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T-Mobile CFO admits they are shifting away from promoting unlimited data

T-Mobile may still offer unlimited data, but it seemingly is less integral to its marketing plans than it was in the past.
By
March 22, 2016
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T-Mobile has long been considered one of the best sources if you’re looking for a carrier that offers unlimited data. While it’s true that Tmo still has such a plan in play, recently T-Mobile has been making subtle changes in its marketing that point more emphasis on its limited plans that offer perks like Binge On.

In an interview at the Deutsche Bank 24th Annual Media event given a few weeks back, T-Mobile CFO Braxton Carter admitted that they are making the move away from unlimited plans, and that this shift started with the price increase to their unlimited plan, introduced when Binge On was first announced.

“We’ve had and continue to have a strategy of pivoting away from unlimited” “Part of what we did with Binge On, again, was another substantial increase in the price of unlimited.”

Now that doesn’t necessarily mean they are axing the program, though it’s a possibility. Then again, we could just see continued price increases and marketing that slowly pushes away from mentioning unlimited data altogether, leaving it as an option only for those who know about it and willing to pay the premium.

While it’s a bit disappointing, it’s not that surprising. Data isn’t necessarily cheap, and asking folks to pay premiums for different buckets, and then cutting them off, or throttling the speeds unless they opt to pay for more, is ultimately much more profitable. The Uncarrier might be much more upfront about many of its strategies than its competition, and tends to have more aggressive pricing, but at the end of the day – they are a business. And businesses need to make money.

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What do you think of T-Mobile’s admission that unlimited data is no longer a central part of its philosophy? With Binge On and other promotions, is ‘limited’ data even a real issue for most users anyhow? Let us know your thoughts in the comments.