How much can I save by getting my 3G Iphone unlocked?

It is indeed very interesting to understand why telecommunication providers often package/bundle a cell phone with a mobile phone plan. The benefits are simple:

1. A clear cut method to lock customers into a long term contract.
2. Ensure higher revenue over a longer period.
3. sign customers up over the hype of hardware.

What customers who sign up for locked handsets often dont understand is :

• Technology refreshes every 6- 12 months, not eery 24 months.
• Handset cannot be used on other networks where more cost effective deals are offered.
• monthly spend on overall cellphone usage is higher that it should be.

Ensquared assumes that atleast $200 can be saved by getting an unlocked cell phone.

Lets see why.

Apple Iphone unlocked cell phone on ebay = $600

Package:

• $199 upfront
• Hardware subsidy is $20 per month x 24 months= $480
• Total costs = $680