If consumers instead say "yes" and buy the iPhone with the two-year
> contract, then it will only be a matter of time before all handset
> subsidies disappear and all cell phone users have to pay both the
> full cost of their handsets and still be locked into multiple-year
> contacts. Those who purchase iPhones under the current arrangement
> may very well be sealing that fate for all cell phone users.
> Read more ...formatting link
Somehow, I don't think that will work. If future cellular units are sold at full price, there will be all kinds of retailers jumping in to cut the price. The word will get around to tell the greedy wireless companies, "Sign me up month to month and sell me the Motorola Jacko
899 for $249.99 or I will take my business elsewhere."
Paying market price for the unit will also cause consumers to hold onto them longer, thus upsetting the entire manufacturer/wireless enterprise sweetheart deal.
Also, those whose contracts have already expired (I am one of those) are in a much, much stronger position to never sign a contract again if the units are sold at market price.