Print 96 comment(s) - last by RealTheXev.. on Jul 10 at 9:29 PM

Verizon drops the metered data plan hammer next week. Existing customers will be spared for at least one upgrade cycle, but new customers will bear the full brunt of the nation's most expensive data plan.  (Source: Flickr)

LTE tethering is no longer free for anyone. For new subscribers it's not unlimited, either.  (Source: Tested)
Big Red kills free LTE tethering, charges new customers lots of money for their data

Verizon Wireless (VZ) has been cagey with regard to details of what its new metered smart phone data plan would entail.  Now customers may find out why.

New smart phone subscribers will no longer have the option to get unlimited data, starting July 7.  In its place they will have an array of plans that while gentle on overages and flexible, are generally expensive for base use.

The cheapest plan will be $30 USD/month for 2 GB -- $5 USD/month more than AT&T Inc.'s (T) price on an identical data allowance.  Verizon does not offer a 200 MB plan like AT&T ($15 USD/month).  Instead, it offers two pricier, higher cap plans -- $50 USD/month for 5 GB or $80 USD/month for 10 GB.  Overages at least, are relatively reasonable compared to past rates on Verizon's metered air cards, dropping in at $10 USD per extra GB.

The good news for existing customers is that they will be able to keep their unlimited data plans for at least one more upgrade cycle.

Verizon also revealed details on its plan to crack down on LTE hotspot usage.  Here existing customers aren't entirely spared -- for them the previously free unlimited data service will now cost $30 USD/month.  New customers have it even worse, though -- they won't have an unlimited option.  They will only get a $20 USD/month 2 GB option.

The pricing was revealed by Verizon spokeswoman Brenda Raney in an interview with FierceWireless.

The new data costs will take effect July 7.  During the interview Verizon also revealed that shared data plans ("family plans") will indeed be incoming -- similar to T-Mobile and AT&T's.  Verizon has not yet put a timetable on the deployment of those plans.

The details revealed indicate that Verizon -- currently the largest network in the U.S. in terms of mobile subscribers -- will also be the most expensive network in terms of data plans.

Deutsche Telekom AG's (ETR:DTE) T-Mobile USA is currently the cheapest of the metered plans, offering rates of $15 USD/month for 200 MB, $20 USD/month for 2 GB, $30 USD/month for 5 GB, or $60 USD/month for 10 GB.  T-Mobile followed AT&T's lead and killed unlimited data plans in May.

Currently the only carrier with no official plans to switch to metered connections is Sprint Nextel Corp. (S).  CEO Dan Hesse argues that customers value the simplicity and value of its unlimited plans.  However, he warns that Sprint may someday consider metered plans if the market demands it.

Sprint has also suggested that if the pending AT&T/T-Mobile merger gets approved, that it may be pushed out of business.  If Sprint indeed folded or was acquired by another carrier (such as Verizon), the U.S. would be left with only two mega-carriers -- AT&T and Verizon.  Those carriers, notably, also have the highest planned data costs for new subscribers.

Comments     Threshold

This article is over a month old, voting and posting comments is disabled

RE: Bait and switch
By Samus on 7/7/2011 2:45:54 AM , Rating: 1
We've seen an $860 billion "stimulus" bill do JACK SH!T for jobs and the economy - if anything it's worked backwards

And Bush gave the same amount to wall street after he (de)regulated the banking system into finding violent loopholes and nearly crashed our economy. That money has never proven to have helped anything.

Just about any economist will tell you TARP funds that Obama passed have trickled down to more sectors and helped more people than the wall street 'bailout' has.

Sure. If you look at the numbers, Obama has added the same amount to the national debt in 2 years that bush added in 8 years.

However, Bush spent SIX TIMES more money than Obama has thus far. He was able to add so little to the debt because the economic state he was handed from the Clinton Administration was excellent. To date, that administration is the only administration to have a budget surplus in decades.

Bush spent 1.8 trillion on the Iraq war in 6 years alone. That is more than Obama has been allowed to spend on his programs so far.

Bush killed thousands of people and put hundreds of thousands in harms way. He has damaged the lives and displaced millions of families world-wide. He single-handedly created a 21st century vietnam. The Iraq war is undoubtedly one of the largest military disasters in world history.

You guys just hate your lives so much because a black man is running the show better than a shrivled up retarded white man. We all got played by Karl Rove, and if you don't realize that, you should just jump off a bridge and cleanse the gene pool.

Bush is so ashamed of what he did, he couldn't even appear at the WTC memorial site after Osama Bin Laden was terminated. He has rightfully stayed out of public.

"The whole principle [of censorship] is wrong. It's like demanding that grown men live on skim milk because the baby can't have steak." -- Robert Heinlein

Copyright 2016 DailyTech LLC. - RSS Feed | Advertise | About Us | Ethics | FAQ | Terms, Conditions & Privacy Information | Kristopher Kubicki