Apple, Samsung Impact? 2-For-1 iPhone, Galaxy 7 Deals Roil Market

By | March 30, 2016

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T-Mobile US on Wednesday unveiled a 2-for-1 deal for Apple ’s ( AAPL ) new iPhone SE amid reports that buy one, get one free (BOGO) deals boosted sales of Samsung’s Galaxy S7 smartphones in the first three months of 2016. The 2-for-1 deals vary. T-Mobile ( TMUS ) rolled out a buy one, get one “half off” promotion for Apple’s iPhone SE, which hits store shelves on Thursday. T-Mobile recently ended a similar 2-for-1, half-off the second device, promotion for older iPhones, including the 6 series. AT&T ( T ) in early February rolled out an iPhone buy one, get one free deal for both new and existing customers. AT&T required that the second phone be a newly activated line. An AT&T spokeswoman said the 2-for-1 offer has not been extended to the new 4-inch-screen iPhone SE, which starts at $399. Both AT&T and T-Mobile offer financing plans with monthly installment payments. T-Mobile customers would pay about $600 for two iPhones SE devices under the new promotion. All four U.S. national carriers — including Verizon Communications ( VZ ) and Sprint ( S ) — have offered BOGO deals for Samsung’s new flagship device, the Galaxy 7 series. Some analysts have bumped up estimates for Galaxy 7 sales, owing to the 2-for-1 deals in the U.S., says a Reuters report . Samsung reports earnings in late April. According to a Nomura report, Samsung has pushed U.S. wireless firms to offer the 2-for-1 deals, in order to boost demand. Analysts, however, say phone upgrades by U.S. wireless subscribers in the first quarter were again lower than normal, continuing a trend from Q4. Apple’s release of the iPhone 7, likely in September, could spur more upgrades, analysts say. T-Mobile stock was up a fraction in afternoon trading in the stock market today . Image provided by Shutterstock . Scalper1 News

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