If you’re shopping for a new phone and relying on carrier discounts to make the purchase more manageable, pay attention: T-Mobile might be rethinking its subsidy strategy. During the company’s earnings call this week, CEO Srini Gopalan made comments that suggest the wireless giant is evaluating how it offers phone discounts to customers going forward.

The specifics remain vague, but Gopalan’s remarks during Wednesday’s earnings presentation hint at a potential evolution in T-Mobile’s approach to subsidies. He emphasized that T-Mobile will maintain competitive phone pricing, but indicated the carrier is shifting focus from traditional bill-credit promotions toward deals centered around broader customer value.

According to Phone Arena‘s report, Gopalan attributed this potential shift to changing economics in the phone market. Modern smartphones cost more upfront and last longer than older models, which affects how carriers structure their discount programs. The CEO suggested future subsidy offerings might emphasize long-term customer value rather than the simple monthly bill-credit model customers currently enjoy.

To understand what might change, it helps to know how current T-Mobile deals work. If you add a new line and purchase an iPhone, T-Mobile typically offers around $34.59 per month in bill credits for 24 months, bringing the total discount to approximately $830—enough to essentially make a new iPhone free. Similar promotions apply to other phones, particularly if you trade in an older device.

Here’s what matters for phone shoppers: T-Mobile hasn’t announced any immediate changes to these deals. Gopalan’s comments suggest the company is in exploration mode, weighing options about how subsidy programs might evolve to reflect current market conditions and stay ahead of fierce competition from AT&T and Verizon. The carrier’s current 24-month financing option for phones—shorter than the 36-month terms its competitors offer—gives T-Mobile a competitive edge it’s not likely to abandon without careful consideration.

For now, the takeaway is straightforward: keep taking advantage of T-Mobile’s current phone deals while they exist in their present form. The company’s leadership is clearly thinking about the future of subsidies, but any major changes likely won’t happen overnight. When they do come, they’ll probably be designed to benefit T-Mobile’s bottom line while maintaining enough appeal to keep customers interested.

Source: Phone Arena