T phone is in ultimate battery saver mode. His T-Mobile phone gets a text, "Welcome to Hungary. You now have unlimited data and $0.20 a minute calling." We drive to a resort town in Hungary. On the way, we cross into Austria. I'm not even turning on my AT&T phone to take pictures. His T-Mobile phone dings and he get's a text, "Welcome to Austria. You now have unlimited data and $0.20 a minute calling." Later we cross back into Hungary...You get the drift. I'm on T-Mobile now.
    So tempted to switch. I frequently travel to Canada and it gets frustrating at times trying to find free decent WiFi. I usually seek out a Tim Hortons, but half the time, their WiFi is painfully slow. I'll be in Europe in a few months so I'm sure with Verizon, I will see "Welcome to Germany. Your data rate is $2.50/MB and $1.79/min calling."
    redgeminipa
  • Reply 19 of 31
    sandorsandor Posts: 670member
    I think when my contract is up in September I'll be leaving big red. 
    I wish I could leave Verizon, but the other carriers just don't have the same coverage. T-Mobile seems to be the best out of the big 4 carriers for not gouging customers. T-Mobile's coverage sucks though outside of metro areas. It is tempting to switch since T-Mobile has free international data and voice. 
    I watched TMobile's network grow in Philadelphia for the past 3 years, and finally made the switch last summer.
    Too much price gouging from ATT and Verizon.

    Just got back from Canada this week as well. Having even 2G speed international data included is a wonderful thing! Voice isn't included though, only data and SMS.
    edited March 2016
  • Reply 20 of 31
    latifbplatifbp Posts: 544member
    thewhitefalcon said:
    I think when my contract is up in September I'll be leaving big red. 
    Do. You'll be very happy 
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