The Pros and Cons of Upgrading Your Cellular Telephone

With more and more people already owning cellular telephones, the cellular industry has come to rely more upon contract renewals and equipment upgrades than on new contracts and customers. Enter the concept of the cellular telephone "upgrade." In the cellular telephone industry, "upgrade" is a term used to denote a contract renewal combined with the purchase of a new cellular telephone at a discounted price. The appeal of an upgrade, from a customer's perspective, is obvious; but there are some pros and cons to upgrading your cellular telephone that you should be aware of when deciding whether to upgrade your phone.

Pros of Upgrading Your Cellphone

New Equipment: The obvious benefit to upgrading your cellphone is the ability to purchase a new phone at a discounted price. Like all electronics, new technology comes into vogue periodically, and new cellular phones often have vastly more features than phones from just a couple of years ago. By upgrading your cellular phone you are able to stay current with the latest technology while getting a stylish new phone to boot.

Discounted Price: The unactivated price for cellular telephones is often in the range of $200 to $300 apiece. By renewing your contract you are able to receive a new telephone at a discounted price, or often for free. The cellular companies will certainly recapture the cost of your new cell phone over the life of a two year contract, so it is worth it for these companies, such as Verizon, AT&T, and Sprint, to invest in you as a customer and to purchase your new phone for you.

Cons of Upgrading Your Cellphone