Sprint will cut its two-year contract options and subsidized pricing beginning May 24, according to a leaked document that was meant for internal use only.
This means that the carrier's clients must have an equipment installment program to buy new handsets. Sprint will lease phones with an option for later purchase or upgrade. Those who are really good at saving can tap into the money-down acquisition of a new smartphone, which stays in place.
At the end of 2015, Sprint pulled the plug on the two-year contracts and subsidized offers.
The carrier was not the only American provider that decided to break off the long-term payment contracts. All major carriers in the United States, namely AT&T, Verizon and T-Mobile put a stop to the two-year contracts.
However, the company changed its mind in February 2016 and brought back the two-year contracts, as well as sponsored pricing. The offers were available exclusively for existing Sprint customers.
As all good things must come to an end, the special pricing time for Sprint is going to be over this coming Tuesday, should this leak internal memo prove to be accurate.
In spite of the ongoing changes, Sprint told the media that it registered operating profit in 2016, something that had not happened in quite some time.
Two-year contracts used to be the norm in the telecommunications field, but some clients found themselves trapped with the same carrier for more than they wished for. The option offered them the chance to acquire a high-end smartphone at a low cash point, with the rest of the device's price being bundled with the monthly fee.
The trend for big carriers seems to be giving clients options that are more transparent, such as monthly installment plans. What is more, the contracts no longer bind mobile customers to the same operator for too long, so they can easily switch to another network.
Sprint did not officially confirm the authenticity of the leak. This implies that until the company confirms the rumor, it is better to take it with a grain of salt.
We will keep you posted as soon as we find out more about Sprint's plans.
