The increased cost of mobile devices combined with devices being limited for use with only one wireless carrier for many years has has consumers “locked” into a relationship with their wireless carrier. While we’ve been able to take our phone numbers themselves with us when we make a change, port the number, the device based limitation was still there. The inability to support a change in wireless carriers on a consumer owned device made the competition on wireless services less than equal. Luckily, lawmakers saw that as a problem. After championing from the CTIA, and other industry and consumer groups, lawmakers presented and last year, President Obama signed the Unlocking Consumer Choice and Wireless Competition Act into law. As of now, carriers will have to unlock your phone if requested.
This will be particularly helpful for those of us that travel internationally frequently. You can swap SIMs in your existing device OR do what I do and have an old phone (in my case my old iPhone 3s) readily available to use while I’m abroad. I like to keep them separate but it’s really up to your preference.
While this legislation mandates that the carriers will have to unlock your device, there are still a few items you’d want to keep in mind. First, you will need to fulfill your obligation/ contract with your existing carrier “postpaid service contract, device financing plan, or payment of applicable early termination fee.” Did you get your device directly from the carrier? If so, most likely, the price was highly subsidized, meaning that the carrier discounted the up front cost of your phone and elected to make that back in their monthly service fees over the course of your contract. You will need to pay that subsidy back – most likely in what they call an “early termination fee.”
Secondly, you will need to ensure that your device supports the appropriate wireless radio standard. If you have an older device – lets jump back to my to my earlier example of an iPhone 3S – than you will be limited. In my case, being an AT&T user, I have a GSM radio in my device. Verizon and Sprint run on CDMA technology so I would not be able to switch AT&T for a Verizon or Sprint plan. However, the technology on the iPhone 5 is supported by both carriers and because of this new legislation, yes I would be able to make the switch.
Perhaps you are interested in seeking out better network coverage or simply taking advantage of the best rates for voice and data. Either way, it makes sense to shop and shop often to ensure that you’re getting the nest bang for your buck.
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