[Captivate General] Picsman:
Well, from a technical viewpoint, anything can be done eventually. So, any technical solution-implemented by a carrier, a phone manufacturer or a user, is a short-lived solution. The implementation and on-going cost of a "short-term solution" is an offset to the benefit of the solution so such solutions are seldom implemented.

From a legal viewpoint, both carriers and users are bound by a written contract each must accept. Nether signatory can change the terms of the contract unless both agree. If they can't agree either the change cannot be implemented or, on some well-established grounds, the contract will become null and void (except for "surviving conditions").

From a sales viewpoint (which is akin to various legal issues) you can't sell what the buyer does not want. Few buyers will knowingly accept risks to privacy, security or usage which is excessively limited. Note that limitations--particularly insidious-sounding limitations--stated by one carrier become sales advantages for other carriers.

The real issue is carriers need to see a return on their investments, investment in network and investment in promotional activities (such as giving you a "free" or cost-subsidized phone). So, the fundamental issue for carriers is: How do we guarantee ourselves the forecasted return on the investment we've made will actually be realized.

Rooting your phone or swapping ROMs does not directly impact a carrier's return on investment or "ROI". (Yes, a modified phone potentially increases a carrier's support costs but that can be dealt with with minimum difficulty... think "broken seal" or something akin to *ugh* DRM.) What does impact a carrier's ROI is when you tether a phone but only pay $15 for limited data. What does impact ROI is when you swap a SIM and use another carrier's network. It is not what's on the phone which changes ROI; it is how the phone is used that affects ROI.

Which is to say, yeah, the carriers could implement Draconian measures to prevent us from "customizing" our phones. But, I don't think it is to their benefit to do so. However they sure as heck are not going to let folks move 50gigs of data for the cost of a 2gig connection. And, when your phone--which they gave you for free--runs on someone else's network that changes the carriers ROI.

Note that for a while now the carriers have been playing a game called "lockout." In that game, you know you are giving away money in the short term to get subscribers in the long term and, as importantly, to keep first-time subscribers away from the competition. Now that the market has matured, the competition has narrowed and technologies make AT&T=Verizon=Sprint and everyone has a cell phone we're going to see increased focus on profitability.

Ultimately, the changes carriers will implement will be in controlling usage and tailoring charges to ensure their forecast ROI is met. And, they will lengthen contracts and decrease hardware subsidies. But, curtailing "customization" of your hardware or "spying" to see on what's on your phone will not increase ROI; those actions will increase their costs and potentially damage their reputation, though.

FWIW: It could be argued "hobbyists" might use their phones--and actually promote sales with their enthusiasm--more than users which simply use what they take out-of-the-box. They are also the folks that have a laptop they can tether to their phone to and amaze their elders with their technical prowess.

(Sorry this is so long... but, for a moment here I thought was back in my Marketing Strategies in Maturing Markets - Cash Cows Shooting Stars classroom.)