Verizon, one of the largest wireless phone providers out there, is changing the way it does business. The company is doing away with contracts for cell phone service, and also getting rid of subsidies that made it possible for users to purchase expensive phones for less money, as long as they agreed to a contract with the company.
Starting on the 13th of August, you’ll no longer be able to get the latest and greatest phone for $100 or $200, as long as you get a new contract or extend an existing one with Verzion.
Customers will still have the option to pay for their phones in monthly installments.
The company is also changing its data plans, now offering four plans. They’re dropping their smallest 500MB plan, which ran $20 per month. The new plan options are:
Small: $30 per month for 1 GM of shareable data. (data can be shared by to up to 10 devices on the phone plan.)
Medium: $45 per month for 3 GB of shareable data.
Large: $60 per month for 6 GB of shareable data.
Extra Large: $80 per month for 13 GB of shareable data.
Each plan comes with unlimited talk and text. Monthly phone line fees are also changing. Each smartphone on the plan will pay a $20 per month access fee. Tablets will pay $10 per month, while devices like smart watches will cost $5 per month.
The company says current customers can keep their existing plans for move to the new plans, though some restrictions apply.