There's a lot of confusion over whether T-Mobile's new plans are a good thing. CNET breaks it down for you.
This story initially said, wrongly, that T-Mobile would eliminate contracts. The carrier plans to only eliminate subsidies for smartphones.
commentary The carrier looks to make good on its promise to disrupt the industry in its 'challenger role.' That's a good thing for consumers.
T-Mobile confirmed that it does not make a profit on the phone, suggesting that Google helps out with a subsidy when purchased at Google Play.
Subsidies artificially devalue sophisticated smartphones and turn them into "throw away" items, says T-Mobile's chief marketing officer.
T-Mobile's no-contracts, no-subsidy plans could lead to more device interoperability and lower prices on handsets across the industry.
In this edition of Ask Maggie, CNET's Marguerite Reardon explains why carriers continue to charge the same monthly service fee even after your phone subsidy is paid. She also explains T-Mobile's prepaid offerings.
A Morgan Stanley analyst offers reassuring words: Carriers would face too many obstacles to trimming those subsidies to Apple that keep prices down.