Okay, I'll chime in. I'm somewhat of a phone junkie and I've been on all 4 main carriers in the past 5 years... Below are my experiences and opinions.
Firstly, a pet peeve of mine is the term "4G." 4th generation wireless, technically speaking, is WiMax (Sprint "4G," Clearwire). LTE (long-term evolution, the latest wireless standard) should really be called 5G since it is 5th generation, but nobody calls it that. Some companies, like T-Mobile, have an insanely fast and upgraded HSPA+ (3G) network, which operates faster than some 4G networks, so they call it "4G" in their marketing despite it being 3rd-gen tech. They also have an LTE network, which is technically 4G, but they market that as "LTE" since it is a lot faster and they need a way to differentiate it since they've already used the term "4G." The whole thing is a mess and there is so much misinformation everywhere, so I prefer to call them by their underlying network types instead of generation.
Device SubsidiesToday's smartphones are $600-800 devices in terms of retail price value. But nobody wants to fork over that much money for "a phone" (even though they are in fact very sophisticated tiny computers), so enter phone subsidies. Telecom companies charge $100+ per month for actual service that should cost $50 or less and require a 2-year contract in return for giving you your shiny new phone for $199. This sounds great at first, but after 2 years once you've essentially "paid off" your device (at least once, do the math!), your bill will not decrease. I suppose that might be alright if you buy a phone at the subsidized price every 2 years, but then you are locked into buying devices on their schedule. The handheld device market changes rapidly (look at what phones were out 2 years ago), and there are definitely good times to buy a new device and bad times, so having flexibility allows you to get a better device for your money. And if you wait longer than 2 years between phones, then you're needlessly paying that extra subsidy in your bill every month (don't worry, the telecoms don't mind a bit). PLUS, and this is a hugely overlooked factor, wireless SERVICE changes rapidly too. The networks they were using two years ago are very different than what's running today. You may start off with great service, and it turns into crap before your contract is up (or the opposite can happen as companies launch new networks and deploy new equipment). The whole subsidies scheme is a racket that has been going on for a while and has made the telecom companies untold amounts of money, and consumers are slowly starting to catch on.
Google has been making a big impact by offering their Nexus devices for around $300 (without contract or even service) for several years now. They come unlocked and ready to use on any GSM network (ever wonder why you can't buy a Nexus devices from Google that works on Verizon? Because CDMA as it exists in this country does not allow this sort of flexibility). Combine that with a cheap prepaid wireless line (prepaid isn't just for drug dealers anymore!) and you can save a LOT of money. Most carriers will also offer you monthly service without a contract, not that they will tell you that upfront. T-Mobile was the first company to go completely contract-free with all their plans, and they lowered their prices to a max of $70 for unlimited everything. They then added the option where if you buy a device from them, you can pay full price up front OR finance it and make payments attached to your monthly bill until the device is paid off. Want to cancel service? No problem (since there's no contract), but you still have to keep paying the device off even if you don't have service with them, just like a credit card or layaway. Makes a lot of sense. AT&T just announced last week that they will be offering contract-free plans (they're calling it "Mobile Share Value Plan") alongside their contract plans in a similar style, with the ability to finance the devices. This is GREAT NEWS FOR CONSUMERS, and I for one want to support any companies that do this.
Device LockingWhen it comes to GSM device interoperability, while they are radio-compatible in most cases, if you buy a phone directly from a carrier it will be software restricted to work only with their service - a.k.a. "Locked." However, you can request the unlock code from the carrier which will unlock your phone permanently to be used on any compatible network. The stipulations are typically that you must have either bought your device in full, paid off the financing, or fulfilled the original contract (to pay the phone's subsidy). I recommend getting your unlock code as soon as you are eligible.
Some phones can also be hacked to become unlocked, which requires first jailbreaking or rooting the phone. While jailbreaking and rooting are legal in the USA (this is the practice of installing different software into your device), unlocking a device to bypass the carrier restriction IS ILLEGAL. However, there are cases where an unlock code cannot be legally obtained, for example if the account your phone was purchased under is no longer active, even if the contract was fulfilled, some carriers will not provide an unlock code. Unlocking through software modification can be a good option at that point.
Nexus devices and some "international" versions of phones come unlocked out of the box.
Here are my experiences with the various networks:
CDMA NetworksVerizon They have the best coverage, and the highest monthly bill. They no longer offer unlimited data unless you are grandfathered in an old plan. Worth it if you value being able to use your phone absolutely everywhere.
My biggest complaint is the lock-in. Recent Verizon phones utilize SIM cards, older phones simply had an IMEI (kind of like a serial or MAC address) that had to be registered with your account before it would work. They are a CDMA network and you can ONLY use Verizon phones on the Verizon network, and Verizon phones cannot be used on any other network. So you can switch phones, as long as both phones are Verizon phones (sort of like "this car is available in any color you like, as long as it's black!"). This is the ultimate lock-in. I will not patronize Verizon for this reason.
3G CDMA - 0.5-3 Mbit typical speed
4G LTE - 10-60+ Mbit (insanely fast)
SprintAlso a CDMA network with the same bad-for-consumers lock-in (and no, despite using the same CDMA technology, Sprint phones can NOT be used on Verizon or vice versa). When they launched their WiMax network a few years ago, it was decently fast but had very poor penetration in buildings. Now it is congested and slow. Their 3G network has been crap for a long time. Consumer Reports recently reported that they are the worst of the main carriers in this country in terms of customer service and coverage. They do offer an unlimited data plan, which is convenient for them since their network is so slow you couldn't use a lot of data if you tried.
3G CDMA - 0.1-1 Mbit typical speed (slowly loading webpages, email; not fast enough for video)
4G WiMax - 0.5-10 Mbit (can be decently fast, on the rare occasion that it connects)
4G LTE - 1-15 Mbit (usable, but slow for an LTE network)
GSM NetworksAT&TThe most popular and extensive GSM network. They have a solid HSPA+ 3G network, and a well developed LTE network. Not quite as far reaching as Verizon, but probably the closest. Being GSM, their phones are radio-compatible with other GSM networks like those found throughout Europe and other parts of the world, as well as other carriers in the USA.
2G Edge - 0.1-0.5 Mbit (slow, but rarely used since HSPA+ is almost everywhere)
3G HSPA+ 1-12 Mbit (plenty fast enough for most people, but not the fastest HSPA+)
4G LTE - 10-50+ Mbit (insanely fast)
T-MobileA GSM network, with a relatively new LTE network. Radio-compatible with other GSM networks (there are some issues with lack of a particular frequency on certain phones, so for example you might not be able to get 3G to work but 2G would work, but most of them are compatible. LTE network is 100% compatible with AT&T's LTE network).
Their HSPA+ network is the best of its kind, and astoundingly fast for being a "3G" technology (T-Mobile markets it as "4G" and will show "4G" on a T-Mobile branded phone when connected). It has great coverage in towns, but is very lacking once you leave populated areas, falling back to the 2G Edge service which is basically just frustrating.
T-Mobile was also the first company to offer transparent, contract-free plans with phone financing. Once you pay your phone off, a portion of your bill drops off.
2G Edge - 0.1-0.5 Mbit (almost unusable for any modern smartphone)
3G HSPA+ 2-20 Mbit (faster than most people need)
4G LTE - 5-25+ Mbit (very fast, but not the fastest LTE network)
MVNO NetworksAn MVNO (
mobile virtual network operator) is a carrier that simply re-sells another carrier's service, much how Earthlink re-sells Time Warner Cable in the Triangle. While they utilize another company's network, they provide their own customer service, billing, and can enforce restrictions such as usage limits and others. They also usually have restrictions on roaming outside of the particuar network they re-sell, whereas the parent service provider may offer roaming to their direct customers. Your mileage may vary, but there is surely some savings to be had with these networks.
List of MVNOs in the USAWhat I am doingMe personally, I bought a GSM phone (up front for $600) about a year ago and used it on T-Mobile's $30/month prepaid plan. $600 is a lot to shell out for a phone, but paying $30/month instead of let's say $80 made the phone pay for itself in less than a year. T-Mobile was great, very reasonably priced and great coverage in towns, but I moved out to the country and they don't have any coverage out there, so I got an AT&T no-contract plan and am using the same phone on the AT&T network. I pay a bit more, but I have better coverage and it works at my house. And, I will soon be switching to their new cheaper plan ("Mobile Share Value Plan") soon to save even more money (I'll end up paying about $120 with my employer discount for 2 smartphone lines, unlimited text & talk, and 10GB data to share between them). This flexibility with GSM networks and phones is what is critical, in my opinion, for a fair and competitive cellular market (see also: Europe for the past 10 years).
What should you do?Well, that depends on your needs:
- Want the best coverage absolutely everywhere, and don't care the cost? Verizon all the way, but you'll have to sign a contract and only upgrade phones every 2 years or pay full price for the device AND the subsidy in your monthly bill. And forget using your phone outside the country.
- Are you a cheapskate who only stays in populated areas and may travel internationally? Buy a Nexus from Google and get T-Mobile prepaid.
- Do you want a good balance of fair carrier pricing, good service, flexibility, and might travel internationally? AT&T is my go-to right now. Coverage is excellent and broad, speed is good, and their new contract-free plans look promising. Either buy a Nexus, pay full price for another phone, or finance your phone and go contract-free. If AT&T sucks next month, you can jump over to T-Mobile or any other GSM network. Going outside the country? Grab a pre-paid SIM card when you get there, pop it in your phone and go.
Note that all of this information may be obsolete or incorrect tomorrow.
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