Telus recently changed their upgrade policy for clients that started after November 21, 2010. Before, it would cost anywhere between $5 and $15, multiplied by the number of months left on your contract, to upgrade to a new device, depending on the kind that you had (in my case, $10 x 22 = $220 to upgrade). Now, for clients that signed up after November 21, 2010, they take the discount that you got on the phone and add it to your monthly bill for however many months left on the contract (e.g. $500 phone, $100 contract price, $400 discount/22=$18.18 added to my contract) until the balance is zero. I signed up in March 2010, but I think that older clients should be the ones entitled to the new policy instead of newer clients. Therefore, my question is why would they offer this to new clients and not old clients? And would it be worth it to upgrade or just drop it until the price is at least reasonable?

You're right, these kinds of offers should be offered to long time customers. But Telus already has your money, so they don't need any catchy deals to hook you since you're already stuck and paying them. Are you okay with paying $220 to upgrade? Is that what the new phone is worth? You can try to go into a Telus store and talk to one of the customer service reps. They might know of some deals or discounts to make it cheaper for you.