Why smartphones likely won’t cost more under Canada’s new wireless code

After the announcement yesterday of a new wireless code from the Canadian Radio-television and Telecommunication Commission, some have wondered if the new rule that allows customers to cancel phone contracts without penalty after two years will increase smartphone prices.

According to Lindsay Pinto, communications manager for advocacy group OpenMedia, prices will not go up, but having one less year to pay the subsidies wireless companies apply to cellphones could create a perception of increased prices.

“The time you have to pay off your cell phone [will be] a little bit shorter, which means that it’s going to look like you’re paying more,” said Pinto. “But it’s actually the same amount over a shorter period of time.”

Read the full story here.

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