For the "discounted phone" situation, we have a carrier here that, instead of giving you a phone for cheap and locking you in (which is illegal here now) or having to incur operational fees chasing you if you don't pay your "balance" when you cut your contract early, they have you pay for the phone as if a BYOD, but gives you a discount on monthly bill, often up to 75%. That way, if you just dump them, they didn't lose money on your phone since they had you pay for it; you do have to pay a lot out-of-pocket up-front however so people on a tight budget might not be able to get high-end phone (in a sense, maybe they shouldn't either ...).