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T1 Lines
Sorry Hance, but I have to call BS
Whatwhatwhat? OK, the shift from GSM to 3G (and equivalent shift out of IS-95 for Verizon and Sprint) certainly has an element of spectrum efficiency, but handset subsidy and lock in have featured in US carriers' plans for many years before the 3G networks became a reality.
By the way, what spectrum savings could be realized by T-Mobile US, who is not even operating a 3G network yet? And yet they do subsidize handsets.
Handset "subsidies" (which they aren't - try getting a discount on service if you bring your own handset to the table) are a lock-in feature, pure and simple. For an illustration, see Verizon's customers' adventures with Bluetooth.
If I were cynical I'd think I'm witnessing PR dollars flowing across Lake Washington...
Sure, there are neat policy questions. Telecom nearly always wins those, and not on philosophical grounds, but on lobbying grounds. Next? Wake me when you start disputing the silly taxes on phone usage.