Interestingly, it seems that the US market is slowly moving toward the way you're saying. T-Mobile, for example, now offers cheaper service by default, and if you want a "subsidized" phone, they treat it as a loan that you pay back over time, and charge that amount separately. The other providers have introduced plans for people who want to upgrade every year rather than the standard every two years, which involves paying an extra monthly charge on top of the regular bill.
Interestingly, it seems that the US market is slowly moving toward the way you're saying. T-Mobile, for example, now offers cheaper service by default, and if you want a "subsidized" phone, they treat it as a loan that you pay back over time, and charge that amount separately. The other providers have introduced plans for people who want to upgrade every year rather than the standard every two years, which involves paying an extra monthly charge on top of the regular bill.