To understand what it means to 'factory unlock iPhone' you need to first understand what a locked phone is to begin with. Generally when you buy a phone they are locked under a particular carrier who go through additional trouble to ensure that the phone you have cannot access other networks. They might also lock phones in order to add some carrier specific functions, ringtones or logos onto your phone.
Part 1: What is 'Factory Unlock iPhone'
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It can be quite crucial to factory unlock iPhone as it helps you achieve greater network flexibility and accessibility. This is why unlocked phones are gaining wider popularity because people find it more convenient as you can save up on international roaming charges, or access any network you like.
Which is why it has become popular to break the carrier lock of a phone, and turn it into a 'SIM-free' or 'contract-free' phone because these can then be used with any cell phone providers.
Benefits of a Factory unlocked iPhone 6 or 7(Plus)/6s(Plus)/6(Plus)/5s/5c/41. Changing Cell Phone Providers:
This helps you get out of a contract with a particular cell phone provider according to which you can't access other networks for a period of time. By breaking this lock you can achieve greater flexibility. For example, a user with an iPhone 5s factory unlocked will be able to simply change the SIM and easily switch providers if they aren't happy with the service. They're not stuck with it.
2. International Travel made Convenient:
It is highly recommended for frequent travelers to factory unlock iPhone as most service providers charge a heavy international roaming cost if you're using their network internationally. Which is why many people prefer to get a local SIM when they're abroad. However, this can only be possible if your iPhone is factory unlocked.
3. High in Demand
Factory Unlocked phones have an extremely high resale value and are high in demand because there are no restrictions imposed by the carrier, no contracts, etc, and the buyer can immediately start using the phone hassle-free.
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