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Postpaid service mobile phone typically requires two essential components in order to make the 'post-usage' model viable: Credit history/Contractual commitment. This is the basis on which the service provider is able to trust the customer with paying their bill when it is due and to have legal recourse in case of non-payment
A prepaid mobile device, also known as a pay-as-you-go (PAYG), pay-as-you-talk, pay and go, go-phone, prepay, or burner phone, is a mobile device such as a phone for which credit is purchased in advance of service use. The purchased credit is used to pay for telecommunications services at the point the service is accessed or consumed.
Subscriber counts are sourced from each companies quarterly reports. Subscriber counts include what each companies quarterly report states, whether it be just postpaid and prepaid (as in the case of Boost Mobile and UScellular) or a combination of postpaid, prepaid and fixed-wireless access as in the case of AT&T, T-Mobile and Verizon).
The history of the prepaid mobile phones began in the 1990s when mobile phone operators sought to expand their market reach. Up until this point, mobile phone services were exclusively offered on a postpaid basis (contract-based), which excluded individuals with poor credit ratings and minors under the age of 18 (the typical age of contractual.)
Recent statistics (OECD Communications Outlook 2005) indicate that 40% of the total mobile phone market in the OECD region consists of prepaid accounts. This service was invented by Portuguese provider TMN, while researching for a means to increase penetration of mobile technology by allowing anyone to buy a fully working (usually requiring a quick and simple activation process) mobile phone ...
Consumer Cellular offers low-cost, [22] no-contract monthly cellphone plans with simple cutoff points to offer flexibility. [23] Its cellphone selections include basic flip phones from Doro (of which the provider is the exclusive U.S. carrier) aimed toward seniors [24] as well as budget and premium Android smartphones from Motorola and Samsung.
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