AT&T Replaces iPad Unlimited Data Plan with 2GB Capped Plan for New Customers

[rick3000]

Do you have an iPad ad that says clearly "3G service plan included with purchase!"

Didn't think so.

Yes, but the intended purpose of the 3G iPad (the reason you buy the 3G not the Wi-Fi model) is the ability (guarantee) that you can use it with a 3G plan. If you cannot use it with the 3G plan advertised at the time of purchase you could easily argue it as false advertising. This would affect pre-orders and anyone who buys up until the websites and advertising change (which hasn't happened yet.)

It is similar to if you bought a 3G iPad then AT&T said we are no longer offering 3G plans for the iPad, have fun with the 3G iPad that doesn't have any 3G service.

 

[HLdan]

Now see I think it is an Apple problem. Steve Jobs talked about a revolutionary agreement with AT&T to provide unlimited access for $30.

I forget the exact verbage but it did not make it sound like a 1 month deal.

Once the details on the 4G phone are revealed next week I'll most likely go back to Apple and return my 3g iPad for a wifi and even though I'm over my 14 days I fully expect them to take it back.

That would be my exact attitude as well but at the same time did you actually read the TOS for AT&T's plans? It's the customer's responsibility to read that stuff. More than likely it mentions prices and plans are subject to change without notice. Apple MAY take your iPad back but with a restocking fee.

 

[mrr]

AT&T is getting rid of unlimited data and increasing the early termination fees:

They obviously don't want any new customers.

 

[ValSalva]

AT&T is getting rid of unlimited data and increasing the early termination fees:

They obviously don't want any new customers.

Seems that way. I've never seen a company hate their own customers as much as AT&T.

I've been looking forward to purchasing my first iPhone this month. Now I may wait and see if it comes to Verizon in a few months.

 

[essinger]

That would be my exact attitude as well but at the same time did you actually read the TOS for AT&T's plans? It's the customer's responsibility to read that stuff. More than likely it mentions prices and plans are subject to change without notice. Apple MAY take your iPad back but with a restocking fee.

To be fair to AT&T, they are not responisible for the way Apple advertises the iPad. A month to month plan speaks for itself.

But when Apple advertises that their product is suitable for on-again-off-again unlimited $29.99 3G service, they've created a reasonable expectation that the device will function that way for a reasonable amount of time.

I think Apple owes a duty to either -- accept full reimbursment returns to unhappy customers or arrange the advertised service at the advertised price for reasonable amount of time.

 

[HLdan]

Bait and switch may not be the proper term, but it still feels lawsuit worthy. After Steve Jobs announcing the iPad is month to month so you can leave and come back and the price will be the same as before, this makes that false advertising.

And people that pre-ordered the iPad 3G and won't get it until after June 7th and planned on getting the unlimited plan are being completely sidelined, which is false advertising.

Come on man, I know you're upset and you have every right to be but don't make it up as you go along. Steve never said you could cancel the 3G service at anytime and come back to the same price later on. Look at the keynote again.

 

[APPLENEWBIE]

Verizon on the way...

I'll bet that this is ATT's response to a decision by Apple to introduce a Verizon iPad...maybe next week? Probably quid pro quo for loosing exclusivity.

 

[Surreal]

I may buy an iphone because of this.

i really didnt want to add $30 to my monthly bill. $15 is much easier to take.

i am a nerd. I will use a lot of data, but i will be near wifi almost all of the time. this is great for me. the only 'complaint' i have is that they could have just squeezed in 2 plans under unlimited, but that is complaint for the sake of complaint, for me.

 

[VanNess]

To be fair to AT&T, they are not responisible for the way Apple advertises the iPad. A month to month plan speaks for itself.

But when Apple advertises that their product is suitable for on-again-off-again unlimited $29.99 3G service, they've created a reasonable expectation that the device will function that way for a reasonable amount of time.

I think Apple owes a duty to either -- accept full reimbursment returns to unhappy customers or arrange the advertised service at the advertised price for reasonable amount of time.

Except that AT&T advertises iPad service exactly the same way Apple does (and is still showing the unlimited option)

http://www.att.com/shop/wireless/devices/ipad.jsp

 

[levitynyc]

I was saving up to buy an iPad 3G and the unlimited data, too bad I can't get it now since no Apple Store has them in stock and by the time they do, it'll be after 6/7

Guess I won't be buying one.

 

[HobeSoundDarryl]

I've said it before and I'll say it again: Apple needs to spend that huge wad of cash on building or acquiring their own wireless network, or partnering wih other device manufacturers to do so. Over and over again these wireless carriers show their true stripes and they stifle innovation at every turn. Somehow they need to be cut out of the process.

That opportunity has mostly passed now. There was tremendous opportunity for Apple and/or Google (or others) to buy the large (new) spectrum freed up by the switch to digital television. That was prime spectrum well suited for wireless communications. But who was allowed to grab the bulk of it? Yep, Verizon & AT&T. When you are a pseudo-monopoly, you do such things to maintain control of the system "as is." I'm confident that U.S. citizens would have been better served had the Gov blocked the big 2 from participating in the auction (or being able to gobble up any new competitors who entered the playing field with that spectrum).

As we all know from the local broadband monopolies or 2-player near monopolies, there is almost no competition when 1 or 2 companies dominate the space. And no competition always means the end consumer gets the short end of the stick.

Best thing consumers as a group can do is refuse to play the game. If the money flows in slow enough, things will change. However, if the money keeps coming in, AT&T just makes more profit from such actions. Will this decision be rewarded (with more profit) or punished with loss of revenues (because customers as a group have had enough)? Unfortunately, you probably know the answer.

 

[reckless2k2]

Dela Cruz said this was coming. Obviously, the way they mean to control their network is to keep people on it as little as possible. Hahaha.

 

[HobeSoundDarryl]

Except that AT&T advertises iPad service exactly the same way Apple does (and is still showing the unlimited option)

http://www.att.com/shop/wireless/devices/ipad.jsp

If you receive your iPad 3G today, or over the next few days, you can get the deal that is advertised. If you receive your iPad 3G after the deadline, the new plans are all that is available to you... or you can return the iPad via the 14-day MBG.

I think this is a complete shame on AT&Ts part (so soon after the launch), but I'm not surprised at all. "As is" the iPad plans offered the very best deal for full mobile communications via VOIP. I kept thinking that everyone pinched for money might choose an iPad 3G plus VOIP over even an iPhone. Yes, it's not pocketable, but it was sure a lot cheaper than 3G cell phone plans. As such, I knew it wouldn't last (but I didn't expect it to go so quickly). Can you imagine the hardware sales potential of a MIFI device with that same data plan?

This is quite similar to cheap oil in the 1990's fueling the purchase of gas guzzling SUVs. As soon as enough new SUVs were in place, oil prices spiked. The oil companies played that so well for their bottom lines. AT&T is playing this so well for their bottom lines unless an awful lot of people show them they will not be played by dumping AT&T. Why don't I believe that will happen?

 

[Eric-PTEK]

That would be my exact attitude as well but at the same time did you actually read the TOS for AT&T's plans? It's the customer's responsibility to read that stuff. More than likely it mentions prices and plans are subject to change without notice. Apple MAY take your iPad back but with a restocking fee.

I am pretty confident I will get away with a restocking fee.

Very.

I've dealt with Apple before and they are one of the few companies that do not seem to argue with simple logic.

I bought a WiFi iPad and a 3G iPad, I was not able to purchase another iPad per their policy so I had no opportunity to sign up for the unlimited plan because I could not buy a unit to sign up with.

Steve Jobs himself and talked about the "breakthrough deal" that Apple came up with AT&T. I don't know who is screwing who but the break through deal is gone.

I wasn't buying a single iPad, I was buying one for everyone in the company, but again could not.

So now given the fact they changed the plan in the middle of my purchase cycle which was determined by them, not me I simply want to return my 3G for another wifi so that I can tether it to my new 4G iPhone, and not just my new 4G iPhone, mine, my wife's, my sales people, etc.

Is it pretty simple to understand, AT&T changed the rules on Apple and I spent $130 that I did not need to spend because of their change.

I can understand a change that happens 6 months, a year, even more after buying the product, but not a month.

Considering the past ways Apple handled the 2G price drop and other similar things I'm very confident I'll walk out with a wifi with no restock and $130 applied towards the other one I'll buy.

Assuming of course the new iPhone does do tethering off the bat and there is no oddball restrictions.

BTW I checked my iPhone, had it since launch day for the 3GS, 427 up, 2gb down.

 

[pharmx]

Back when the iPhone came out, I had to make the switch to AT&T, and although I was expecting to have a huge number of problems....surprisingly, it hasn't been too bad of an experience.

Recently, I've gotten several offers from AT&T stating that if I renew my contract, I would get a month of free service for being a "loyal" customer. Of course with the new phone around the corner, I've been patiently ignoring those offers to see how the upgrade path played out.

With these recent announcements though, I don't see how anyone could look forward to signing up with AT&T as a new customer. Unless these prices/plans are significantly better than what might be announced by any upcoming competitors...how exactly does this encourage people to look towards AT&T as a better alternative?

Even when Verizon and Sprint were seen as possible choices, I wasn't planning on switching because I've been relatively content with AT&T. However, if new carriers are announced, and their plans/contracts aren't overly stupid, I may jump ship. I guess the current offerings from AT&T were just to attract initial business to get momentum going...or to maintain exclusivity with Apple. Time for true colors to start showing I suppose.

 

[JediZenMaster]

Seems that way. I've never seen a company hate their own customers as much as AT&T.

I've been looking forward to purchasing my first iPhone this month. Now I may wait and see if it comes to Verizon in a few months.

Well by your logic then verizon hates it's customers also. Because their Termination fee is 20 dollars more than AT&T's. And also verizon is going to a Tiered data pricing model as well.

So why is it okay for Verizon to do this but not AT&T?

 

[stephg]

I have had my 3G iPad since 4/30. I waited for the 3G release to have the option of using 3G as I needed it, with the option of unlimited use, even though I use my iPad mostly at home with wifi. Although I'm sure there is something in the fine print that says the terms can be changed at any time, I think it's a real breach of trust to do so this soon. I haven't even activated my 3G yet. I'm not a heavy data user, but I liked the idea of having unlimited data if I needed it. So I am angry about this change in terms - I feel that AT&T should have stuck to the original terms for a year at least. The only upside is that I can probably save money on my iPhone bill now, since I don't use it for data much. I'm surprised Apple didn't make AT&T guarantee they would keep those rates for a specified period of time.

 

[btcutter]

Can some of the iPad 3G owners post their usage number???

I love to see what percentage of iPad 3G user goes above 2GB per month.

This plan change will affect lot more iPad owners than iPhone owners IMO.

 

[shervieux]

Just wondering something here, and this may open a can of worms, but.... Considering Apple is sue happy lately. It was announced in January up through recently that the 3g ipad would have an unlimited $30 plan month-to-month. That was the whole marketing scheme benficial to Apple, AT&T, and consumers. If Apple played the cards right, I bet they could sue AT&T for breach of contract. Of course that would mean that AT&T could get snippy and cut off all existing iphone and ipad customers. they would lose a ton of revenue and probably a class action would follow, but could do it without a proper injucture.

A year or two after the release ok maybe, but within 2 months of the release and 5 months after the January keynote - totally unacceptable to eliminate the $30 unlimited. AT&T could stand to make more people happy by offering:

$15 250mb
$20 2gb
$30 unlimited

$10 /month overage on either unlimited plan. either way, they would still almost get close to $30 /month for those who are bandwith hogs, have lower prices for the occassional user (that is not that much drain on their network).

Also tethering should really not be more than a $5 a month option. Not like most people would be surfing on both devices simultaneously..

 

[TallManNY]

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.

But you save $5 each month that you don't go over 2GB and it only costs you $5 more than you are currently paying each time you do ($25+$10=$35, which is $5 more than the $30 you currently pay). Do you think you are going to be over 2GB more often than you are under? I doubt that. Looks like you will save money on the new plan.
I do most heavy stuff at home or work where I have wifi. 3G just comes in to play when I'm out for lunch or traveling. I've never tried streaming a whole move on 3G, but I wouldn't really expect it to work very well. I'd rather just watch the movies I already have bought and loaded if I don't have wifi.

 

[shervieux]

Can some of the iPad 3G owners post their usage number???

I love to see what percentage of iPad 3G user goes above 2GB per month.

This plan change will affect lot more iPad owners than iPhone owners IMO.

my ipad is wifi only, but if I were to post my iphone usage (as it would be the same as my ipad):

My iphone - max ever 135 mb, averages 77mb per month

My wife's iphone (cause she is out more than I am) - max ever - 764mb, average 680mb per month. Although this month will probably be higher as she is travelling for a week. She would not be accessing my wifi nor know how to access an unlocked wifi.

 

[ReallyBigFeet]

Just wondering something here, and this may open a can of worms, but.... Considering Apple is sue happy lately. It was announced in January up through recently that the 3g ipad would have an unlimited $30 plan month-to-month. That was the whole marketing scheme benficial to Apple, AT&T, and consumers. If Apple played the cards right, I bet they could sue AT&T for breach of contract. Of course that would mean that AT&T could get snippy and cut off all existing iphone and ipad customers. they would lose a ton of revenue and probably a class action would follow, but could do it without a proper injucture.

A year or two after the release ok maybe, but within 2 months of the release and 5 months after the January keynote - totally unacceptable to eliminate the $30 unlimited. AT&T could stand to make more people happy by offering:

$15 250mb
$20 2gb
$30 unlimited

$10 /month overage on either unlimited plan. either way, they would still almost get close to $30 /month for those who are bandwith hogs, have lower prices for the occassional user (that is not that much drain on their network).

Also tethering should really not be more than a $5 a month option. Not like most people would be surfing on both devices simultaneously..

I posted this elsewhere but this deserves a reply.

Your pricing is totally unrealistic relative to competitive practices at Tmobile and Verizon:

Tmobile: Dell Mini Netbook w/3G service
$39.99/mo 5G cap
$24.99/mo 200 meg cap

Verizon: HP Mini netbook (several other models avail) w/EVDO service
$59.99/mo 5G cap
$39.99/mo 250 meg cap
-or- prepaid broadband
$50/mo 1G cap
$30/mo 300 meg cap
$15/mo 100 meg cap

Short version....AT&T is priced pretty competitively with their new bandwidth models.

 

[essinger]

I'm surprised Apple didn't make AT&T guarantee they would keep those rates for a specified period of time.

This is the big issue. It was reasonable for the consumer to assume that Apple had made some sort of arrangement for the service at that price since Apple made that a selling point of the device.

Except that AT&T advertises iPad service exactly the same way Apple does (and is still showing the unlimited option)

The difference, of course, is that you need a refund for the device and not the service. The service is month to month. You got full utility of the promised service. But you paid in full for the device. And you did not get full utility of the device.

If AT&T really breached some sort of agreement with Apple then this is a very different situation. But I doubt that happened.

 

[GroundLoop]

I'm a bit confused. If I have have the 3g $30.00 option now on my iPad, will I have to keep it on permanently or can I turn it off for some months and come back later for unlimited $30.00 again.

You will have to keep it on permanently. You are officially on "contract" with them if you want to keep the unlimited plan.

GL

 

[levitynyc]

You will have to keep it on permanently. You are officially on "contract" with them if you want to keep the unlimited plan.

GL

That is such ****. That's my big issue.