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Why are some iPhones sim-locked?

QuestionsCategory: QuestionsWhy are some iPhones sim-locked?
John Allen asked 4 years ago
1 Answers
iphoneunlock answered 4 years ago

The reason many network providers SIM lock their phones is that they offer phones at a discount to customers in exchange for a contract to pay for the use of the network for a specified time period, usually between one and three years.
This business model allows the company to recoup the cost of the phone over the life of the contract. Such discounts are worth up to several hundred pounds, Vodafone for example give you a 4S free of charge if you sign up to a 2 year contract! If the phones were not locked, users might sign a contract with one company, get the discounted phone, then stop paying the monthly bill (thus breaking the contract) and start using the phone on another network or even sell the phone for a profit. SIM locking makes it more difficult to do this.