AT&T is bring more value to their customers. 98% use less than 2GB and 68% less than 200MB. So how does charging $30 for unlimited-- when 30% only need 2GB ($25) and 68% only need 200MB ($15) a big FU???
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AT&T Announces iPhone Tethering and New Smartphone Data Plans
- Thread starter ChazUK
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AT&T is bring more value to their customers. 98% use less than 2GB and 68% less than 200MB. So how does charging $30 for unlimited-- when 30% only need 2GB ($25) and 68% only need 200MB ($15) a big FU???
like others have said the problem isn't limited data usage or putting caps, but the actual cap number itself, what att has done is essentially put up numbers that fit in between most people and at the same time lower the limit for everyone
in the past the 5gb limit was in place and there was a supposed (reported) $50 charge if you went over, now honestly i'm not sure how many people actually ever went that high so it makes the penalty for the most part irrelevant
now they have moved the caps to 200mb and 2gb, chances are most iPhone users are going to be over 200mb ( i know they say 65% are not, but i believe that number is all smart phones, and a bulk of those numbers are corp blackberry users who get mail, so not much usage there, this statistic is very deceiving, just like all statistics tend to be) i would venture to say if you took all iphone users the percentage under 200mb is much lower
at the same time these average iphone users are also not getting close to 2gb, but probably more in the 600-800mb range, so in affect they are forced to pay for the 2gb plan.
the beauty of this plan though is at the high usage end, while the majority of heavy users probably didn't get close to 5gb they were over 2gb, so what they have now done is effectively raise the data charges through overages all under the guise of trying to make things equal for all, and as a service to customers. believe me, they are here to make money not to help people save money, they did plenty of studies and surveys to come up with these numbers and these are the numbers that best help them make money, it wasn't to try to help the little guy save $10 on their phone bill.
nothing but a trojan horse here, ii understand they are a business and they have to make money, and there is nothing wrong with that, but the misinformation and spin are the things that bug me.
also, keep in mind that the new iPhone and i'm sure future smart phones will start to support video conferencing/calls/live streaming/etc, so the bandwidth usage is going to go up. just think right now people are already racking up over 200mb just from browsing the web, what do you think will happen when you can actually use the phone for more that just check the news or browse a bulletin board.
and for those who say use WiFi, sure you can when you're at home, but that is about the only reliable place to get WiFi, the only other place is a college campus, otherwise unless you have a starbucks at every corner you'll find yourself hard pressed to find wifi on demand and at that point you've taken away 50% of the portability/convienence of a smart phone/iphone. the appeal is the on demand access, if you ahve to run around searching for a place to connect you might as well just wait till you got home and could get on a laptop/desktop
in the past the 5gb limit was in place and there was a supposed (reported) $50 charge if you went over, now honestly i'm not sure how many people actually ever went that high so it makes the penalty for the most part irrelevant
now they have moved the caps to 200mb and 2gb, chances are most iPhone users are going to be over 200mb ( i know they say 65% are not, but i believe that number is all smart phones, and a bulk of those numbers are corp blackberry users who get mail, so not much usage there, this statistic is very deceiving, just like all statistics tend to be) i would venture to say if you took all iphone users the percentage under 200mb is much lower
at the same time these average iphone users are also not getting close to 2gb, but probably more in the 600-800mb range, so in affect they are forced to pay for the 2gb plan.
the beauty of this plan though is at the high usage end, while the majority of heavy users probably didn't get close to 5gb they were over 2gb, so what they have now done is effectively raise the data charges through overages all under the guise of trying to make things equal for all, and as a service to customers. believe me, they are here to make money not to help people save money, they did plenty of studies and surveys to come up with these numbers and these are the numbers that best help them make money, it wasn't to try to help the little guy save $10 on their phone bill.
nothing but a trojan horse here, ii understand they are a business and they have to make money, and there is nothing wrong with that, but the misinformation and spin are the things that bug me.
also, keep in mind that the new iPhone and i'm sure future smart phones will start to support video conferencing/calls/live streaming/etc, so the bandwidth usage is going to go up. just think right now people are already racking up over 200mb just from browsing the web, what do you think will happen when you can actually use the phone for more that just check the news or browse a bulletin board.
and for those who say use WiFi, sure you can when you're at home, but that is about the only reliable place to get WiFi, the only other place is a college campus, otherwise unless you have a starbucks at every corner you'll find yourself hard pressed to find wifi on demand and at that point you've taken away 50% of the portability/convienence of a smart phone/iphone. the appeal is the on demand access, if you ahve to run around searching for a place to connect you might as well just wait till you got home and could get on a laptop/desktop
well, I had just looked at my data usage and in 2 years, never exceeded 120MB a month and often times less than that
It's really too bad that no other carrier has the iPhone. In Canada 4 different carriers have the iPhone so there's some healthy competition. Rogers/Fido also include tethering for no extra fee (it's been this way since the launch of the 3GS). AT&T should at least include tethering for free.
Good job AT&T. You found a new way to screw people over.
I bit the bullet and got the iPhone 3G S at Walmart because of the $97 price tag. It also allowed me to get in before the new $325 ETF and kept me at 3.1.3 so I can use MY iPhone how I wish.
But these new plans are even worse than the $325 ETF.
$15 for 200MB? Really? 200MB is nothing. That data plan is pure profit for AT&T. Especially when those few poor souls happen to go over 200MB.
Even 2GB at $25 is pure profit. 2GB of data, these days, is nothing. The fact that AT&T is offering 10x the data for only a few dollars more should tell everyone just how little it costs AT&T to actually deliver that bandwidth to you and how that $15 or $25 is essentially pure profit.
Last I checked, AT&T pulled in about $2.5b in profits the first quarter of this year and their operating costs are down.
So, rather than trying to extract more money from customers, why not use some of that extra cash to make your network better? It wouldn't please shareholders. But honestly, shareholders of any company are the scum of the Earth because they only care about profit and not about actual customer satisfaction. Take some of that money and make your network better. Don't slap expensive restrictions on everyone. Upgrade. Compete.
Oh wait, thanks to the previous administration, we have no competitionThey allowed everyone to buy each other up and we went from dozens of wireless carriers to just a handful now.
Liberals
Yes profit is a bad thing, tell you what if you feel so entitled why not start your own wireless company and offer everyone these super cheap prices.
You seem to think cell towers and the wiring in this country just popped up over night? No idea the investment in infrastructure AT&T has made over the past few decades.
If you don't like it, go somewhere else or start your own wireless company if your so smart.
You blame the previous administration, is that a knee jerk response to anyone a liberal doesn't like these days? Is there anything of fact behind that statement or just an emotional response?
I'm sure all the people who own AT&T stock don't mind the fact that AT&T's profits are up and costs are down, sounds like a good buy , eh?
Life is simple, don't make it harder than it needs to be.
Based on that logic, then AT&T should eliminate any data plan and charge people by the byte then. I mean before iPhone, most people use zero data.
So if 'AT&T states that 98% of their smartphone customers use less than 2GB of data per month.' why do they need to bother capping? I'm sure that 2% isn't going to bring their network down is it?
I am on a family line and I use well over 200mb a month. Since Jan 2009 the lowest I have used is 655mb and the most is 1.89gb. The other phone on my acct had a min of 55mb and max of 613mb. The $30 unlimited plan is perfect. So if I choose to upgrade to the new phone I HAVE to choose one of these new plans? I can't stay grandfathered with my old 3g plan? This is BS!
I'm guessing in part it has to do with the tethering option. They prob didn't want to give out tethering + unlimited data to millions of iPhone users. That might have brought down the network.
arn
Some of the logic here is staggering.
So your complaining that if 98 percent of their customers truly do use less than 2gb less per month that they will now be charged LESS money.
I am a heavy user of my iPad and I'm sitting at 442mb this month with 15 days left to go.
The problem is in the US, each carrier has their own frequency. In other countries, most of the time the wireless carriers share the same frequency, so there's no issue switching carriers using the same phone.
Hopefully this means the next iPhone would at least sport quad band HSDPA to support both AT&T and T-Mobile 3G.
Any claims of "I use only x or y" don't mean anything. Every person's definition of "heavy" use is different. I consider myself not a heavy user, and only use my iPhone for email and social networking most of the time (no audio streaming), and I always hit more than 200MB a month already. I've been waiting to have tethering option, but obviously 2GB is not going to be sufficient for a regular internet access.
You think that but it will never work.
Exactly. Won't have any other choice.
ETFs are rising at all carriers. The other carriers will soon fall in line with their data plans. Once one goes, they all go. They're sheep.
I'm guessing in part it has to do with the tethering option. They prob didn't want to give out tethering + unlimited data to millions of iPhone users. That might have brought down the network.
arn
It would bring down any network. That's why, if there's a Sprint/Verizon/T-Mobile version of any device those carriers will also change their data plan policies.
Good job AT&T. You found a new way to screw people over.
I bit the bullet and got the iPhone 3G S at Walmart because of the $97 price tag. It also allowed me to get in before the new $325 ETF and kept me at 3.1.3 so I can use MY iPhone how I wish.
But these new plans are even worse than the $325 ETF.
$15 for 200MB? Really? 200MB is nothing. That data plan is pure profit for AT&T. Especially when those few poor souls happen to go over 200MB.
Even 2GB at $25 is pure profit. 2GB of data, these days, is nothing. The fact that AT&T is offering 10x the data for only a few dollars more should tell everyone just how little it costs AT&T to actually deliver that bandwidth to you and how that $15 or $25 is essentially pure profit.
Last I checked, AT&T pulled in about $2.5b in profits the first quarter of this year and their operating costs are down.
So, rather than trying to extract more money from customers, why not use some of that extra cash to make your network better? It wouldn't please shareholders. But honestly, shareholders of any company are the scum of the Earth because they only care about profit and not about actual customer satisfaction. Take some of that money and make your network better. Don't slap expensive restrictions on everyone. Upgrade. Compete.
Oh wait, thanks to the previous administration, we have no competition
I would expect whining and a unreasonable, anti-capitalism coming from somebody still bitching about Bush. Are we not over that? Didn't we vote on change? Can't be hope for a better future and not always bitch and be so negative? Jeez.
AT&T spends almost $20B a year on network infrastructure. The industry is already very competitive with very low returns on capital. Spending money on the network isn't the issue, it has more to do with optimizing traffic from predictive algorithms and network design efficiency by tuning & tilting ariels. Plus, it's an issue of available spectrum as well.
AT&T won't make more money from customers if 65% (use less than 200MB) drop from $30 to $15 plans, and 30% drop from $30 to $25. Whereby the remain 2% (use more than 2GB) pay more- from $30 TO $35 or $45, with just a handful paying more than that. Do the math... How is that bad for customers?? How is AT&T making more money???
AT&T won't unless it can attract new data subscribers who were previously opposed pay $30 for unlimited when all they would use much much less, or hardly any at all. If you don't think that these people exist, you are dead wrong. Go look at the AT&T forums, it's ripe with complaints over the price of the data plan with no alternative options. Many surveys have showed the number one reason holding back iPhone adoption is the price of the data plan since it's required. It's not hard to see why when 65% use less than 200MB.
If cost is tied so closely to usage, tethering should be free.
It really makes no sense to charge $20 for tethering when data usage is bucket limited. There is no overhead to AT&T to provide the service, it's a feature of the phone. If anything Apple could charge $.99 for enabling tethering as an app.
With the new phone hardware, and upcoming streaming iphone apps(netflix, hulu, DVR streaming, video conferencing) also cloud storage & document sharing(dropbox) will cause an increase as well. Your typical "average" user usage of 200 meg is quickly going to change to 1gig+. Current "power users" will jump from 1-2 gig to over 5 very quickly.
This announcement should be enough to encourage anyone considering buying a 3G iPad to do it before the 7th. For that device, "unlimited" (10G+) plans are especially critical.
Thankfully, I have mine and will keep the $29.99 plan as long as I can.
It really makes no sense to charge $20 for tethering when data usage is bucket limited. There is no overhead to AT&T to provide the service, it's a feature of the phone. If anything Apple could charge $.99 for enabling tethering as an app.
With the new phone hardware, and upcoming streaming iphone apps(netflix, hulu, DVR streaming, video conferencing) also cloud storage & document sharing(dropbox) will cause an increase as well. Your typical "average" user usage of 200 meg is quickly going to change to 1gig+. Current "power users" will jump from 1-2 gig to over 5 very quickly.
This announcement should be enough to encourage anyone considering buying a 3G iPad to do it before the 7th. For that device, "unlimited" (10G+) plans are especially critical.
Thankfully, I have mine and will keep the $29.99 plan as long as I can.
I really do hope the next iPhone will support T-Mobile's bands. Competition can only mean good things for iPhone users.
All the major carriers in Canada (with exception to WIND Mobile which uses the same bands as T-Mobile) do use the same frequencies.
Either way, it's still pathetic that AT&T is screwing its customers like this. If they're going to charge an extra fee for tethering they would at least include extra data.
Hmm. So if I get the new iPhone... I'll be forced to choose the 2GB plan which is at $25 so my Fan account won't apply... my data plan already is reduced to about $25.5 with the fan. SO I'll be paying $.50 less but in turn be reduced by 3GB.... great.
Also checked my data usage the past 6 months and fluctuates every other month to 3GB to about 1GB. Interesting situation.
Looks like I'm going to have to drop my txt plan altogether and start using Google Voice fulltime. Hopefully the new OS is jailbroken soon because Apple won't let the Google Voice app in their store.. I mean Apple "has not rejected the Google Voice application and continues to study it." Has it been long enough, Apple?
Also checked my data usage the past 6 months and fluctuates every other month to 3GB to about 1GB. Interesting situation.
Looks like I'm going to have to drop my txt plan altogether and start using Google Voice fulltime. Hopefully the new OS is jailbroken soon because Apple won't let the Google Voice app in their store.. I mean Apple "has not rejected the Google Voice application and continues to study it."
Has it been long enough, Apple?Really? And why not? Seems to work fine for 68% of iPhone owners. I don't stream Pandora or anything else. For the occasional google maps usage and address lookup, it will suffice.
Carriers
I can understand you're all pissed.
In Belgium (that's in Europe), prices up to 15 euros per 200mb are rather the rule than the exception.
Almost no one here has mobile internet. Nearly everyone that has an iPhone only uses it over WiFi.
It truly sucks. Hope you all switch carriers.
Why do you buy iPhone with a contract anyway?
I can understand you're all pissed.
In Belgium (that's in Europe), prices up to 15 euros per 200mb are rather the rule than the exception.
Almost no one here has mobile internet. Nearly everyone that has an iPhone only uses it over WiFi.
It truly sucks. Hope you all switch carriers.
Why do you buy iPhone with a contract anyway?
Oh really? That would be really unfortunate as I have a FAN discount which is already slightly cheaper than $25. As I've heard it, we won't get a discount since this feature is less than $30. I figured grandfathered meant grandfathered going into our new contracts. Might as well jump to Verizon or Sprint if they have unlimited data. Sprint's $69 plan is very tempting, especially since it features yearly phone upgrades. Perfect for the iPhone enthusiast.
So I guess we won't actually get to use the new video chat feature very much? Or will this be a separate add-on like text/mms with its own rate? Though it doesn't matter much to me. I don't plan on video chatting very often. Maybe as a mirror? Lol. We'll see. Apple has a way of making technology accessible and popular. AT&T has a way of making it limited and unpopular. Multiple carriers to the rescue?
I'm putting it out there - I'm 10 days through my billing cycle and I've used 200 MB. I could get by on the new plan. But the point being is that there have been times when I have gone over 2 GB and I don't want to have to pay an extra 10 bucks when that happens.