The data-only future has been predicted for many years, with the rise of Skype and other similar VOIP applications. But in most cases, carriers tried to hold these apps from gaining popularity, because they were still making a lot of money from Voice and SMS, services that are priced at something like 1000x the cost of sending data through the network. Carriers can maintain such prices because there isn’t any real competition from disruptive players, all carriers being perfectly content with overcharging their customers at blistering rates.
But now we’re seeing more people move to data-based applications and away from SMS and Voice, and the carriers are [...]
Yesterday, we reported that the nation’s largest carrier has decided to “discontinue” its grandfathered unlimited data plans and ask customers to move to tiered data plans. The move, which would align Verizon with its largest competitor, AT&T, is supposed to happen this summer. At least that’s what much of the blogosphere made out of the statements that Verizon’s Fran Shammo made during an earnings call.
As it turns out, the reports of the death of Verizon’s unlimited plans have been exaggerated. In a press statement, Verizon said that it would only force customers to move to a tiered plan if they want a subsidized device. In other words, the “grandfathered” plan [...]
In a recent earnings call, Verizon has announced that subscribers who have grandfathered into a $30 unlimited 3G data plan will be forced to move to the new Verizon data-share plan expected to arrive in mid-summer. This happens as an increasing number of Verizon subscribers migrate to 4G LTE devices.
The announcement was made by Verizon Communcations CFO Fran Shammo, who stated: “LTE is our anchor point for data share, so as you come through an upgrade cycle and you upgrade in the future, you will have to go onto the data share plan, moving away from the unlimited world. A lot of our 3G base is on unlimited. When they migrate off 3G they will have to go to data share. [...]