What is a subsidy lock?
The subsidy lock is a physical function on a mobile phone that limits the SIM cards to work with. Although there are other names for this technology, the subsidy lock usually refers to the phone to limit the operation on a specific network. This is because such phones are usually sold at a low price, while the network is paid by the manufacturer. It limits SIM cards that will work on your phone. The SIM card connects the phone with a specific network and without it the phone cannot call or accept, except for calling services in some countries. These restrictions can cover the country where the SIM card comes from, the SIM card network or both. It is also possible to limit the phone to one SIM card.
Usually the phrase "subsidy lock" refers to network limitations. This is because many networks, especially those that sell phones themselves, pay manufacturers a subsidy, which means that the purchase price for consumers is lower than it would otherwise be, and even under the cost. In return for this subsidy withe will try to prevent the network from the consumer using another network. Although this may sometimes be achieved by a mandatory service agreement, a subsidy lock is required to prevent the Pay-As-You-go customer to get the phone cheap and then undertake its business elsewhere.
In most cases, the subsidy lock can be removed by entering the code. Some networks will provide this code in return for a fee. This fee is designed to cover the loss of income from the future phone. In some cases, there was an algorithm that converts a unique phone identity code known as the IMEI number, to unlock a code that escapes or steals. This allows independent companies to unlock codes with phone users at a lower price than network charges.
legal position in locks and unlocking the subsidy differs in different countries. Since 2010, the United States has been exempted from the Act on Copyright for Digital Millenniums since 2010. This means it is legal to unlock the phone and SPset it in any network. Some networks warn that it does any handset warranty. It is important to note that although the contract can be able to legally unlock the phone, it will usually be required to pay for the service from the original provider for the entire duration of the contract.