Chris
Dallas,#2UPDATE Employee
Sat, August 07, 2004
Let me explain to you how EVERY wireless company (but it this case Cingular) works.... 1. They BUY the phones from the manufacturers, i.e. Nokia, Motorola, Sony Ericsson, etc. Those manufacturers have to stay in business so they DO CHARGE the carrier (Cingular) for the equipment. 2. Obviously, since Cingular has to buy the equipment, they must SELL the equipment, right? But, wait, nobody wants to pay for the equipment. They want it for free, because they think Cingular makes their own phones and it doesn't cost them anything. 3. To make up the cost of the phone, Cingular has the customer sign a contract, assuming they will make back the money on the equipment monthly.....also, keep in mind, the monthly rates pay for employees, networks (billions of dollars a month), advertising, retail space, utilities, etc. 4. If you cancel that contract, they may not make up the cost of the phone, because the cost of the phone is spread out over the length of the agreement...again, most of the profit monthly pays for the above-mentioned items. That is why they charge the termination fee. There ya go, in a nutshell. If the company gave upgrades before the contracts were up to everyone (and they would have to for everyone if they did for one person because friends, family, the rest of the customers in the store, etc, ask why bob got one early and they didn't) they wouldn't make any money, and unfortunately customers don't understand, a company is in business to make money.