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Currently in the US cellular phones use either analog service or digital service. Most new cellular phones use digital technology. Currently three digital wireless technologies are used in the USA: TDMA (Time Division Multiple Access), CDMA (Code Division Multiple Access), and GSM (Global System for Mobile Communications). Unfortunately, many times digital cellular phones may work with only one technology: TDMA, CDMA, or GSM.

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Discount cellular phone services are mutually beneficial to customers and cellular phone companies. The customers enjoy free handsets and low call rates whereas cell phone companies make profit by providing outdated cell phones. Most of these services provide phones from major cell phone companies such as Audiovox, Kyocera, LG, Motorola, Nokia, Samsung and Sony Ericsson. Generally, services available through these plans are of good quality, but the handsets may not contain the latest features such as Bluetooth technology and video-on-demand.