August 12, 2011

Will Unlocked Cell Phones Ever Be Legally Mandated?

The Droid Eris

The Droid Eris

Some countries require that cell phone service providers provide (at least) an option for unlocked cell phones. This varies between carriers, under certain circumstances (or through a fee) creating unlocked cell phones for their customers, or creating unlocked cell phones when the contract under which the cell phone was purchased has expired.

Some countries go all out with unlocked phones; although unlocked cell phones may be more expensive to buy ouright in these countries, contract costs usually compensate.

In the US, some GSM carriers can choose to follow these practices, but rarely do, seeing unlocked cell phones as bad for business (especially when it comes to the iPhone, over which AT&T had a monopoly that it will now share with Verizon).

Some have questioned the legality of discouraging unlocked cell phones with respect to the DMCA, but special exemption was made and has been renewed ever since. The next expiration will occur in 2013…but over the next few years much is set to change. Foreign carriers are entering the US market with affordable unlocked cell phones, more cell phone manufacturers are providing unlocked cell phones (Palm, and now Apple…but for a price).

Will renewal not be considered due to changing standards? Will the availability of unlocked cell phones moot the necessity of any sort of legislation? Only time will tell.

Filed under Carriers, Contracts & Service Providers, Service & Reception by Ariana

Permalink Print