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AT&T raises smartphone early termination fees

Written by Andre Yoskowitz @ 21 May 2010 9:15 User comments (2)

AT&T raises smartphone early termination fees AT&T has raised the early termination fees for its smartphones, following recent moves by rival Verizon to do the same.
The early termination fee (ETF) is the charge that consumers pay if they cancel their monthly plans before the set expiration date (usually two years).

The ETF will fly from $175 to $325 for all smartphones and netbooks that use a 3G modem.

On the other hand, non-smartphones will have their ETF dropped to $150 from $175.

The new prices take effect on June 1st, so current customers do not need to worry.

The move has very coincidental timing to the upcoming release of the new iPhone 4G, which is expected to sell over 1 million phones in its first weekend. The new ETF will effectively lock-in users to their new iPhone for the duration of the contract. For the time being, the Apple device remains an AT&T exclusive.

Last November, Verizon made the same exact move, raising the price from $175 to $350, right before the launch of the popular Motorola Droid.

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2 user comments

122.5.2010 11:58

That is alot of money...

223.5.2010 13:57

Meh, AT&T can go suck it! I may not like the ETFs of Verizon, but at least they have overall better coverage around the US.

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