Dawning of the age of consumer-friendly cell phone carriers?
Good news for some cell phone customers who thought the industry's contract termination fees were too heavy-handed. AT&T recently announced that it will begin prorating its cancellation fees. Right now you have to pay the full cancellation fee if you want out at any time before the standard 24-month contract ends. But under the new rules, you'll be able to just pay a fraction of that cost because it will be pro-rated. AT&T is simply following Verizon's lead here. No word yet if T-Mobile and Sprint will follow suit, but it all begs the question: Is the cell phone industry ready to usher in a new customer-friendly age?
The dominance of the iPhone has really blackened the eye of the industry as people saw how the major carriers pervert capitalism by locking people into two-year contracts. Think about it: Each carrier forces you to buy a cell phone from them and then they make it usable only on their own network. Clark believes this is idiotic; it's like the power company telling you that you can't use a toaster that you didn't buy from them. Walt Mossberg, a usually chipper Wall Street Journal columnist, recently wrote with vitriol about the four carriers' stranglehold on the industry. He compared it to you buying Internet access and then the provider saying you can't visit a certain website. We need to bust this chokehold because it's bad for the country and consumers alike.
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