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Data Plan Price Wars?

by Tom Moccia | October 21, 2010October 21, 2010 4:00 pm PDT

With AT&T having already adopted tiered data plans for smart phone users, and Verizon not far behind it seems T-Mobile is going in a different direction.

Let’s recap the AT&T data plans: unlimited is gone unless you already have one, and then you can keep it for $30 a month. New users have the option to sign up for 2GB a month at $25 (overage fee $10 for additional 1GB) or 250MB for $15 a month (overage fee $15 for additional 200MB). So in essence you are getting less and paying a little less until you exceed your limit, then you get the screws handed to you.

pricemgT-Mobile on the other hand has announced through their TmoNews newsletter that they are implementing a third option at an unheard of rate. Along with their $30 unlimited data plan T-Mobile will offers users a 200MB per month plan for a mere $9.99 a month with the option to upgrade to the unlimited plan at any time. Although unconfirmed, it seems as if the new plan will be available for consumers in late November.

So, will this start a price war on data plans? With this coming from T-Mobile I would say no as few of their promotions have been copied by the big boys. When T-Mobile started running their “kids are free until 2011” promo I figured AT&T and Verizon would follow but they did not. There is hope though as both Orange Crush and Big Red did implement their own take on the T-Mobile “Fav 5” gimmick. Only time will tell.

Pricing structures on voice plans have not come down in recent years instead carriers tried to give customers extra added value with “mobile to mobile” and “friends and family” type offers. Data plans on the other hand are more finite and the cost is the cost. Personally, I am hoping for a good old price war on data plans as it will help the consumers and don’t feel bad for the carriers they will still make plenty of money.


Tom Moccia

Tom Moccia is a native of Stamford, Connecticut and moved his family west in 2000 and now calls Stockton, California home with his wife and two...

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