AT&T Suing Traffickers Of Previously Locked Mobile Phones

Filed under: mobile network operators - 09 Feb 2008 0:01

Did you know that when you buy a prepaid phone from a store that it is likely subsidized? I saw a presentation earlier this week that broke down the costs of one of those $20 phones you buy from Walmart or even the $10 refurbished phones that you can buy from AT&T. While I can’t divulge exact numbers, I can say those phones are being sold at a loss, assuming they’ll more than make it up when you sign up for prepaid service.

It’s no surprise, then, when someone buys these phones en-masse, unlocks them, and then resells them at a profit. To a carrier like AT&T, that is essentially lost revenue. That’s why AT&T is suing Wireless Exclusive, L.L.C., though I’m not sure why they are choosing trademark infringement as the law they are suing under.Look, folks, it comes down to one simple fact: people want mobile phones and the traditional channels aren’t providing them at a reasonable cost. I suspect the minute cheap, unlocked, non-subsidized phones start showing up through the traditional sales channels, this”trafficking” problem will go away.

Via SMS Text News, RCR News

Disclaimer: I’m sure Nokia has an opinion on this, but the preceding was my own thoughts.


Bookmark with: del.icio.us Digg it Furl iFeedReaders ma.gnolia Maple.nu RawSugar reddit Simpy StumbleUpon

5 Comments »

  1. Pingback by New Technology News!

    links from TechnoratiWhen I was trying to find a picture to go with a piece I wrote onAT&T suing a place over unlocking their prepaid phones and reselling them, I ran across a site that might be useful for those people who have old cell phones sitting in a drawer, wondering what to do with them. Junkyard Wireless will give you cold hard cash for your old

  2. Pingback by The Gadgets Weblog - Main page - Talk of Tech Tools and Toys - gadgets, ipod. mp3, review, reviews

    links from TechnoratiWhen I was trying to find a picture to go with a piece I wrote onAT&T suing a place over unlocking their prepaid phones and reselling them, I ran across a site that might be useful for those people who have old cell phones sitting in a drawer, wondering what to do with them. Junkyard Wireless will give you cold hard cash for your old phone-assuming it works, of course. The phone will

  3. Comment by B.S.Karadi M.D.

    Kodak Made similar noise about taking legal actions in the past. When people will get color film from studios and reload into cameras. Later they started selling bulk films. In 90s when some local film developing stores started selling “disposable” cameras with new film.
    American ingenuity always beats business monopoly! Thank God.

  4. Pingback by Actual Technology News Blog

    links from TechnoratiWhen I was trying to find a picture to go with a piece I wrote onAT&T suing a place over unlocking their prepaid phones and reselling them, I ran across a site that might be useful for those people who have old cell phones sitting in a drawer, wondering what to do with them. Junkyard Wireless will give you cold hard cash for your old phone-assuming it works, of course. The phone will

  5. Pingback by Gadget Directory | Collection of the best free gadgets

    Kramer auto Pingback[...] I was trying to find a picture to go with a piece I wrote on AT&T suing a place over unlocking their prepaid phones and reselling them, I ran across a site that might be useful for those people who have old cell phones sitting in a [...]

RSS feed for comments on this post. TrackBack URI

Leave a comment

If you want to leave a feedback to this post or to some other user´s comment, simply fill out the form below.

(required)

(required)


  • Some Sites

  • Calendar

    August 2008
    S M T W T F S
    « Jul    
     12
    3456789
    10111213141516
    17181920212223
    24252627282930
    31  

  • Topics

  • Latest Posts

  • Recent Comments

  • PhoneBoy on Twitter

    Powered by Twitter Tools.

  • Admin

    		•