I am curious, in US, most carriers don't offer any discount for bringing your own device. So, how does spending $349 on Nexus vs buying a subsidized iPhone for $200 going to save anyone money or makes Nexus a better deal?
T-Mobile in the US used to discount their post-paid plans when you brought your own phone. They stopped doing that but started offering some pretty great prepaid plans:
I'm on the $30/mo "walmart" prepaid plan, but I'm considering switching back to post paid because you can't use any data roaming at all on T-Mobile prepaid.
If you want to upgrade before the end of your term you typically pay back a prorated amount of your subsidy. So your free $600 iPhone costs $400 after one year, or $200 after two years. For a user who upgrades every 18-24 months, this device is almost cheaper than that fee by itself.
At least here in Canada, we also have a few niche players (WIND, Mobilicity) who differentiate themselves with slightly lower costs than the big three, but no subsidy on phones. In this case, I can buy a $300 Nexus 4 and switch, saving about ~$35 a month on my bill. My prorated subsidy from Telus is $14 a month, so I still save $21 a month over buying a subsidized phone. Even the iPhone, which is very heavily subsidized, doesn't cover the price differential between these carriers and the big three.
In conclusion: find a small, regional carrier that doesn't offer subsidies, save big money.
http://prepaid-phones.t-mobile.com/monthly-4g-plans
I am on the $30/mo unlimited text, 5GB of HSPA+ data and 100 voice minutes plan and it's great. I reduced my monthly bill by 60%.