Amid iPhone Hype, Verizon Quietly Ending 'New Every Two' Program

Verizon Wireless
Verizon Wireless

Amid all the hype around the Verizon iPhone, you may have missed one important change: Verizon (VZ) is ending its popular "New Every Two" upgrade program.

The program offers Verizon subscribers a credit of as much as $100 toward a new phone every two years, SmartMoney reported. As of Jan. 16, the company will no longer offer the credit to new customers and won't re-enroll current customers after their next Every Two upgrade.

Verizon is also toughening up its early upgrade policy.

The changes mean that customers drawn to Verizon by the lure of the Apple (AAPL) iPhone 4 will be locked out of the easy upgrade policies, making each customer more profitable for Verizon.

"The longer you can get customers to go between upgrading their phones, the stronger the profitability for the carrier," said Michael Hodel, an equity analyst covering Verizon for Morningstar.