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Verizon Will Start Charging a $30 Upgrade Fee Starting April 22nd

The actual value of a Rezound is much less than $450. The cost to manufacture it is very likely in the $200 range, as is the case with similar high end smartphones (like the iPhone 4S). It's funny how we *think* we're getting a deal when we qualify for an "upgrade discount" but we are in fact paying the full cost of the phone. We get really worked over when we pay the "full retail" price, which includes a MASSIVE markup.

Still, $50 for a $200 phone is a good deal... but it's not the same as getting something truly worth $450 for that little. If a smartphone like the Rezound were really worth that kind of money, there's no way Amazon could afford to sell the Kindle Fire for $200, for example.

Verizon is nickel and diming customers for another $30... money that just goes straigt to their bottom line. It sucks, but all the other carriers do it, too. :mad:

*gasp*!!! how DARE you bring logic and reason to this thread?!!!!
 
The actual value of a Rezound is much less than $450. The cost to manufacture it is very likely in the $200 range, as is the case with similar high end smartphones (like the iPhone 4S). It's funny how we *think* we're getting a deal when we qualify for an "upgrade discount" but we are in fact paying the full cost of the phone. We get really worked over when we pay the "full retail" price, which includes a MASSIVE markup.

While I respect everyone's opinion, I disagree with verizon charging the fee. I also disagree with some of the numbers above. The COST of the parts to make the rezound add up to more than $200. I'm sure a few here would even remember the cost comparison between the iphone 4 and the thunderbolt. I believe at the time the cost of the thunderbolt parts was in the $250 range.

So no. Full retail does not have a MASSIVE markup.

Now back to the complaining about the fee.. :p
 
While I respect everyone's opinion, I disagree with verizon charging the fee. I also disagree with some of the numbers above. The COST of the parts to make the rezound add up to more than $200. I'm sure a few here would even remember the cost comparison between the iphone 4 and the thunderbolt. I believe at the time the cost of the thunderbolt parts was in the $250 range.

So no. Full retail does not have a MASSIVE markup.

Now back to the complaining about the fee.. :p

are you basing your information on the current cost of chipsets and screen technologies on the older iphone4 and thunderbolt? I haven't seen this study, but USUALLY tech prices come down as they become more mainstream. The thunderbolt was using the very beginnings of LTE technology - surely prices have come down for the chips and cpus and radios. Do you have actual data to tell us what they do or don't cost? Not being a "jerk", but i'm curious if you have inside information on how much of a markup we are dealing with...would be very interesting. I'm guessing we are dealing with at least a 25% markup - MOST retail is around that percentage (or higher), but I am not going to claim I know for sure - obviously MOST of the profit is in the contract pricing and not the hardware. AT LEAST you aren't one of those defending the price hike! lol
 
Posible Waived fee?

Has anybody been able to get this fee waived, due to, I dont know, customer loyalty etc? Were you able to do this in Verizon Store or talking with a customer representative in Verizon? I'm already past due for an upgrade but I do not believe in having to pay verizon to get a new phone. Ridiculous! I don't even use those dumb "educational" videos!
 
Waived

I read some of this thread and skipped to the end. Not sure if anyonw else mentioned getting the fee waived, but that is the last post, so I will answer. Last month I called to upgrade my daughter's old Droid 2 to an iPhone. The rep was refusing to waive the fee. Told him I'd die with this phone before paying Verizon another $30 on top of the $12,000 plus we've paid for 2-5 phones/smartphones over the last 10+ years. He still said he couldn't waive it. We politely ended the call...not his fault Verizon wants to grind me for $30 every two years. 10 minutes later my phone rings...same rep. Says he spoke to his manager and they agreed to waive the fee. Pefect! Placed my order, got my new phone. No $30 fee.

We'll see if it works again when I call to upgrade my wife's phone to the Droid M.
 
JJBoods said:
I read some of this thread and skipped to the end. Not sure if anyonw else mentioned getting the fee waived, but that is the last post, so I will answer. Last month I called to upgrade my daughter's old Droid 2 to an iPhone. The rep was refusing to waive the fee. Told him I'd die with this phone before paying Verizon another $30 on top of the $12,000 plus we've paid for 2-5 phones/smartphones over the last 10+ years. He still said he couldn't waive it. We politely ended the call...not his fault Verizon wants to grind me for $30 every two years. 10 minutes later my phone rings...same rep. Says he spoke to his manager and they agreed to waive the fee. Pefect! Placed my order, got my new phone. No $30 fee.

We'll see if it works again when I call to upgrade my wife's phone to the Droid M.

If you have people on contract and have a family plan there's less leeway. I noticed I can get them to do a lot more when all my lines are out of contract or at least one is almost done.

If you have two year contracts with them on all lines but one they know you're not going anywhere so nothing will work.

Verizon is the devil.
 
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