Kenny wants to get an iPhone 7. Leo says that the Verizon version isn't locked thanks to a deal with the FCC. So he can put a SIM card in it and use it with any other carrier. He'll have to activate it first, though. The problem is that Apple isn't selling unlocked phones until a few months later, so if he buys an iPhone, he has to choose a carrier. The T-Mobile phone does not have to be activated with T-Mobile and Leo's AT&T iPhone worked with a T-Mobile SIM. So if he looks beyond the marketing, he can see the reality.