Sprint: Unlimited Data Here to Stay
September 27, 2011 9:43 AM
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Sprint Chief Technology Officer Stephen Bye expressed the company's commitment to unlimited data at the GigaOm's Mobilize conference in San Francisco yesterday
Sprint announced that it intends to keep its unlimited data plans around awhile in order to have a competitive edge against AT&T, Verizon and T-Mobile -- which have
eliminated their unlimited data
At the GigaOm's Mobilize conference in San Francisco yesterday, Sprint Chief Technology Officer Stephen Bye expressed the company's commitment to unlimited data, calling it a "differentiator" from other U.S. carriers, according to
But it's not enough to just be different. There is a high cost for supporting these subscribers and there's market pressure associated with maintaining unlimited services. Bye said he understood these costs, but defended unlimited plans by acknowledging that not every unlimited subscriber uses as much data as the next. He added that unlimited data plans are easier to maintain because there's no tiered data support or hidden costs for customer care.
However, launching a 4G network may be an issue with Sprint's current plan, considering the expense involved in maintaining such a network. According to
, Sprint will first have to eliminate its IDEN network and instead use that network's budget for data usage.
In addition, Sprint's upcoming
acquirement of the iPhone 5
will put its unlimited data to the test, considering it will strain the carrier's capacity to hold on to these plans.
"Is there pressure? Yeah," said Bye. "There's a challenge for all engineers to work on how we get the cost structure down."
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RE: Revenue vs Expentiure
9/27/2011 5:29:18 PM
Part of making that network perform is efficiency. Efficiency lowers cost. Lower cost allows you bring more capability. More capability means you can handle a larger load of traffic,which enables more users. More users equal more money.
Inefficient networks create problems, have high overhead, make it more difficult to manage circuits(long haul, not the ones in your PC)and generally require more maintenance and can often disallow concurrent upgrades while maintaining service,hence it raises the cost and pisses customers off when they cant google blue waffle.
“So far we have not seen a single Android device that does not infringe on our patents." -- Microsoft General Counsel Brad Smith
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