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MARKET ACCEPTANCE and momentum are growing for un- locked cell phones, which are handsets that are not tied to a particular carrier company, like AT&T, but can be used with a range of services. Google’s new Nexus One comes unlocked by default. AT&T announced last week that it will unlock all of its phones except for the iPhone. And as customers become more savvy about the marketplace, pundits are touting the benefi ts of unlocked phones and criticiz- ing locked ones. For years, and still to a large extent today, the
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phone stores mostly selling locked phones, is fi nding in- expensive unlocked phones in stores, even if a shopper wants to buy them. That’s an advan- tage for fl ea market and swap meet vendors, who can set up competing booths to sell un- locked phones. “People who buy them do not have to com- mit to any contract or anything like that,” says Hezi Gavra, CEO of GS Mobile, an unlocked cell phone wholesaler. “They are just buying the phone and us- ing the same service they have
continued on page 60 Online at INDEPENDENTRETAILER.COM
default option accepted by most consumers was to buy a subsi- dized phone that was locked to a particular carrier, and at the same time commit to a two year plan. But it is easy to fi nd out how to unlock phones, even Apple’s iPhone, and it is legal to buy a phone that comes al- ready unlocked. And the Web has many pages devoted to using an unlocked phone.
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