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What Is an Unlocked Phone?

Everyone talks about unlocked phones but what are they?

When dealing with an unlocked or locked phone, the question is whether or not the device can work on a specific wireless network that’s different than the network the phone was designed to work on.

What is an Unlocked Phone?

An unlocked smartphone is a phone that can work with any cell phone carrier. Some phones are not unlocked and so they can only be used on one provider like Verizon, or with just AT&T, or T-Mobile, etc. An unlocked phone doesn’t have that limitation.

However, a phone’s compatibility with a network is only relevant for cell phone carriers, not wireless networks like Wi-Fi; any phone, as long as Wi-Fi is working, can connect to a Wi-Fi network regardless of whether or not the phone is unlocked or locked.

What It Means to Have an Unlocked Phone

Most cell phones and smartphones are tied, or locked, to a certain cellular carrier, such as Verizon, T-Mobile, AT&T, or Sprint. Even if you don’t actually buy the phone from the carrier, the phone is still tied to a carrier. For example, you could purchase an iPhone from Best Buy, but it still might require that you sign up for service from AT&T or your respective carrier.

For many people, purchasing a locked phone makes sense: The carrier offers a discount on the handset in exchange for you signing a service contract with them. In addition to the discount, you also get the voice and data service that you need to use the phone.

However, not everyone wants to be tied to a certain carrier’s network, for a variety of reasons. For example, if you frequently travel overseas, it may not make sense to be tied to a phone that won’t work internationally (or one that will cost you an arm and a leg to use in foreign countries).

Other people are unwilling to sign the lengthy service contracts (two years, typically) that many carriers require. That’s why purchasing an unlocked phone can be a desirable alternative; they can purchase the phone unlocked and then activate it with any company.

Or, maybe you don’t get very good service where you live and you want to switch to a network that has better coverage, but you don’t want to leave your phone behind. Unlocking the phone, in this case, would let you keep your device but get the better coverage you desire.

Moreover, nowadays, companies like OnePlus tend to sell only SIM-free unlocked devices. This way, they have control over software upgrades; they don’t need to get the update tested from a network provider every time they want to roll out an update.

Why Phones Are Locked

Phones do not inherently need to be locked to any carrier. All phones could, in theory, be released as unlocked so that you could activate them with any mobile carrier. However, for a carrier to maintain business, they might lock their phone to their network so that if you want the phone, you have to pay for a plan with them.

For example, if the iPhone were locked to the Verizon Wireless network and only worked with Verizon service, then you’d have to switch over to Verizon in order to use the iPhone. However, if you were to unlock the iPhone so that it could work with other carriers, you could unsubscribe to Verizon’s service and use your iPhone with AT&T, Sprint, etc.

How to Unlock Your Phone

There are often very specific rules that you have to follow before you can unlock a phone. For example, the phone can’t be reported stolen or missing, needs to have been paid for in full, and might need to have been active on the carrier’s network for so-many days.

Not every phone needs to be unlocked in order to take it with you to another carrier. However, if you do need to unlock your phone, you have to contact the carrier that the phone was last used with.

For instance, to unlock an AT&T phone, you need to fill out AT&T’s device unlock procedure so that they can remove the lock and let you use it with another carrier. However, Verizon is a company that doesn’t lock most of their phones, so no special code is needed in order to use a Verizon phone with another carrier.

T-Mobile has its own set of eligibility requirements and rules, too. Your carrier will be able to tell you exactly what to do if your phone is eligible for unlocking.

How to Find an Unlocked Phone

If you’re ready to buy a new phone and want one that’s already unlocked for use on the mobile carrier you already use, you can usually find one online.

For example, Amazon has an entire section for unlocked cell phones where you can filter the results by brand like Apple or Huawei, by operating system like iOS and Windows, and by other criteria like storage, screen size, features, price, color, etc.

You can also buy unlocked phones virtually anywhere you can buy locked smartphones, like Best Buy, Walmart, Gazelle, etc.

More Information on Unlocked Phones

A locked phone is locked even if you pay full price for the phone. It might make sense that a phone is carrier-locked only if and when you’re making payments, and then it will be unlocked when it’s fully yours (when you make the last payment), but that’s not the case.

While an unlocked cell phone can work on any mobile carrier’s network, unlocking a phone does not switch it between radio communication technologies like GSM or CDMA. For example, you can’t unlock a GSM phone and expect it to be CDMA compatible.

The term «locked phone» also refers to the simple act of password protecting your phone or putting it into lockscreen mode where you can no longer see the homescreen icons. In this case, to «unlock the phone» just means to enter the password or to reach the homescreen where you can launch apps.

If you have a SIM card from another carrier lying around, try putting it in the phone and see if it works. If you see a message asking for a SIM unlock code, your phone is locked. You can also try contacting your carrier and asking them whether or not your particular phone model is unlocked.

Yes, any SIM card should work in an unlocked phone, provided the phone’s wireless technology (usually GSM) is compatible with the network. If the SIM you’re trying to use is the wrong size, you can get an adapter or request a new SIM from the carrier.

Activating an unlocked phone should work the same way as activating a locked one. First, make sure the phone is powered off, then insert the SIM card. Next, turn the phone back on and follow the on-screen directions to activate it and set it up.

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Locked or Unlocked? Here’s Why to Buy an Unlocked Cell Phone

JON STONE | updated 11 Dec 2018 21:46

With each generation, smartphones get more expensive.

There was a time when carrier subsidies and contracts made it affordable to grab the latest flagship.

However, with the trend toward device financing and leasing, the contract deal isn’t always best.

If you’re looking to maximize your mobile savings, the locked vs. unlocked debate is more relevant than ever.

Unlocked phones offer more than just long-term savings.

Before you commit to a carrier contract, consider these 5 benefits to choosing an unlocked phone.

1. Spending More Now May Save You Money Later

Have you ran the numbers of what you’re paying for a carrier subsidized device?

Even with the newer financing programs many carriers are using, the carrier is still making a profit on the retail price of the phone.

Break down your monthly fees and check how much they will add up to at the end of your contract.

There’s a good chance you’re paying more than the unlocked price when your contract is complete—fees are just spaced out over two years so you don’t notice.

If you must finance a phone, many manufacturers now offer financing or leasing that beats out the carriers.

With Apple, they include AppleCare+ in the cost of iPhone Upgrade Plan. Other manufacturers that offer financing include Motorola, Google and HTC.

Better still, when you finance through the manufacturer, you can still get an unlocked phone.

Enjoy all the pros of a carrier subsidized device with fewer cons!

2. Unlocked Phones Let You Shop Around for the Best Service and Pricing

On top of the lease or financing fees, most contract phone plans are more expensive than off-contract or pre-paid options—even from the same carrier.

By purchasing an unlocked phone, you can choose a cheaper plan while still enjoying the same level of service.

Better still, if you find you don’t like the service provider and decide to switch companies, you won’t face expensive termination fees. Depending on your carrier, that could save you hundreds of dollars!

Curious how much you’re overpaying for phone service?

Our plan comparison tool breaks down the plans available from the best carriers around!

3. Travel Often? An Unlocked Phone Might Pay for Itself!

Even if you only travel abroad once a year, unlocked phones offer huge savings.

Carriers are infamous for piling on the roaming fees and insane data rates while you’re on travelling on holiday or business.

While they offer international packages to help, the rates are still far from budget-friendly.

With an unlocked phone, you’re free to pick up a pre-paid SIM when you reach your destination or buy a cheap travel SIM in advance.

Instead of paying double or triple what you’d normally pay when you return, just swap out the SIM and use your phone without worry.

If you travel often, the savings from swapping might even pay for the unlocked phone after a few trips.

If you choose an unlocked phone with dual SIM capabilities, you can even keep your main SIM active for emergency calls while routing everything else through your pre-paid SIM to enjoy convenience and savings.

4. Unlocked Phones Sell for More When Upgrading

As long as you take care of your phone, there’s a good chance that something shiny and tempting will come along long before your phone no longer works.

If you’re a fan of upgrading phones, unlocked phones hold their value much better than locked phones.

Even if you’re looking to trade the phone in with your carrier, you’re still likely to see an increase in the price offered over a network locked phone.

Not only do they hold value better, unlocked phones are easier to sell.

No need to worry about finding someone looking for a phone on your carrier.

No need to find someone willing to assume your contract.

Just find a buyer and they can take the phone to any carrier that the hardware supports!

5. Unlocked Phones Offer Less Bloatware, Better Performance and Faster Updates

One aspect many people don’t consider about unlocked phones is performance.

It’s the same phone as you’d get from the carrier just without a network lock right?

Unlocked phones often avoid the army of bloatware and useless carrier apps that come on network locked devices.

This means you’ll find more space to store the apps you’ll actually use and might even get faster performance.

While not an issue with iPhones, if you’re purchasing an Android phone direct from the manufacturer, you might also find that software updates arrive quicker.

For example, Google’s Nexus series devices don’t experience the delay of carrier flagships.

This is because the carrier doesn’t need to add all their useless apps to the new firmware before approval.

Google releases an update and you get it—no waiting and no fluff.

Your Turn

Do you typically buy unlocked phone or take advantage of carrier discounts? Did we miss a reason you’d consider an unlocked phone? We want to hear what you think! Leave us a comment in the box below.

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