Yep. But what I don't understand is why Verizon did away with the option of one-year contracts. Now there are only two choices: two-year contract with subsidy, or no contract and full retail.
I can see myself upgrading my phone once a year, but I don't think I'd ever do it more often than that. So a one-year contract would be perfect for me. Actually, since I'm about to jump aboard the Nexus train, I could see myself upgrading to each new Nexus.
It reminds me of the way hot dogs and hot dog buns are sold. Hot dogs typically come in packs of ten, while buns come in packs of eight. So you always run out of one before the other. Same thing here: for anyone who wants to stay reasonably current, the shelf life of a smartphone is maybe a year, but the contracts lock you in to two years. Which means that we'll spend half our lives hating our phones and wishing we could upgrade!