Never purchasing unlocked iPhones from your carrier

Posted by Chris on May 25th, 2017

  Did you know it’s much cheaper to buy unlocked phones? Never buy a smartphone from a carrier — ever. Most consumers don’t know that they can purchase contract-free phones. In the United States, T-Mobile made history by becoming the first cellular carrier to not force customers into buying multi-year contracts. After the policy shift, T-Mo users can purchase subsidized prepaid mobile phones independent of a monthly fee. The other three major carriers, however, have not yet followed T-Mobile’s lead.

  As I’ve mentioned before, there exist two kinds of unlocked phones—those that work with GSM networks and those that work with CDMA. Other cellular technologies exist, but they’re not entirely mainstream and are largely based on the ubiquitous GSM standard. Also, a rare number of phones work on both GSM and CDMA networks, such as the Google Pixel.

CDMA: CDMA technology semi-locks phones into a single network, so while these phones can unlock, there are all kinds of hassles in transferring them between carriers. For GSM phones, however, phones can migrate to another network by simply changing the SIM card. Note, though, that many CDMA phones do not use SIM cards.

GSM: Internationally, GSM remains the dominant cell technology. CDMA does exist in almost all markets, although it’s generally associated with third tier carriers. It’s only in the US that it possesses the lion’s share of the market. Consequently, most dual-SIM international phones are GSM based.

In the US: T-Mobile and AT&T.

In India: Airtel, Reliance Communications, and Idea Cellular.

In the United Kingdom: O2, EE, and Vodafone.

  Apple created the smartphone market. The iPhone 7 offers one of the fastest and most reliable handsets around. But beware: Apple produced two models of iPhone! One is for CDMA carriers (Verizon and Sprint) and one for GSM carriers. Fortunately, an unlocked iPhone includes both CDMA and GSM compatibility. iPhone 7s sold on contract through either T-Mobile or AT&T won’t be able to function on Sprint or Verizon networks.

Networks: GSM and CDMA (with restrictions, see above)

Pros:

Latest, state-of-the-art product from Apple.

Cutting edge features.

iOS, if you are locked into the Apple app ecosystem.

Water resistance.

Cons:

Fewer features compared to Android.

Unlocked model is substantially better than GSM-only model.

  Assigning a per-dollar ratio to reviews doesn’t fully capture the performance and features of higher end phones. One thing is certain, though: Consumers seem more satisfied when paying more money. The moral of the story: Spend your money wisely. Sometimes big things come in small (or cheap) packages.

  Most phones are tied—or locked—to a certain cellular carrier, such as Verizon Wireless, T-Mobile, AT&T, or Sprint. Even if you don't actually buy the phone from the carrier, the phone is still tied to a carrier. For example, you could purchase an iPhone from Best Buy, but it still requires you to sign up for service from AT&T. Even if you don't actually buy the phone from the carrier, the phone is still tied to a carrier. For example, you could purchase an iPhone from Best Buy, but it still requires you to sign up for service from AT&T or your respective carrier. But not everyone wants to be tied to a certain carrier’s network, for a variety of reasons. If you frequently travel overseas, it may not make sense to be tied to a phone that won't work internationally (or one that will cost you an arm and a leg to use in foreign countries), for example. Other people are unwilling to sign the lengthy service contracts (two years, typically) that many carriers require.

  That's why purchasing an unlocked cell phone or smartphone can be a desirable alternative. Purchasing and using unlocked refurbished iPhone is becoming more popular, and for good reason. It can give you more freedom to use your phone as you like, and it can save you money. But finding the right phone and the right SIM to use with it can be confusing. Take your time and do you research before making a purchase. Good luck!