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July 11, 2013

Tired of the Old Phone? T-Mobile's Jump Ready to Go!

Mobile devices are constantly changing. Apple has steadily brought out a new line of iPhones virtually since the iPhone line got started, and iPhone's variety of competitors have been commonly found keeping pace. This rapid development of devices has left some mobile customers chafing under two-year contracts that often prevent customers from getting in the latest and greatest as it arrives without some form of penalty. T-Mobile, meanwhile, looks to change that with its new program dubbed “Jump.”

The Jump program costs customers $10 a month, but allows users to upgrade phones on the same plan twice a year. Customers will, however, have to wait six months for that first upgrade, but the Jump program also includes insurance. Customers will then be required to trade in the phones when making the upgrade. Jump is set to kick off July 14, and will allow users to buy a new phone at the same kind of device financing that would be had for new customers as long as the device traded in is in “good working condition.”

T-Mobile has been looking to buck trends, likely in a bid to provide some distinction from its larger competitors. Billing itself as the “uncarrier,” T-Mobile recently dropped the standard wireless contract, instead offering phones on what's called an “equipment installment plan,” which keeps prices low, and requires no fees for early termination, but instead calls for regular payments until the phone's total price is paid.

This all poses an interesting question in response: T-Mobile is likely to have no shortage of folks looking to take advantage of the Jump program, ready to trade in old but still perfectly serviceable phones on a regular basis. What is T-Mobile going to do with all those used phones? Calls to area T-Mobile locations didn't turn up much on this, but if T-Mobile were to, say, offer those used and slightly older devices up at a significant discount, the company would likely see some pretty brisk business from customers looking to get in on the smartphone concept without shelling out the standard smartphone expenses. So while it's not specifically known just what T-Mobile will do with all those old phones taken in under the Jump program, it's worth considering that there may be a used market.

While some details of the program remain to be seen, but what is quite clear at this juncture is that T-Mobile is out to set itself apart from its competition. Being the lowest-ranked major provider on several fronts will likely do that, and T-Mobile trying to take advantage of what it sees as a significant movement in customer requests is just smart in general. Only time will tell if the Jump program and T-Mobile's other initiatives pay off, but T-Mobile is certainly making the smart moves, and the chances of these moves working is fairly high.




Edited by Alisen Downey


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