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AT&T is limiting two-year contracts, why won't it just kill them?

AT&T is limiting two-year contracts, why won't it just kill them?

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Retailers like Walmart will stop offering the lengthy commitments

By T.C. Sottek, executive editor who has obsessed over headlines and internet speeds since 2011. He previously worked as an advocate for the National Park System.

Source Droid-Life

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The Verge has learned that national, third-party AT&T retailers will stop offering two-year contracts at the end of the month and will instead only offer smartphones with the AT&T Next program or at full retail price. The move was originally reported by Droid-Life, and comes just a little more than two years after T-Mobile declared it had become the "uncarrier," becoming the first major US wireless carrier to kill all mobile contracts.

AT&T isn't really going that far though, at least not yet. Industry sources tell The Verge that AT&T will continue to offer two-year contracts in its own stores and online, so it's not a coup de grâce for consumers. And even if AT&T killed contracts, programs like AT&T Next are sort of like contracts by a different name — they're still expensive commitments.

Even if AT&T plans on dragging its feet, competition has been getting better in the mobile industry. T-Mobile has largely been leading the way, even if the prickly and occasionally uncouth demeanor from CEO John Legere is off-putting. AT&T has already followed T-Mobile's aggressive moves with discounted data plans and cash incentives for people who switch carriers. Hopefully the company's ripple will soon turn into a wave.

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