

Verizon to end unlimited data option - jerhinesmith
http://money.cnn.com/2011/06/21/technology/verizon_data_plan_changes/

======
bgentry
_With costs of maintaining their networks flying through the roof, the
nation's largest wireless carriers are attempting to limit the mobile Internet
usage of their most download-happy customers. Mobile Internet usage is growing
rapidly, and carriers are spending $50 billion a year to build new 4G networks
that can keep up with customers' demands._

That quote is disingenuous. The costs of maintaining their networks are not
flying through the roof. The amount of people paying them a substantial
monthly fee to use their data networks is what is flying through the roof.

The amount of extra money being spent on network upgrades is not keeping pace
with the rise in revenue from smartphone data plans.

Yes, there is plenty of competition in the US wireless market. Which is why
the remaining carriers are becoming more and more the same. This situation
will only get worse when the FCC / DoJ inevitably approves the ATT/T-Mobile
buyout.

------
Bud
Nice of CNN to dutifully report that "the problem with carriers' price tiers
is customers' download demands are quickly encroaching on wireless providers'
limits as mobile video usage explodes."

What nonsense.

I also love the alarmist linked graphic at:

[http://money.cnn.com/2011/02/08/technology/smartphone_data_u...](http://money.cnn.com/2011/02/08/technology/smartphone_data_usage/index.htm?iid=EL)

...which, if you believe their arbitrarily-guessed-at trendline, delivers the
shocking news that by 2015, users might, on average...uh, still be downloading
less than 2gig a month.

Label me entirely unconcerned with the carriers' ability to deal with this
data "explosion". They just want to charge more. That's the only story here.

~~~
jamesbkel
That is a truly ridiculous chart. Another sign that it's complete BS is they
describe the growth as "exponential" yet the trendline appears linear and the
axis is not logarithmic.

I think the author is conflating "exponential" with "really fast".

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runningdogx
The article is wrong about t-mobile. Quoting directly from their site
(shop->plans->mobile broadband) (and note how all of them are described as
"overage free")

"No overages! (After 10 GB, data speeds are slowed until the next billing
cycle)"

e.g. [http://www.t-mobile.com/shop/plans/cell-phone-plans-
detail.a...](http://www.t-mobile.com/shop/plans/cell-phone-plans-
detail.aspx?tp=tb1&rateplan=Even-More-webConnect-10GB-Overage-Free-Plan)

So there is not unlimited access at the highest network speeds, but the plan
is nevertheless unlimited data -- as in you don't have to watch your
consumption to avoid getting dinged with $$$/GB charges.

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peripitea
I just found out about Virgin Mobile USA this month and can't believe that
it's so relatively unknown, given how much better of a deal it is compared to
the major carriers for most people.

$25/month, unlimited data/text, no contract. Downsides are that you only get
300 voice minutes (can upgrade to 1200 for $40/mo), that it only uses the
Sprint network (no roaming), and that they have a limited phone selection
(although the LG Optimus V that I got seems pretty awesome so far). For me,
and I would guess many others, the downsides pale in comparison to the
benefits.

I've been recommending it to all my friends, and a few of them have started
making the switch. Although one girl was opposed because she thought no-
contract phones were for poor people.

~~~
MatthewPhillips
There's also My Simple Mobile which uses GSM (using T-Mobile's prepaid
network). The prices aren't as good as Virgin, but they're still better than
the big 4 and being GSM you can bring over any phone that works on T-Mobile
3G.

------
skizm
Streaming services to phones and tablets are becoming more popular. Wireless
companies are trying to make this switch before the average user starts
consuming large amounts of data so no one notices a difference at the time of
the switch. Fast forward a year or 2 when streaming netflix or sports to your
phone is commonplace and people will hit that 2gig mark without breaking a
sweat.

------
sandipagr
I love my virgin mobile 25$ for unlimited data/text and 300 minutes with no
contract.

~~~
memset
Same here! Though "unlimited" here is constrained by their no-tethering
policy. And their phones are not very well suited for eating lots of data. (I
know that I tend to be hesitant to use data on my phone because I know it's
just kinda sluggish, from the UI to the network. Kinda reminds me of early
keyboards which mechanically limited the keystroke rate in order to prevent
errors.)

<plug> And, if you are using one of their Android phones, you absolutely need
my app for keeping track of remaining minutes and due dates. :)

[https://market.android.com/details?id=com.jaygoel.virginminu...](https://market.android.com/details?id=com.jaygoel.virginminuteschecker)
</plug>

~~~
sandipagr
I personally haven't felt any sluggishness. But then I am always in the wifi
zone and dont really use phone for videos and stuff. Also, you can download
Quick Settings app to make your phone as wifi hotspot. Turns out VM has just
hide the option and not actually disable it. I will take a look at your app.
Thanks!

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jneal
I love tiered data plans, even though I never thought I would. Here's why.

I've been on T-Mobile for years, which has always just had a single data plan
- $30-$35 a month for unlimited data and text messages. I thought this was a
good deal, but once they started offering tiered data plans I immediately
switched. I now get unlimited txts / 2GB of data for only $20 - almost half
the original cost. My phone does Wifi - and almost everywhere I go has wifi -
so I constantly use my phone on wifi and rarely consume data using my plan.
The tiered plan saves me money.

~~~
ydant
That only works when the tiered plans are cheaper than the unlimited plans. In
Verizon's case, at least, they are not. If I wasn't being grandfathered in,
I'd be going from Unlimited to 2GB and paying exactly the same price.

I'd be perfectly fine with tiered if the prices were reasonable and, as you
suggest, cheaper if you use less data. That doesn't seem to be the case in
reality.

------
MatthewB
This was inevitable. The only reason I haven't paid to end my AT&T contract
early is because I am grandfathered in to the unlimited data plan.

------
chrisledet
Isn't this a breach of contract with their current customers?

~~~
thisisblurry
It only applies for new and rewnewing customers.

~~~
portmanteaufu
Further reports / speculation indicate that it may only be for new phone
lines, allowing existing customers to upgrade their phone and keep their
current plan.

[http://www.droid-life.com/2011/06/21/current-verizon-
custome...](http://www.droid-life.com/2011/06/21/current-verizon-customers-
wont-be-affected-by-tiered-data-only-new-customers-and-lines/)

