Verizon Clarifies Discontinuation of Grandfathered Unlimited Data: Applies to New Subsidized Devices

[MacRumors]

Verizon yesterday made headlines for comments from Chief Financial Officer Fran Shammo revealing that the carrier is planning to discontinue its grandfathered unlimited data plans when the carrier rolls out new shared data plans this summer. Verizon dropped those unlimited data plans within months of introducing the iPhone early last year, but customers who had previously been on the unlimited plans have been allowed to keep them, even through handset upgrades.

Tim Cook and Verizon Wireless CEO Dan Mead introduce the Verizon iPhone in January 2011

Verizon issued a clarification to The New York Times today, noting that the loss of grandfathered unlimited plans will be limited to those customers purchasing new subsidized devices for use on the carrier. Users who do not upgrade their devices or who choose to upgrade at unsubsidized prices will be able to keep their unlimited data plans. Still, the change would appear to be set to affect the majority of Verizon's current unlimited data customers, as most customers are interested in regular handset upgrades at subsidized prices.

- Customers will not be automatically moved to new shared data plans. If a 3G or 4G smartphone customer is on an unlimited plan now and they do not want to change their plan, they will not have to do so.

- When we introduce our new shared data plans, Unlimited Data will no longer be available to customers when purchasing handsets at discounted pricing.

- Customers who purchase phones at full retail price and are on an unlimited smartphone data plan will be able to keep that plan.

- The same pricing and policies will be applied to all 3G and 4GLTE smartphones.

Sprint remains the only major U.S. carrier to offer unlimited data for iPhone users, and the carrier has indicated that it will continue to do so for the next-generation device, even if it supports 4G LTE networks that could lead to consumers using more data capacity.

Article Link: Verizon Clarifies Discontinuation of Grandfathered Unlimited Data: Applies to New Subsidized Devices

[its93rc]

Meanies.....

[reden]

Nice clarification. "Customers who purchase phones at full retail price and are on an unlimited smartphone data plan will be able to keep that plan." Making it sound like it's a gift from them to you.

[iforget]

Is AT&T the next to fall? This is terrible, terrible news. Pretty soon we'll be paying for the megabyte again. Thanks, 1999 Verizon!

[imprezu]

Prices of used 4g smartphones are going to skyrocket.

[mac.cali]

I guess I'm on the full retail price plan. I won't be locked into a contract and you better not throttle me either!

[darkslide29]

Wow, we lose our unlimited data plan when upgrading? Not even AT&T does this! But now that Verizon is going to do it, I expect AT&T to do the same before the next iPhone release.
It would be a crazy, backwards world if they didn't.

[aajeev]

Was just thinking about the new plan yesterday. Figured I might have to buy the phone at full price. Then again, if the new family share plan is cheap enough, I suppose I can let go of the unlimited.

So does this also mean if I have unlimited 3G right now with iPhone 4, when iPhone 5 (or whatever the name is) comes out, and if I purchase it at full price then switch over to the new device I would automatically get 4G LTE??

[macmastersam]

verizon have lost a few customers i take it

[ajroller]

So does this mean a person with an iphone and an unlimited 3g plan will be able to buy a new iphone at full retail price and use it on the 4g network with the same plan?

[BrandoFiasco]

ugh. That's a little better. Still bastards though...

[gleepskip]

They had to clarify the new policy, otherwise many people would be able to escape their contracts without paying an ETF. Very crafty, VZ! AT&T will probably pull the same trick when knee-capping their long-term unlimited customers.

[realmike15]

As soon as AT&T does this... hello Sprint!

[joshuaclintonn]

One concern I have is that if you buy the full retail price of the device, are you renewing your contract? If not, I can see problems where Verizon could just terminate your account without recourse if out of contract.

[mac.cali]

Originally Posted by ajroller

So does this mean a person with an iphone and an unlimited 3g plan will be able to buy a new iphone at full retail price and use it on the 4g network with the same plan?

Yes. But if you upgrade on the drive for a subsidized price, you lose the unlimited data. Moral of the story, don't upgrade on the subsidized price. Always pay full retail and be month to month.

[incoherent1]

As someone with unlimited on AT&T, hopefully AT&T will use this as an opportunity to differentiate themselves from the competition to drive down defection to other carriers by allowing people with unlimited data plans to remain grandfathered after upgrading.

Then again, it's AT&T, so not likely...

[mac.cali]

Originally Posted by realmike15

As soon as AT&T does this... hello Sprint!

I'm in the same boat as you. However sprint network may not be any better and in fact worst in your area. Could be worst over all if everyone is thinking like us.

[MattMJB0188]

And in the end VERIZON customers loose!!! AT&T was the better choice from day one. Laughing at all of those who had unlimited data plans with AT&T and left for the Verizon iPhone. Hahahahaahha

[barkomatic]

Originally Posted by iforget

Is AT&T the next to fall? This is terrible, terrible news. Pretty soon we'll be paying for the megabyte again. Thanks, 1999 Verizon!

Since AT&T already throttles its unlimited users after they reach 3GB (5GB on LTE I understand) I feel like it hardly matters anyway. Metering data will just discourage use. Ultimately, I think this will hurt Apple and other handset manufacturers since metered data pretty much kills many of the advantages of cloud services. Sure, save space on your device by storing your movie in the cloud, but then pay $10 in overages to stream it back. Apple better roll out 256GB iPhones and iPads soon.

[mac.cali]

Originally Posted by MattMJB0188

And in the end VERIZON customers loose!!! AT&T was the better choice from day one. Laughing at all of those who had unlimited data plans with AT&T and left for the Verizon iPhone. Hahahahaahha

You could very well be laughing in the mirror pretty soon. AT&T always seems to copy Verizon. I'd be SHOCKED and SUPRISED if AT&T didn't do the exact same thing.

[britboyj]

If AT&T does this, I'm out, bitches.

Or just buy the factory unlocked version and then they can't touch me.

[MattMJB0188]

Originally Posted by mac.cali

You could very well be laughing in the mirror pretty soon. AT&T always seems to copy Verizon. I'd be SHOCKED and SUPRISED if AT&T didn't do the exact same thing.

Then I eventually move to a tiered plan. Its inevitable!!! I love how people think things will last forever.

[b166er]

I never thought I would say this, but Sprint is poised to become an actual threat to Verizon and ATT if those two keep this kind of stuff up.

[Fainer]

So all of this makes me really want to consider Sprint. Do they suck as bad as so many people seem to say they do?

[iJon]

ATT has already said that customers with unlimited data plans will essentially be throttled if you go beyond 3GB a month.

This was announced 2 months ago, have people already forgotten?

http://online.wsj.com/article/SB1000...947217336.html