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Does this thing make phone calls that much better than the previous version (or than any other version) that it is worth people spending that much money on it?

Making phone calls just barely the most popular single activity on a smart phone:

Not just for talking, smartphones are hubs

Of an average 114 minutes per day using a smart phone:

23 minutes talking
20 minutes texting
18 minutes emailing
16 minutes surfing the web
11 minutes on social networks

If you were keeping score, that adds up to 88 minutes, leaving 36 minutes for things like:

Navigating
Taking photos or videos
Playing games
Checking the weather

Add all the activities requiring a data connection, and phone calls fall into a distant second place. And faster data connection usually mean a better experience. Both the 5C and 5S support more LTE bands, which means they can use LTE in more locations.

The 5S has a better camera, and better flash. The new CPU and graphics processor are each about twice as fast in the 5S, compared to the previous version.

If you are just using a smart phone for making phone calls, you are wasting your money.

Of an average 114 minutes per day using a smart phone:

Almost 2 hours a day on the phone?! What an incredible waste of time.

If you are just using a smart phone for making phone calls, you are wasting your money.

Which brings me back to my original question. How is this phone any better at making pohone calls that it is worth upgrading?

I still use my Motorola Razor flip phone (Which I bought ONLY because my old old nokia finally died). There is far too much life to be lived to have my face buried in a phone all day.

Besides that the cost is unacceptable. They have taken a service that should cost around $20 per month tops and have people paying near (or over) $100 per month! Truly insane

I've found no compelling reason whatsoever to have any more functionality than being able to call someone and have them answer. (and even that is only for emergency type situations. Spending a bunch of time casually chatting on the phone is useless.)

(Yes, I know, I'm old school. I drive my daughter crazy. I don't even text. I figure if it's important enough they'll call me. And if they won't call me obviosuly it's not important)