AT&T CEO Warns That Metered Pricing On the Way
Comments made by AT&T CEO Randall Stephenson during a recent investor conference indicate that metered data pricing is likely in the firm's future. Stephenson didn't say exactly how data pricing would be altered, nor when any change would take place, but he did say that the company will charge heavy users of its mobile data network more than those who use it infrequently. Stephenson also said that Apple's iPhone will be a key product for AT&T for "quite some time," which calls to question just how long the exclusive distribution agreement will last between Apple and AT&T. Stephenson reiterated that the company is taking measures to shore up its existing 3G network and believes HSPA will serve for several more years. "We're not in...
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Sigma1570 said:
I'd say move the 500mb to 1gb and you'd be better off. most iphone users I see use between 500mb-1gb in data. Data usage is only going to increase too.
The whole point is to offer a lower price point FOR LESSER USERS, not to make all the current 500 - 1000 MB users pay less. If it does not invoke some sort of rationing/awareness in the people using the phones and paying the bills there's no point in offering a $19.99 price point- just put a hard cap on the current $29.99 offering if that's the line of thinking.
It would also encourage developers to put more transport optimizations in their code to reduce the number of bits that need to be transported. Apple may start implementing RIM/O...
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I'm in agreement that unlimited data is a pretty bad concept when spectrum is a very finite resource. But AT&T and their peers will use this as a method to shore-up declining revenue from voice plans and SMS and treat this as a whole new profit line.
Think metered billing will save you money? Ha!
zentec said:
I'm in agreement that unlimited data is a pretty bad concept when spectrum is a very finite resource. But AT&T and their peers will use this as a method to shore-up declining revenue from voice plans and SMS and treat this as a whole new profit line.
Think metered billing will save you money? Ha!
I think the biggest side-effect from metered data use will be people actually going out of there way to connect to WiFi networks whenever available, and doing more download-for-later media consumption rather then continuous streaming ala Pandora and youtube.
It will also discourage people from cutting the cord entirely, leaving the market for DSL, cable and fiber optic deployments alive and ...
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Then again... it depends on the structure. I doubt they'd be benevalent enough to actually let people go for cheaper rates than $30 a month.
Verizon or AT&T would get a new customer if AT&T forced me to pay more.
WernerCD said:
Verizon or AT&T would get a new customer if AT&T forced me to pay more.
Huh? 😕
CellStudent said:
It's about time. For handsets, I'm thinking something like:
No Plan== $0.001/KB ~$1.00/MB
250 MB == $9.99 + $0.05/MB ~$50/GB
500 MB = $19.99 + $0.05/MB ~$50/GB
3 GB === $39.99 + $0.05/MB ~$50/GB
5 GB === $59.99 + $0.03/MB ~$30/GB
10 GB == $99.99 + $0.03/MB ~$30/GB
Smartphones would probably be ineligible for the smaller plans, and have a $20 minimum like the iPhone 2G had. Also NO EXTRA CHARGE FOR TETHERING, just let it come out of the same bundle of data.
Looks like I called it pretty close (on the bundles at least):
http://www.att.com/gen/press-room?pid=4800&cdvn=news ... »
New AT&T pricing:...
200MB == $15
400MB == $30
2 GB == $25
3 GB
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i was initially thinking that 200MB was small, but I checked the last 6 months of my own usage. I am a heavy iPhone user and I am averaging 160MB per month.
Of course this doesn't count Wi-Fi usage!
AT&T says 65% of their data customers use less than 200MB per month on average and 98% of their data customers use less than 2GB per month on average. surprising.
sure, the typical customer might only use less than 2gb now. But with better android phones and the Iphone 4th generation coming, and the push towards data, usage is going to skyrocket in the next year or so.
Menno said:
sure, the typical customer might only use less than 2gb now. But with better android phones and the Iphone 4th generation coming, and the push towards data, usage is going to skyrocket in the next year or so.
...that 4G will NEVER replace landline internet connections in urban areas.
Any place that cables have already been laid in the ground will continue to be fixed wire dependent.
Forever.
The Ipad has an app that allows for video streaming over 3g.
If you watch 4 movies a MONTH on the thing, you'll come close if not go WAY over even the 2gb limit, and that's without web browsing, or downloading anything else.
You didn't think that AT&T was going to stand for unlimited data for $30 a month did you?
Oh no sir'ree they won't.
I could, with a bit of restraint, go to the $25 plan.
That would cut out the cool stuff like Pandora tho... while driving to school/work...
Not that I will, but I could.
Shannon/Hartley says so.