The Nexus 4 was announced to much fanfare last week, especially when the prices hit. $299 for 8GB? That’s less than half what a high end smartphone will cost you off contract nowadays. Buying from the Play Store at these prices is a no-brainer for many of us.
After the dust settled, we started to get more information about the pricing and availability of the Nexus 4 outside of the Play Store. Here in the states, your only option to pick up the device with a carrier attachment is on T-Mobile. As we’ve learned since the announcement, T-Mobile will be charging $199 (after $50 mail-in rebate) on a Classic Plan with a 2-year commitment for the 16GB Nexus 4.
Now some quick math will make you realize that this may not be the best deal in the world. At $199, you’re signing a 2-year contract to save $150 off of what Google is charging directly. As we’ve highlighted several times before on the site, there are a multitude of reasons to consider buying a device full price and choosing a cheaper plan without a subsidy. T-Mobile itself even offers Value Plans, which are in every way identical to Classic Plans but are cheaper every month because they offer no device subsidy -- not to mention the multitude of Prepaid options it offers.
So why do I think it’s a good idea that T-Mobile is offering the Nexus 4 on contract for an inflated price? There are actually a few good reasons.