Maybe Techfizzle has a good reason for trying to avoid a contract, but I've never understood it about half the time when folks try to avoid them. My dad has been with the same cell phone company for a decade but pays 10 times the price for his phones to avoid a contract... it makes no sense. Even with the $200 ETF most carriers charge, he could have paid the ETF 3 or 4 times for what he's spent in cash on equipment trying to avoid a contract.