In America if you want a new phone at a decent price we all know that you have to agree to a 2-year contract or pay out the nose for even the most basic phone. In Europe, mobile phone users have traditionally been able to get shorter contract lengths of around 18 months, but that is changing.

O2 and Orange are both upping the length of their contracts from the standard 18-months to 24-months and SIM only plans will require a contract of 18-months now. Orange has gone one-step further and announced plans for a 36-month contract.

My fear is that 36-month contracts in Europe will become more acceptable and then providers in the U.S. will follow suit and before you know it, the already restrictive 24 month terms we “enjoy” will be three years. The European providers say that the longer contract terms are to help prevent customer churn.

[via Strategy Analytics]