Ben Brooks on the lack of a fully discounted upgrade for his iPhone 4S:
Let’s just state this again: for many others and for me, it is $50 cheaper to break the AT&T contract and switch to another carrier.
Brooks goes on to say that people have reported to him via Twitter that this is the case on Verizon as well. Brooks also points out how insane this is, and he’s right. This is part of the reason carriers want to jack up early termination fees, so that this kind of situation isn’t possible.
I think the assertion that you save about $50 might be overstated though. Most carriers have activation fees they charge, so the savings might be less. And it’s questionable whether $20 in savings is worth the hassle.