why so expensive? —

Sprint is set to unleash pay-as-you-go service at $70 per month

Service and handsets are pricier than other services that use Sprint's network.

Sprint is set to introduce a pay-as-you-go service on January 25 to compete with mobile virtual network operators (MVNOs) like Boost Mobile and Virgin, but the company will not allow regular Sprint phones to cross over to the service. Instead, a set of lackluster phones are available for monthly plans that are slightly more expensive than what competitors offer.

Sprint is one of the largest supporters of MVNOs in the US, with many services using its network to support pay-as-you-go service: Republic Wireless, Virgin, Boost, and Kajeet are among them. Sprint intends to get in on the action, but its prices are not competitive compared to those other services, and there’s no easy crossover for current Sprint customers given that users must buy a new, pay-as-you-go specific phone.

As Android Police points out, 4G LTE access is possibly disabled in the two higher end phones offered for pay-as-you-go, the LG Optimus Elite and the Samsung Victory. Sprint is offering those phones for $150 and $250, respectively, with $70 a month for unlimited talk, text, and data plans, while Virgin offers the Optimus Elite for $70 with a $55-per-month unlimited plan. Boost’s handset offerings are likewise not top of the line, but many are running Android 4.0 Ice Cream Sandwich and have less expensive plans.

Sprint’s plans may not have the soft 2.5GB data plans that Virgin and Boost do, which would give them some value over the less expensive plans. The customer service may also be worth paying for, though Sprint does not earn top ranks in that department, lately finishing second to Verizon.

Channel Ars Technica