Android Guy Weekly: Are Carrier Subsidies Holding Back Smartphone Updates?
Android Guy Weekly: Are Carrier Subsidies Holding Back Smartphone Updates?
2012-03-12
why does it take so long for us to get
updates for our smartphones could it be
carrier subsidies that's our topic on
this week's Android guy weekly in the
United States when you want to go and
get a cell phone you typically find what
provider you want and then you find out
what phones they have and you sign up
for a contract that contract is usually
two years sometimes more sometimes less
but two years is pretty average and you
get a discount on a phone when you do
that now the discount is really a
subsidy and that discount can be
anywhere from no few bucks to a few
hundred bucks and you get the latest and
greatest phone for sometimes half price
of what you get if you bought it
unlocked or unsubsidized and that sounds
like a good deal until you start looking
at what you're really getting first of
all you are getting tied into that
contract you have an early termination
fee that you have to pay to get out of
the contract which is usually a couple
hundred bucks you know the amount that
you saved when you bought the phone
subsidized sounds a little convenient
doesn't it but you're also losing out on
some other stuff that really isn't all
that obvious first of all you've got the
price that you play pay for your plan
you're probably paying too much there
look at our friends over across the pond
they pick out the phone they want then
they pick the plan they want and they
put the two together and if they decide
that's not the plan for them they go out
and get a new plan it doesn't cost them
early term fees now of course they don't
usually get a subsidized phone when they
do that they get a full price phone and
then they get the plan at a lower rate
and that's how over the course of
however long that phone works for them
that's how much money they save but
that's something interesting hey how
long can you use a phone well I've got a
nexus one that's still in perfect
working condition it's got some battle
scars but it works great I've got an
epic 4g I've got a g2 all these phones
they're not that old they still work
great so why
why don't I use them daily why do I have
a brand new phone why do I have this
galaxy nexus in my hand well they don't
have a new operating system we come back
to that subsidies I'm not the only one
who's kind of thinking that subsidies
aren't all that great for you and you'll
be surprised who had this kind of
radical idea let me read it to you first
they'll tell you who it was at a
conference or summat rather this guy
said the following device subsidies
actually distorts what devices actually
cost and it causes OEMs carriers
everybody to compete on different
playing fields I think it's really
difficult especially from a consumer
perspective because it causes consumers
to devalue completely the hardware
they're using see it's not a phone
anymore it's just a contract extension
device so let's go back to this it's
amazing hardware but it has become a
kind of throw away so it's unfortunate
you've got dual core multiprocessor
devices with amazing HD screens that get
thrown away at 18 months so who said
that it was t-mobile's chief marketing
officer cold broadman wow that's a big
player so why do we throw our phones
away in 18 months is it because they're
broken it might be some of the phones
that I've seen get broken relatively
easily fact I have one co-worker that
has gone through so many of her phones
that it's just ridiculous she decided to
go to an entirely different phone this
time around same manufacturer ironically
but that phone kind of had the yeah and
I'm not going to tell you which one
because i think i'm hoping that hers was
an isolated incident but it had kind of
a a false impression i hope it was false
that it was cheaply made which is sad
because it was a flagship device and it
was one of the four major devices that
this manufacturer made for the different
carriers and it was supposed to be wow
look how great we are but it was kind of
cheap and had some problems with
construction why why would a
manufacturer do that and possibly
tarnish their reputation as a
manufacturer
you know when that phone breaks one
getting one from them again their last
one sucked right why would they do that
because the OEMs rather the carriers
want the OEMs to make specific hardware
at a specific price in a specific time
frame so that's one thing you know
they're not going to put a lot of
quality into it because they don't have
to last that long they've only got a
last 12-18 months and then you're going
to be buying a new one anyway right okay
so that's hardware and for the most part
manufacturers make good hardware
software now how many updates do you get
on your desktop computer whether that be
Linux or Apple or Microsoft it becomes
somewhat frequently you know every few
weeks it seems how often do you get them
on your phone not that often why it's
not because there are bugs it's not
because there are ways that they can
enhance or make things better it's
because it's got to go through all these
different layers both at the OEM and the
carrier before it gets pushed down to
your phone and sometimes I can take half
a year to do which is really bad if it's
like a zero-day exploit that they really
need to patch up really quick you're not
going to get that because of all of this
bureaucracy so if you're oxys one thing
but also what about new operating
systems I just installed ice cream
sandwich on that epic 4g Ice Cream
Sandwich and it's pretty darn good it
seems nearly feature complete as far as
what I use for daily operation and it's
amazing it works just fine it's not as
fast as you know on a multi-core
processor but it works it works every
bit as good as the version that came on
it so why isn't Samsung saying hey let's
get ice cream sandwich on this phone
today because it can be done why aren't
they putting all their effort behind
that because we're not the customer the
carrier is their customer their carrier
I believe doesn't want that instead they
want you to say to get the message oh
we're going to get updates for these
phones it's just going to take a little
time for our quality to make sure it
works well on our network because it's
the network that's important we don't
want to release something that's going
to
everybody else on our network you know
just because you want it doesn't mean
everybody else doesn't and if the the
situation were reversed you'd want the
same thing see how nice we're being by
protecting our network it's all about
the network okay whatever serious guys
if you've got a problem with the device
turn it off you've got that option flip
the switch right there on the panel
anyway way off topic they don't
necessarily want to update that device
because they've already got a new device
that they have in the channel they're
working on it and it's going to be out
in the next six months with the latest
operating system on it and hey yeah
we're working on that one and it'll be
out by the end of the year so hang on
with us don't worry we'll get it to you
and then oh hey did you know that now
you can get a brand new phone that's got
a dual core or even a quad-core
processor double the RAM super fast and
it comes with that operating system
already built on it sweet in fact you
know what will even buy back your own
device your old device and give you 50
bucks well then sign you up for another
two-year contract sub that subsidize it
and you're looking at 150 bucks you can
get a brand new phone well who wouldn't
want to do that except okay two problems
one now you're in another two-year
contract you just pay it paid another
150 bucks that you didn't have to plus
all the stuff that you're going to be
paying for the next two years but that
phone that they bought back from you do
you think they were doing you a favor I
don't think so see what you could have
done with that phone is hacked it put
cyanogen mod or some other rom on it and
hey have the latest and greatest thing
now or sold it to a friend probably for
that same 50 bucks maybe a little bit
more even who then hack it and have the
latest and greatest on that device and
now holy crap they might have a newer
operating system on your old phone then
you have on your new phone because they
were more tech savvy you know somebody
like me and hopefully like a lot of you
guys were able to add extended life to
that device beyond what the manufacturer
had originally intended
beyond what the carrier had originally
intended they don't like that because
that's not getting new devices in your
hands and that's not getting new
contracts under their belt okay sounds
like a big conspiracy theory that's my
take on it now it's your turn that
comment box down below let me know am I
off my rocker or does this sound logical
does it make sense have you experienced
the same thing or maybe you've got an
entirely different theory on why
subsidies exist and if they're good or
bad something that I missed here please
let us know that down below of course we
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opinions here as well and make this
conversation even bigger even better so
that's it for this week subsidies
comment down below of course subscribe
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contact me through pocketnow.com for
pocketnow.com and the android guy weekly
i'm joe levi
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