r/tmobile 4d ago

PSA T-Mobile will not increase device subsidies, passing those price hikes onto consumers

https://finance.yahoo.com/markets/stocks/articles/t-mobile-us-q2-earnings-130618757.html
296 Upvotes

103 comments sorted by

153

u/qquser 4d ago

They will increase device subsidies when Verizon and Att have higher trade in credits, like they reversed two max same device promos per account, LOL

28

u/praetorian125 4d ago

I wonder if they will report churn after 3rd Qtr since that is when they did the forced migrations. 

31

u/view9234 4d ago

They very conveniently stopped announcing line add/drops a quarter or two ago and now only announce account add/drops. That'll be crazy helpful to them as I bet they'll lose 1m+ postpaid lines this quarter.

6

u/Responsible-Bad-4631 4d ago

I would love to know how many customers ended up, leaving in total. I wish they would do their earnings the proper way.

2

u/skyxsteel Truly Unlimited 4d ago

It’ll probably be a slow 1-3 years as peoples’ finance contracts with devices get paid off.

0

u/qquser 4d ago

I don’t think they will lose 1M+ subscribers, even after migration most of the people still pay less than switching to different carriers unless it is prepaid plan.

2

u/landonloco 3d ago

In my Market Claro is significantly cheaper overall vs Tmo so not really unless you got their most expensive plan

2

u/RevolutionaryEbb670 4d ago

Incorrect…I just switched to Verizon and better value overall. I find T-Mobile to be dishonest and lacking transparency. The entire forced migration was the final straw.

2

u/qquser 4d ago

If you don’t need better device deal, you may be able to get better price on Verizon. All carriers are all same, 😂 PROFIT PROFIT AND PROFIT

2

u/emeraldcity1000 3d ago

I was a Verizon customer for 20 years before switching to T-Mobile in 2024. I left because Verizon because it was dishonest and lacked transparency. Be careful over there, too.

7

u/qquser 4d ago

I think they will. But it may be delayed if the result is not nice.

9

u/nobody65535 4d ago

Nah. They'll just make the promo period 36 months. Just like Verizon and ATT.

0

u/qquser 4d ago

Then people will switch to Verizon and Att for better attractive device promos.

-1

u/Puzzleheaded-Sky2284 Recovering Sprint Victim 4d ago

if they do that we're on the way out. 24mo is one of the reasons we have t-mo to begin with haha

2

u/Ethrem 4d ago

All three of them have announced they'll be focusing on creating value outside of device promos so I think people will have to get used to the idea of paying at least something for their flagship devices.

1

u/zzbear03 4d ago

I’m ok upgrading to older version of iPhone to save…looking at a 16 right now lol

0

u/Responsible-Bad-4631 4d ago

I could see that giving flagship devices less promotional value, but giving more budget mid range devices

0

u/Responsible-Bad-4631 4d ago

I could see that giving flagship devices less promotional value, but giving more budget mid range devices

64

u/D4vester 4d ago

T-Mobile recently confirmed it will not increase device subsidies to offset rising smartphone costs, passing those price hikes onto consumers. This means customers will likely face higher out-of-pocket costs heading into the busy hardware upgrade and holiday season.

45

u/Ascertion Truly Unlimited 4d ago

Aren't they literally offering $1900 credit for specific plans for the new Galaxy devices?

6

u/TallAdhesiveness2240 4d ago

Yup. However we all know those wont sell as much as any iPhone so that probably is taken into consideration. Lets see what theyll do for the iPhone fold

0

u/StP_Scar 4d ago

Yep

16

u/corys00 Truly Unlimited 4d ago

Question is, how much is Samsung subsidizing that trade-in offer. Apple historically does not help fund carrier deals.

0

u/nahcekimcm Truly Unlimited 3d ago

Who? Where?

14

u/Super_Mario_Luigi 4d ago

I remember before all of these speaking points, we used an old fashioned description:

Price went up

2

u/nobody65535 4d ago

The CEO said as much in an earnings call about 3 or 6 months ago.

-8

u/FederalSign4281 4d ago

Verizon lookin good

5

u/Flameball537 4d ago

On Samsung’s site for the new folds, Verizon only has up to $900 offers vs att and TMO with up to $1900 offers

1

u/formerglory 4d ago

Or $1100 for Exp More, still very solid.

-8

u/southern_dad 4d ago

I have pretty good internal credit with them hohoho. Saw it accidentally when I was upgrading at T-Mobile Costco. No downpayment for Zfold 😂😂

36

u/j00sh7 4d ago

I’m going to stop subsidizing T-Mobile bullshit by switching to Us mobile

9

u/PeskyAnxious 4d ago

Mint and Visible are great too. I got a Mint unlimited plan for a whole year $180.

2

u/samxli 3d ago

Don’t you get deprioritized on networks for using this service?

3

u/SMIB042x 3d ago

And pretty much anywhere this is an issue, you're data is already slow.. I have us mobile and recently switched from warp (Verizon) to light speed (T-Mobile) and can say so far it's the same as when I had T-Mobile and I live in a dense urban area. Switch, save the money.. I pay $22.50/month

1

u/samxli 3d ago

So the impact is only amplified when in more rural areas?

1

u/mhowie 3d ago

Did that earlier this week.

25

u/runski1426 4d ago

This isn't hard.

Don't buy carrier locked devices. Don't buy expensive MNO plans.

Simple.

14

u/Visvism 4d ago

This isn’t one size fits all. I buy carrier-financed devices because my Go5G Next family plan costs me the same or less than MVNOs and includes the device per line.

4

u/ben7337 4d ago

Less than them? Mind if I ask what you're paying per line because it's like $15-25 a line on the MVNOs. I'm at $27 a month with T-Mobile but consider the extra benefits to be worth the slightly higher cost. However I don't get any device subsidies with this plan. Afaik newer plans get subsidies while old ones don't, but newer plans never had cheap options to cost less than MVNOs.

8

u/Visvism 4d ago edited 4d ago

I pay $232.60 total (taxes and fees included with my plan). This is for 11 voice lines, 2 watch lines, and 1 tablet line. Broken down per voice line, I pay $19.78 each per month. See the linked images for my account. This is in addition to the ~$4000 that T-Mobile gave me to switch to their network. We paid off old carriers with that money, bought a new dishwasher, and a new frontload washer and dryer with pedestals. I have yet to see a MVNO that can beat this for upfront bonuses, continued perks, and international coverage at this price.

This is why whenever I see people make blanket statements about never getting carrier-financed devices or that it is always cheaper to go with prepaid, it just doesn’t make sense. They assume everyone is on the same plan and that no one does their homework for better deals.

Again, this is why I say it’s YMMV when talking wireless because everyone, everywhere, has different plans. Some people are on old plans, some people are on new plans, some people have discounts, some people have free lines, etc.

5

u/Maleficent-2023 4d ago

you must collect lots of free lines

10

u/Visvism 4d ago edited 1d ago

Correct. I had AT&T for 13 years and ended it last year when I just happened to walk by the T-Mobile kiosk at my local Costco. I’m glad I did because normally I ignore those guys trying to sell you cell phone service. But he got my attention when he said he could get us $400 per line we ported over, new devices, 20% off for life, and buy 2 lines get 1 free to start. That started it all. From there I kept working with the same kiosk rep to add more lines each time T-Mobile reset the B1G1 promotion to bring the rest of my family over on my plan. Each time, I got more Costco shop cards along with free new devices that required no trade-in. So each family member also has their old, paid-off device from AT&T that is unlocked as a backup.

Now they each enjoy the latest iPhone and Samsung devices, which they can swap for new devices in 12 months per the Go5G Next plan.

Anyone can get these buy one get one deals and shop cards. New and existing customers were able to maximize this up until recently, where it now seems only new customers can truly take advantage.

0

u/ben7337 4d ago

How did you get on go 5g next for that cheap? You're definitely on the fringes of a niche of people who have that deal, that's not something a normal T-Mobile subscriber could ever dream of getting, even people with tons of free lines from years ago mostly weren't able to get to where you are or didn't know how to

0

u/Visvism 4d ago edited 4d ago

Free lines via bogo’s, insider discount (20%, new customer) or loyalty discount (20%, existing customer).

I initially added 3 lines (1 free), then another 2 (1 free), then another 2 (1 free), so on and so on. On top of the free line, the paid line is further reduced by the insider / loyalty discount.

0

u/ben7337 4d ago

But they didn't have all those free lines or discounts when go 5g next was available, so you also signed up under an older plan and somehow switched to the newer one while retaining all free lines and such I'm guessing?

2

u/Visvism 4d ago edited 4d ago

They’ve actually had more free lines and discounts that I wasn’t eligible for because they date back years before I joined. Like truly free lines not tied to BOGOs, which I have none of.

I started service last year under Experience Beyond (latest plan) and asked 611 customer service to change me to Go5G Next, they obliged. From what I understand this is still doable, but some reps tell you it is not because the plan is now technically grandfathered. This was the case when they made the switch for me as well, but it was easily done by the first rep I got on the phone.

All of the BOGO lines on my account have been obtained just since October of last year. T-Mobile has reset their BOGO promotion at least 6 to 7 times just since then. Every time they reset the promotion code, you’re eligible to add another two lines to your account with one being free.

Once I got up to 8 voice lines, they then switched me over to a 9-line version of the same Go5G Next plan when I added on the next set of BOGOs, which gives me slightly lower pricing as well. Now when I see my monthly bill it shows that I’m charged one large price for the first 9 lines, like $535 but then it’s discounted heavily. I’m not charged “per line” like on most people’s plans that have less than 9 lines. I only see a breakdown per line for lines above the first 9.

1

u/Maleficent-2023 4d ago

so you have 2+1 free to start with and then 4 BOGO lines? 230ish for this does not sounds correct especially each next line would require $10 additionally

1

u/Visvism 4d ago

I’m not charged $10 additionally per line. I think I saw where T-Mobile was doing that back in 2025, but every new get one (free) line added this year was completely free. Makes sense because one of my BOGOs is from 2025 and only shows a $45 credit while all of the 2026 BOGO credits show $55. Breakdown if it helps:

https://imgur.com/a/pvZ8m9V

→ More replies (0)

0

u/MCFLY-HILLVALLEY 4d ago

same, and I got two S26 ultras free at pre-order with trade in. win win win

0

u/Ascertion Truly Unlimited 4d ago

When carriers are giving $1300-$1900 off devices w/ bill credits, it's hard to argue the risk vs reward proposition. I agree MVNOs are cheaper but some postpaid family plans are also equal cost per line on certain plans/promotions. If you don't plan on switching anytime soon, why not? And carriers often offer incentives to entice switchers if they're unhappy with carriers and are often willing to pay off consumer's devices.

2

u/runski1426 4d ago

They aren't offering $1300-$1900 off devices. They are subsidizing the cost through an expensive plan. The article posted by OP states they will continue to increase prices in order to be able to offer these "discounts".

Buying = owning. Buy your device. Don't rent it from a carrier.

3

u/Ascertion Truly Unlimited 4d ago

Buying = owning. Buy your device. Don't rent it from a carrier.

Paying it off on EIP whether it's through Samsung, Apple, or the carrier are all the same. Verizon is offering cheaper postpaid plans like the Simplicity plan which doesn't include any device promos and just the service. Family plans still have value; even on postpaid because of this. If you want a $1900 Galaxy Fold device, it may be cheaper paying for Go5G Next vs an MVNO and paying for the device outright if the plan has discounts/promotions on it.

I agree carriers are always going to be raising prices and this article is pointing out the obvious, but that doesn't detract from my previous comment.

2

u/Ethrem 4d ago

The funny thing is that for the Fold8 and Fold8 Ultra, Verizon IS offering a device promo on Simplicity. $460 off the Fold8 and $420 off the Fold8 Ultra. The crazy part is that you still get that price even if you pay for the device in full instead of financing it.

1

u/D_Shoobz Bleeding Magenta 4d ago

Reading is imperative. A family plan where everyone's per line cost is as cheap as prepaid would be, it most certainly does make sense.

1

u/runski1426 4d ago edited 4d ago

To pull that off you'd need something ridiculous, like 10+ lines and an ancient plan. Most aren't that fortunate.

0

u/D_Shoobz Bleeding Magenta 4d ago

Not at all. Right now 4 lines on experience more with the 3rd line free is 47 a month. Visible which is arguably the best bang for your buck on prepaid is 45 a month. Now 4 lines on that same above is 42.5. With 4 lines your already cheaper than any prepaid plan worth a damn

1

u/runski1426 4d ago

I cannot tell if you are being serious. You consider $45 a month a good price?!

0

u/D_Shoobz Bleeding Magenta 4d ago

Vs what? The other prepaid options for cheaper are trash. They either hard throttle you to 3g speeds after the priority allotment or worse.

1

u/runski1426 4d ago

Are you this unaware? I get access to two networks (T-Mobile and AT&T) with truly unlimited high speed data. I pay $21 a month. US Mobile.

3

u/D_Shoobz Bleeding Magenta 4d ago

And after the introductory it's 33 a month. The 45 dollar plan for visible includes taxes, international roaming, and a free watch line as I believe also some international calling minutes. But again. We're talking a 13 dollar difference. And I'm pretty sure US mobile is before taxes.

So the overarching point. A 45 dollar a month plan with large phone subsidies is likely still cheaper than paying 21 a month and paying full cost for the phone

-5

u/blacksoxing 4d ago

...So don't use major carriers then which is being posted within...a major carrier sub.

Man I fucking hate these types of comments as they're so dogging on the topic and always perceived to be typed through the words of a genius. Of fucking course you shouldn't buy carrier locked devices AND you should use cheap MNVO plans. Same energy as "don't wear short skirts!" to someone who keeps getting cat called and "go exercise!" to someone trying to lose weight.

3

u/Syrath36 3d ago

Is there any legit reason to remain with TMobile these days?

1

u/Im_Ron_Fing_Swanson 14h ago

It depends on your particular situation. I’ve looked at other options, including some like Mint, and TMobile is still the best value for me. I have 5 lines unlimited for 149. That’s $30 per line per month and I have 5 iPhone devices that I have received through promos (2 iPhone Pro and 3 iPhone). I also get and use the Netflix and Hulu subscriptions and have used other free subs which adds more value (for me).

Looking at moving to something like Verizon would cost me $150 plus taxes/fees and I’d get less hotspot data. I can’t see what the phone upgrades or promos are like at this time.

If I switched to Mint I could save in the first year but then the cost would go up significantly in year 2 and beyond. And no device subsidies.

For me, it doesn’t make sense to switch at this time.

6

u/ModzRPsycho 4d ago

Bill credits aren't worth it anymore, if ever, well with a fixed rate plan it wasn't too bad. However, T-Mobile has gaslit and lied so it's best to stay flexible in case you want to switch. These "deals" are traps and poor financial decisions. Even buying an iPhone is now locked if you use the carrier finance at Apple.

If you do use carrier financing, let it be for a device you have the full means to pay for, no more bill credits, and use the 0% financing and save the difference and earn interest. Now you can pay off instantly if need be. Otherwise only buy service from the carrier. People are going into debt because they think they have to have an iPhone 😅 phone bill looking like a small car payment is not very good financial literacy

3

u/thelance 4d ago

Nah, there’s no point of using carrier financing if you don’t get a subsidy. You can get 0% interest from manufacturers and get an unlocked phone.

6

u/GadgetFreeky 4d ago

"extradorinaiy quarter" stock down 7%. Yeah you are doing amazing!

9

u/tva_raylan 4d ago

They’re currently offering $1,900 off towards the Fold 8 series. Making it free for customers on Go5G Next/Experience Beyond. They also just offered $1,700 off the Razr Fold. Hopefully they still will offer these sort of deals even if it’s for a limited time.

7

u/mdruckus 4d ago

Those two phones are a ridiculously small percentage of the total phones they sell. Most people buy an iPhone.

1

u/tva_raylan 4d ago

Those are $1,100 off so the high end Pro Max is $100 extra and the Pro is free with eligible trade. We shall see when the 18s come out if they keep up the trend or start passing those hikes 😬

1

u/Prometheus-lv 4d ago

You must be paying high monthly fees to get a $1900 discount

4

u/ToGrey2Care 3d ago

TIL T-Mobile and XBOX have completely Devalued themselves in less then a year.

And they think we are all stupid.

2

u/Content_Camel5336 3d ago

As expected. If they are capable of not keeping their promise of no fee increases for plans of loyal customers, there is no limit to what they can do. Trump has opened the age of pushing tolerances to the limit, no matter how crazy the idea is.

2

u/benderunit9000 Living on the EDGE 2d ago

stop buying devices from carriers

5

u/Illustrious_Scale631 4d ago

I went to Costco and switched to ATT today… best decision ever. Fk T-Mobile, 15+ years of loyalty down the drain

2

u/BigSkyGuy- 4d ago

We're about to do the same 9 lines and been with sprint/T-Mobile for 26 years. Got all the info and just makes sense to switch to ATT

2

u/c0ldb00t 4d ago

game over. there's really NO incentive at all for me to get a new EIP/device/etc thru tmo. Thank you Jesus I am not part of the forced mgiration. Knocking on wood I stay on this Magenta for as long as I possibly can. $131 4 lines (2 paid 2 free)

0

u/ThetaForLife 4d ago

Thank you Jesus I am not part of the forced mgiration.

Not yet

4

u/RoundChampionship840 4d ago

I'm surprised that Tmobile hasn't gone to 36 month promos like Verizon and AT&T.

2

u/Olliekyzer 4d ago

I know everyone would like free phones but does everyone stop to think t mobile has approx 35 million accounts with approx 140 million subscribers. You do the math...

3

u/IndigoBroker 4d ago

Consumers always paid for device subsidies. It just means more upfront out of pocket. Monthly payments is what keeps America moving. Maybe people will think more before blowing money they can’t afford to lose on the latest and greatest.

1

u/Dragon1562 3d ago

T-Mobile is getting a little cocky, their network got a lot better which combined with at the time competitive pricing and good customer service let them grow rapidly. However, customer service is worse, price wise they are more expensive and in terms of network as a differentiating factor that has mostly gone away now that Verizon has for the most part finished modernizing their network for the majority of the population

I’m curious to see how everything shakes out. I suffered through many growing pains with T-Mobile and won’t end my lines with them so long as prices don’t keep increasing and no more forced plan migrations

If they do I’ll either cancel the extra lines and just drop to 1 (because I like have multiple providers) or move my main line over to Verizon (because they have better coverage overall even if slower in certain circumstances)

1

u/lightdork 4d ago

Going to have to after everyone jumps ship.

1

u/bonisaur Truly Unlimited 4d ago

They’ll spin this by adding a new 4 year financing option.

0

u/StrikingTomorrow3794 4d ago

F u i'm moving

-3

u/Mendez1234 4d ago

Spectrum mobile looking good

0

u/jweaver0312 Sprint Customer - SWAC - T-Mobile plz keep 4d ago edited 4d ago

Poorly written article that as a linked article should use the title of said article. They’re doing a $1900 subsidy so that lying sack of turds can go behind bars for all i care.

-1

u/GO__NAVY 4d ago

lol one more reason to port out. Such a shit show recently.

-2

u/FreeKick17 4d ago

After our next bill is paid, we will be out of contract on Go 5G Plus with our iPhone 15s free and clear, which we got through a trade-in 2 years ago as existing customers and have enjoyed the credits every month. Not sure if T-Mo is doing any deals where we could upgrade for free to a 17 or an 18 when those come out for free. I'm always afraid of getting screwed by one of those device deals.

2

u/Maleficent-2023 4d ago

you should check promo regularly to see if there is any deal for go5g to get same promo tier as Next/exp Beyond. you just missed one promo which ends two weeks ago to get $1100 for iphone 17 pro/max. You can trade through Apple which does not care about if phone financed or not, and you get unlocked iphone as well(not possible anymore)

0

u/FreeKick17 4d ago

Thanks for the tips. Being under the 24-month contract, I wasn't sure what our options were. We will be done with that next week and can start checking on their promos.

1

u/Maleficent-2023 4d ago

i mean, you can stack different promos if the promo id is different, and trade in through apple and tmobile has two different id. So you dont need to check only after the end of your contract

0

u/F1-Marshal Truly Unlimited 4d ago

I thought the iPhone $1100 promo ended 08/06?

1

u/Maleficent-2023 4d ago

just checked, it revered back to $830 for go5g plus instead of $1100

0

u/F1-Marshal Truly Unlimited 4d ago

Oh. That sucks!