Is it about service?

So the question remains: If Sprint is right, and carriers lock their phones for the consumer's benefit, why aren't they just coming out and telling their customers (and the government) this?

A representative from Cingular did tell PC Magazine that he thought U.S. customers welcomed the ability to buy phones at discounted prices, but the company said nothing about whether it thought customers believed this was a fair tradeoff given the fact that they're then locked into a two-year contract. Would customers be willing to pay more for a phone if they received a more flexible plan—maybe month-to-month? The company did not have a comment, he said.

Every three years there is intense lobbying done both for and against a list of DMCA exemptions, new and old. During the latest round, both Cingular and TracFone, a Miami-based prepaid phone carrier, fought vehemently against the DMCA unlocking exemption with no mention of protecting their consumer base.

According to Kay and others, that's because it's not really about customer service at all. Locking is just another way to ensure the continued existence of a successful and lucrative business model here in the U.S., Kay said.

Related StoryMake sure you check out PC Magazine's recommendations for the best unlocked phones!

The government seems to agree, too. Up until November 27, the cellular industry and others could argue a violation of the DMCA in order to shut down what they themselves deemed as unfair business practices by competitors. That avenue is shut down for the next three years. But that doesn't mean companies won't fight back in other ways.

In the end, Kay says the significance of the DMCA exemption is really less about the actual phones and more about the perceived effect of customers taking them somewhere else. "If someone gets really angry because they feel jerked around or were charged some ridiculous penalty fee, they're going to be more inclined to leave now and take their phone with them," said Kay.

Of course, that process won't be without its own hassles and contractual penalty fees, but the DMCA unlocking exemption does provide for a slightly easier path out of the contractual labyrinth, according to Kay.

"I do think this will eventually have an impact on prices and competition between the carriers," said Kay. "If there's a certain motivation to switch, and if you reduce the friction to switch, well, people are going to start doing it."

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