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In the market for a new iPhone on Verizon? If so, please be advised that the big red carrier is killing device subsidies beginning next Thursday, August 13, in favor of all-new month-to-month service plans.

The company revealed four new incoming plans with varying amounts of 4G LTE data, from the basic $30 per month plan with one gigabyte of shareable data to the $80 per month plan with twelve gigabytes of cellular data.

Come August 13, new customers will be able to buy a device on one of Verizon’s new plans by either purchasing it outright or by using the carrier’s device payment option to spread the hardware costs out over 24 months with interest-free financing, formerly known as Verizon Edge.

As of August 13, subsidized smartphone pricing on a two-year contract will no longer be available to new customers.

The new plans are as follows:

  • Small: $30/month for 1GB of shareable data
  • Medium: $45/month for 3GB of shareable data
  • Large: $60/month for 6GB of shareable data
  • X-Large: $80/month for 12GB of shareable data

The new plans go into effect next Thursday, August 13.

Additional data allowances will be available to Verizon’s data-hungry users.

Data in each bucket can be shared with up to ten devices and every plan includes unlimited calling and texting. As mentioned before, the new plans don’t require contractual obligation, meaning you’ll be paying for your wireless service month-to-month and be permitted to change to a different plan anytime you want.

Monthly line-access charges on the new plans are as follows:

  • Every smartphone line is $20 per month.
  • Tablet and Jetpack lines are $10 per month.
  • Connected device lines for devices like smart watches are $5 per month, “all the time.”

“Current customers can keep their existing plan or move to the new plan, with some restrictions,” note the carrier without explaining what those restrictions might be.

More Everything customers will be able to switch to the new plans as well.

Not that long ago, U.S. carriers sold high-end smartphones subsidized.

Subsidies let you have a bran spanking new iPhone in exchange for a small upfront payment and your signature on the dotted line. Your carrier would then recoup the subsidy over the course of your service contract.

The problem is, you were still charged same wireless service rates after your device has long been fully paid off. And because carriers cunningly baked retail smartphone prices into their service plans, you were being charged unfair prices after you had paid off your handset.

The wireless industry was turned upside down when T-Mobile and its outspoken CEO John Legere killed smartphone subsidies and complicated service plans more than two years ago. If anything, T-Mobile has successfully educated the U.S. consumer that the cost of a smartphone should be decoupled from wireless service pricing.

T-Mobile and other carriers like AT&T and Sprint typically spread out the retail price of a smartphone with zero-interest monthly payments. This way, customers know precisely how much their smartphone costs independently of their wireless service charges.

Are these new non-subsidized plans a better deal or a rip-off?

Source: Verizon Wireless

  • iPhoneWINS

    hmmmmmm

    • Hi

      thtas my line

  • Well that’s it. I’m done. Going to move over to T-Mobile. No reason left to stay.

    • Seba

      I am thinking about it too. My 4 iPhones on Family Plan with AT&T cost me over $330 a month…

      • askep3

        Woah that’s way way WAY too much, even if they all have unlimited data.

      • George

        I pay $280 for 6 lines with 30gb shared data with rollover data on AT&T.

      • Seba

        Wow that’s much better then my 4 lines and I have rollover data as well. Hmmm I have to talk to AT&T about it …

      • Seba

        Well I don’t even have unlimited data but only 15GB to share. It’s a joke !!!

  • Dante Arellano

    Fuckk i can’t understand how their sistem works,people in euro most be laughing of this contry

    • Jamessmooth

      For MANY reasons

    • Guy

      It’s called greed my friend. Milk it till the cow runs dry. Than in the future blame somebody else for your failures while you (not you) continue to raise prices.

    • ericesque

      Are you kidding? They’ve been laughing at the subsidized phones and contract plans for years! While we’re still paying out the nose compared to them, from what I gather the new plans look much more like what European countries have had all along.

      • Jim B

        for example, her in Sweden tele2 carrier gives you all unlimited calls n text plus 50gb for around $45 a month.

  • TwinSon

    So now they are foricbly making VZW subscribers pay double for their phones.

    • The prices definitely are cheaper with the new plans.

    • iBanks

      How exactly are they charging double for the phones and how are you still being charged unfairly after? If right now, on a two year contract an iPhone 6 16gb is $200, and you’re paying $40 for your line access and $80 for 10GB equaling $120 monthly. Where as on the installment plan, you pat $27.08 installment, $15 line access and $80 for 10gb data. That’s $122.08 a month for the same plan but also including the cost of your iPhone. So at $2.08 more a month for 24 months, that’s $50 for a iPhone that would have cost you $200. And then after the installment falls off, you’re now paying $15 line access and $80 for 10GB of data at $95 monthly for the same exact plan if you decide not to upgrade because you will have the month to month discount. You may say other carriers are less monthly, but yet they don’t invest as much into the reliability of their network as Verizon does. Just like no other companies invest in as much of their products and quality of their products as Apple does as to why they are more expensive.

      • Vince Reedy

        You made the argument boring with too many facts. It’s just much easier to throw general derogatory comments around to prove your point.

        Haha joking, I’m glad to see there are still people that look at facts before coming to a conclusion.

      • ericesque

        Guy, an iPhone 6 costs $649. Your monthly payment for the phone will be $27.04.

        I’m already on the Edge plan. My wife and I both got the 64GB iPhone 6 Plus. We pay about $70 a month for the phones as part of our contract. BUT we did the math and for us it ended up about $400 cheaper over the life of the contract to go with the Edge plan.

        That said, I expect the cost advantage is going to vary wildly family by family depending on how many lines and how much data they need.

      • iBanks

        If you take $649.99 and divide it by 24, that’s 27.08291666666667 which is $27.08, not 27.04. Anyhow, depending on the data plan that you are on, that determines on what the cost of the device will be for you. If you are on an GB plan of 1-4 you get an $15 like access credit. If you are on an GB plan of 6 and above you get an $25 line access credit. Therefore if you and your wife are on the 4GB plan, you both are paying $10 more a month over 24 months for your devices compared to what you would if you had the 6GB plan. Example, an 2 line 16GB iPhone with 4GB data cost the same amount as a 2 line with 6GB of data. Reason being is because of the $10 difference in the line access credit. But all in all, as you said the cost is based on the persons needs and number of lines but the moral of the story is that the original commenter has no clue on how the plan works and wanted to voice on how he’s being overcharged and he’s wrong.

      • ericesque

        Please stop trying to contribute to this conversation. You really don’t understand how these plans are structured and are spreading misinformation. The line access fee has nothing to do with the cost of the device. If I bring my own phone, the line access fee is the same as if I finance the phone through Verizon.

      • iBanks

        Miainformation? Lol. You sir should educate yourself more on Verizon’s plans before claiming I’m misinforming. I completely understand how these plans work, I sell them everyday. And yes, if you bring your own device, the line access will be the same as on the installment plan based on the data plan that you are on. You get a $15 month to month line access credit on 1-4 gigs and $25 month to month line access credit on 6+ gigs. But you’re the one that knows more about the plan do explain to me how is it not more beneficial and less cost effective for an customer to pay $2.08 more a month on the bill than what they were going to pay ANYWAY and only having to pay the taxes up front, compared to paying $200 + an $40 upgrade fee out of pocket. Please educate me sir.

      • iBanks

        As a matter fact, I’ll make it easier for you. Tell me which is more cost effective… $120 monthly while paying $200 for device and $40 upgrade fee OR paying 122.08 monthly and only paying the taxes up front using the installment plan? And an even better example, an Galaxy s6 installment is $24.99 monthly, if you get an $25 credit on the bill for the line access every month, how much are you paying for the device outside of the taxes you paid up front?

  • PSono

    Some offtopic question here, my iphone started getting lot of advertisement spam on every apps from appstore since a few day ago. And I also installed the keyswipe a few days ago, after i get rid of it, those ads still keep spamming on my device, is this some kind of malware? Any thought?

    • Jonathan

      Have Instagram++, Facebook++, or something similar installed? If so, remove them all.

      • PSono

        Tried to remove whatsapp lseen stamp, doesnt seems to be working, my gmail and outlook still popping up ads

      • Jonathan

        Ah, now that you’ve said that, I think I remember other people having that problem too.

  • George

    I hope this has a negative impact on cell phone sales so that manufacturers like apple and Samsung stop selling phones for ridiculous amounts of money.

  • Looks like it’s back to 2 year contracts again. Sheesh!

    • Nesly Lacroix

      They are getting rid of 2 year contracts. Like the article said, it is now month to month.

      • But you can’t upgrade your phone for two years because it’ll take two years to pay it off.

      • Chris Charles

        You can pay off the phone whenever you want

  • Jamie John Roberts

    $80 a month for 12gb and paying full whack for the phone? I pay £35 per month for 20gb of 4G data on EE in the UK and got my 128gb iPhone 6 Plus for £149 lol

  • askep3

    I might even switch over from T-Mobile, I mean, it’s great and all, but the coverage is really bad, and it’s killing my iPhone battery.

  • 5723alex .

    This is horrendous.

    In my country we pay

    $7 for 3GB of data, unlimited calls, unlimited sms/mms

    $10 for 6GB of data, unlimited calls, unlimited sms/mms, free international calls to
    50 countries with 500 min. max per month.

    $20 for 12GB of data and the rest like the $10 program.

    No line-access charges.

    There is no contract and you can switch carries every day. By law the switch should take up to 3 hours.

  • Minterzine

    Best is T-Mobile $80 per month. For unlimited 4G really. Better than from verizon with little 12gb

    • Paul Edmund

      Not true unlimited. You get throttled.

      • Minterzine

        no really unlimited with fair user principle.

      • Minterzine

        When you use more than 21gb by t-mobile. Come the fair user principle.
        The throttled values are really good. In 4g 6-20mbps downloas and 2-5mbps upload

      • Paul Edmund

        They don’t throttle down to edge anymore?

      • Minterzine

        Show on homepage. It give only little speed throttle.

      • Paul Edmund

        Just read up on it. It throttles down to 2G. That’s really slow. I use 30-40 gigs a month. Wouldn’t work for me.

      • Minterzine

        Minterzine Paul Edmund
        a minute ago
        No only for hotspot function(tethering). You can use umts stick this is not tethering.
        0 Reply

      • Minterzine

        No only for hotspot function(tethering). You can use umts stick this is not tethering.

  • socrates

    I’m not understanding how this is not s good thing. $80 for 12GB, plus two other devices for $20 each.
    Currently, I’m on the More Everything Plan of 10GB for the same $80, and each line is $40. How are these new plans so “outrageous”?

  • Innes

    Hi Christian, spotted a typo:
    ‘Subsidies let you have a bran spanking’…
    ought to be:
    ‘Subsidies let you have a brand spanking’…

  • OVOKV$LO

    moved to sprint… not the best but atleast i have unlimited $50/month plan and iphone 6plus… with monthly fees and phone installments i roughly pay just under $100 a month..

  • OVOKV$LO

    ive also never understood the “monthly access charge” to use the data youre already paying for on the phone your already paying for…???? am i the only one that notices that?

  • singhay559

    This will effect the market big time. I dont think everyone can afford to pay over 600 for a new phone. 199 plus tax is more ideal for the average income.