Wireless carrier AT&T appears to be completely retiring two-year contract subsidized phone plans. According to leaked employee documents, effective January 8, 2016 the only purchase plans that will remain are full-price purchases, or installment plans through the AT&T Next program. This casts a pallor over existing unlimited data-plan holdouts, as any transition to AT&T Next invalidates the older contract with the unlimited data, leaving only full-price purchases of devices as an option.
The elimination of two-year contracts not only applies to smartphones, but also flip phones, and so-called “quick messaging devices.” AT&T claims in the leaked employee training documents that the move is being made to align “service offerings with customer and industry trends.”
The document, originally sourced by Engadget, reinforces moves that the company started earlier in the year, eliminating two-year contracts at retailers. Unclear is the fate of two-year contracts for tablets, which have been promoted heavily over the holiday season