It would make more sense, under the current subsidy system in conjunction with the commission structures and priorities of the company, that Verizon should make all PDA / Smartphone / Advanced Devices retail at two-year contract pricing around $0 to $50, while all normal phones should be $50 or higher.

I would prefer if high end phones were all $0, while all normal non-smartphones were $100.

If you look at how phones are subsidized right now, normal phones are usually on the old subsidy system. Two year pricing is full retail minus $120. One year pricing is full retail minus $50. The difference between 2 and 1 year pricing is $70. This is why an LG VX8360 is $89.99 (before rebate), and the Casio Exilim is $329.99 (before rebate).
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