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Dr.Henry_Killinger said:

My point exactly. People are saying, oh why don't Sony just pull a Nintendo with their handhelds. Not to mention price subsidies in smartphones.

No gawd damned chance.

These "free phones" are mostly for people who can't calculate. These subsidies are just hidden follow-up costs.

I bought my smartphone 2 years ago for 300 € and have to pay 3€ per month for internet flat (it gets slower after a few 100 MB, but I'm patient) and telephone calls (free to all home lines in my country and free to other cell phones in the same mobile net)... so ~400 € in 2 years (300 + 24x3 + a few phone calls in other mobile nets).

Most people I know with "purchase plans" have to pay 30 - 60 € per month... so 720 - 1440 € in 2 years.