Switching Cellular Services in 2021

 

It’s been over a decade since it has been propitious for me to “go mobile” with cellular services.  My household has remained with Boost Mobile because it offered the most bang for the buck with unlimited talk and texting along with a generous hotspot capability gratis.  The handsets were mostly one generation behind, but they were affordable for replacement, thus obviating the expensive and unsatisfying “phone insurance racket.”

Alas, there have been shifts in the cellular marketplace which prompt a change.  As a thrifty  android aficionado, I regretted that LG decided to leave the cell phone market in July as I owned several iterations of the Stylus.  I had not heard good reviews of the LG Stylo 6 and I hoped that its successor would be worth procuring, but in the US the LG Stylo 7 was not  to be released.  

Boost does offer a Motorola Moto Stylus 5G but it has a higher price point.   I was considering getting a Moto Power, which has most of the features, aside from the stylus and massive built in 128GB RAM, but for less than half the cost.  But handsets are not the only thing in flux.

When T-Mobile merged with Sprint in 2019, federal regulators required the merged company to spin off Sprint’s house MVNO Boost Mobile so that there would be a viable fourth major cell competitor and lessen the likelihood of monopolistic price gouging.  

After some ado, Dish Network acquired Boost Mobile and the feds required T-Mobile to provide seven years of network sharing which would allow Boost could build its own celllular network. Prior to he merger, Boost relied on Sprint’s CDMA old network; however, T-Mobile relies on GSM networks (like much of the world).   Even though the trend amongst cell providers is to create 5G networks, it takes time to transition, especially for Dish’s Boost Mobile as it needs to start from scratch.  

T-Mobile decided to scrap the old CDMA 3G networks.  T-Mobile had sought to decommission the old CDMA network by the end of 2021.  But in pointed T-Mobile press release from  October 21, 2021, it announced that it was delaying the CDMA sunset until March 31, 2022 because its partners had not sufficiently followed through on customer migration to the new network.  Boost Mobile claims the tardy telephone services are post paid and not pre-paid like Boost. 

Despite the network sharing agreement, it requires new SIM cards for Boost’s “Expanded Network” which essentially means switching to 5G capable network.  Some Boost i-Phone customers, may just be able to upgrade their SIM cards.  But for the rest of the low budget customer base, that means new handsets. Although Boost Mobile offered some discounts, they are not remarkable incentives.

Despite being longtime customers, our loyalty is being shaken by provisions when switching from Boost’s “Nationwide Network” (CDMA) to “Extended Network” (a.k.a. GSM towers).  Aside from basically requiring new handsets for Android customers, whenever a retained customer Boosts up to the new network, they must join a new plan.  

Well we have a heritage Family Plan that was grandfathered in at two lines with unlimited talk and text and unlimited (really around 32 GB) data plus 12 GB separate of hotspot data for $80 a month flat (no extra taxes or fees).  It was not clear if two person family plans are available on the “Expanded Network”.  This could mean a $20 “boost” to our bill. 

After several frustrating webchats, a Boost CSR shared a webpage which indicates that a customer can change family plans, which presumably would extend into the new Extended Network.  But this information is contradicted by fine print on Boost’s webpage and frankly many opinions which contradict each other impeaches confidence in this assertion. 

So I considered other carriers.  The major carriers like Verizon, T-mobile and AT&T supposedly have migrated away from iron clad two year contracts with substantial early withdrawal penalties (up to $350).  Instead, this system has been replaced with expensive phones with installment plans over 22 to 36 months, which makes handsets seem so much more affordable, although this is on top of the cost for your phone plan. Taxes needed to be paid up front for the full value of the handset.  Moreover, if a customer switches before the phone is paid off, their contract is only released if the balance is paid off.  On the bright side, at least one can keep the device, but at a high price.

Then I looked at the pre-paids, which are MVNOs (Mobile Virtual Network Operators), which tend to offer good value for money, albeit with some cost cutting.  These savings can derive from not having brick and mortar stores, significantly automating customer contacts, offering older model new phones or encouraging customers to bring their own devices.   Boost is an MVNO which offered curtailed customer service and prior generation devices.  Now that Boost is switching to GSM, it seems that they may be dissuading data driven current customers from remaining to bring in new blood which is interested in inexpensive cellular plans that have less data attached to it.

As this analysis is being written, MetroPCS, a MVNO subsidiary of T-mobile since 2013, has an aggressive pricing plan to lure Boost Mobile and Cricket Wireless customers by offering a $25 a month cellular plan with unlimited talk, text and smartphone data.  This is half the cost of the comparable Boost Mobile plan.  The major difference is that Boost offers a hotspot whereas MetroPCS does not. Plans with hotspots start at $50 with an additional $20 a month surcharge.

To sweeten the deal in switching from Boost or Cricket, MetroPCS offers a free phone, a Samsung Galaxy A32 which on paper has good specs (6.54" screen, 64 GB internal memory, 4 GB ROM, and a 5000 Mah non removable Lith io battery, a quad rear camera with 48/8/5/2MP).  Boost Mobile offers this for $139.  

Frankly, I have my eye on the Motorola Stylus 5G, which has 218GB internal memory but otherwise similar specs for an additional $19.99 with the switch from Boost, whereas Boost Mobile wants $199 for the same handset.

To be fair, Boost is trying to retain customers with the Celero 5G for $49 online if one is invited (actually it rings up at $89.99).  The specs look good but there are some real question marks. Even in pre-order it seems out of stock, yet Boost will immediately charge the customer. Aside from the less discounted price, the manufacturer is not known, so it is buying a pig in a poke (but from my poking around, it’s FCC filings stem from Wingtech, a Hong Kong based company).  If my memory serves correctly, some handset providers from that area had problems with customers’ personal information surreptitious being sent to the Middle Kingdom. No thanks.

Boost Mobile consistently offers contradictory information about those switching to the Extended Network both in stores, on the website and through website chats.  It seems that the emphasis is to sell new handsets, even though the mid and lower priced models are two generations behind competitors, and push their BoostUp program which effectively locks customers in for 18 months.

From a market analysis standpoint, T-mobile through its subsidiary MetroPCS is leveraging its size with loss leaders (such as heavily subsidized handsets and half priced cellular plans) to drive away Boost customers.  This move may deprive DISH Network from having ample capital to build its own 5G network during the remainder of the T-mobile network sharing.  In doing so it may stifle Boost’s nascent attempts to become a fourth major US cell carrier.  

The handsets which MetroPCS has deeply discounted may not be the latest and greatest phones, but they provide plenty of value for money for most customers.  For my desired phone, it would be $180 savings vis-a-vis Boost Mobile website (or $226 via the BoostUp option).  And MetroPCS’s  presumably temporary promotion pricing would save a consumer $720 over two years. 

It is wise to consider what features cellular plan or a handset are crucial when discerning a cellular choice.  My household has prized hotspot tethering because we are often traveling to a place that has no household internet.  That may give Boost an edge.  But there are economic alternatives.  Rather than opt for a pricier plan with MetroPCS, one account could stay with Boost and share the signal while traveling.  There are also cheap prepaid carriers which are al a carte and could be turned on and off when tethering data is needed. There might also be other ways to achieve the occasional objective.   But saving $30 a month for two years is appealing to a thrifty techie.  And good customer service is priceless.