Why does Verizon want me to pay *more* to renew my 2-year FIOS contract than to let it expire?

[willdude]

Currently I'm paying $104.99/month for Extreme HD and 50/50 internet.  When my contract expires in August, that will supposedly go up to $119.99/month:

When I go to the upgrade/renewal page, I'm offered a start a new 2-year contract for the very same services for $124.99/month:

So why on earth would I do this?  Why would I sign a contract to pay $5 more per month for 2 years on the chance that maybe the off-contract price will go up at some point?

It's also worth noting that if I try to sign up for service as a new customer, I'm offered the Extreme HD and 50/50 Double Play for my current $104.99/month for a 2 year contract.  I know from experience that trying to get new-customer offers as an existing customer is a losing battle (despite the fact that I already have the lines and equipment and would require zero labor from Verizon), but it still seems like a crummy way to treat existing customers.

[tns2]

Not unusual IF they had raised prices during you current 2 years.  The current price also might include a discount that will no longer be available

And note at the end of your current contract prices will probably go up more unless you accept a new 2 year contract.

Remember you are talking to peers and not Verizon.

[willdude]

Well, the new-customer 2-year price of $104.99 hasn't changed since I began this contract 2 years ago.  And look at the screenshots -- I'm currently paying $104.99/month, with $15 in discounts which expire at the end of my contract, which means when my contract ends it'll go up to $119.99/month.  So to entice me into signing a new contract, they're offering to lock in a price of $124.99/month for 2 years, $5 MORE than I'd pay if I just let the contract end.  How does this make sense?

[tns2]

When the contract expires the current price DOES not normally continue.  I would expect it to go up more per month than the new two year contract they are offering.