T-Mobile trashes AT&T’s upgrade program with new ad, calls rival ‘underhanded’

T-Mobile USA CEO John Legere already let his feelings out on Twitter about rival AT&T. Now his company is using the newspapers to share similar thoughts about one of its biggest competitors.

t-mobile-logo-hugeThe Bellevue wireless carrier is running a full-page ad Tuesday in USA Today that lambasts AT&T’s new upgrade plan, which allows customers a chance to ditch their two-year contracts and pay 20 monthly installments without a down payment in order to upgrade once a year.

T-Mobile quotes a story from The Verge that reads “AT&T’s reaction to T-Mobile’s transparency is to be more deceptive than ever.” Below that excerpt, T-Mobile says the following:

“We wouldn’t call it deceptive, exactly.

Calculating, sneaky, underhanded, maybe, but not deceptive.”

T-Mobile’s timing is also noteworthy: AT&T releases its Q2 earnings tomorrow.

T-Mobile debuted its own upgrade program called JUMP! that allows customers to upgrade their phones twice a year with a $10 per month subscription fee. Less than a week later, AT&T came out its own program called “Next,” offering something  similar.

AT&T Developer Program

While both plans allow customers to upgrade their devices more frequently, T-Mobile’s JUMP requires a monthly program fee — which includes insurance coverage — and AT&T does not. However, T-Mobile lowered its monthly service payments rates to compensate for the removal of phone subsidies.

And that’s where many, including Legere, see AT&T’s plan as a ripoff. The AT&T monthly device payments can range anywhere from $15-to-$50 and that’s in addition to the monthly service plan rates that usually go for around $100 and designed for subsidized phones. Unlike T-Mobile, AT&T has not lowered those rates to make up for the lack of phone subsidies. And remember, on either plan, you never own the phone.

Verizon is also rumored to offer a similar plan in the near future.

Here’s T-Mobile’s ad:  

tmobileadat&t

  • Mike_Acker

    T-Mo needs to clean up around their own house a bit first. They advertise rates at $$ per month and then bill at 30 days. the result is your due date creeps forward 1 day each time a month has 31 days, net 5 days / year they cheat us for.

    they need to clean up their text message programming. i often get duplicate copies of text messages and no doubt they are counting that as 2 messages used against my account rather than 1.

    they need to clean up their e/mail support: txt messages sent from a phone to a computer end up in a boggled mess of broken attachment links. their support desk glibly told me they only support hotmail, gmail, and yahoo,– which is a pile — because email is a universal standard and T-Mo needs to go to school for this

    so John may be belly-aching around here lately but he needs to get off the pulpit and get back to his office and get to work on his defects.

    • Guest

      This discredits your rant “because email is a universal standard”. Ummm… no, no it’s not.

      • Mike_Acker

        See RFC 5322 and related items.