Rick Osterloh, Motorola’s Senior VP, Product Management, explained the company’s reasoning behind the price change, arguing that prepaid service plans have gotten better than ever.
“Today several wireless carriers offer good month-to-month or prepaid service plans that cost much less than the contract plans that come with subsidized devices. Combine one of those plans with our new $399 everyday pricing and you could save hundreds of dollars over two years while keeping the freedom to change service providers when you feel like it,” he wrote in a blog post.
The Moto X sports a 4.7-inch 720p touchscreen, a 1.7GHz dual-core Qualcomm Snapdragon S4 Pro processor, a quad-core Adreno 320 GPU, 2GB of RAM, 16 or 32 GB of storage, and a 10.5-megapixel camera.
The device is available at AT&T, Sprint and Verizon for $99 with a two-year agreement as well.