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Of course this is the same crowd that thinks they have a constitutional right to unlimited $30 for the rest of their life and that it should cover their ever increasing demands for data and speed.

Hey, VZW/ATT decided that for $30/month, they could provide me with unlimited data. UNLIMITED. Doesn't matter that my demands are increasing, I paid (and continue to pay) their asking price for UNLIMITED data. If they couldn't really offer unlimited data for $30, whose fault is that, mine or theirs?
 
The pricing that the carriers is placing on data is ridiculous. And it keeps going up, not down. Jacked.
 
Shop->Smartphones->SGSIII 16GB->Add to cart->New Customer->Zip Code->With Wireless Service->Individual->SGSIII [no idea why you need to do that twice, but from the checkout seems they only charge you for one]->Yes->Next->No->Individual->choose a plan->OH LOOK! $30 for 2GB!

I stand corrected!

Interesting that you can only get to these options via the Shop function. I went in through the Shop/Add new Device/New Customer vector from the side navbar....totally different workflow and options.
 
What that chart doesn't show is throttling begins after the 1gb column. :p
So, att can't give us 3gb without getting throttled, what makes them think they can give us 10gbs?? That's right, they can't. Just another price increase built into changing data plans.
 
Anyone notice that if you run over your limit, this shared data plan is $15/gb vs. the $10/gb now. My biggest problem with these plans is that they seem to follow no consistent logic that you could get to by looking at the cost of providing a GB of data, and then universally applying it to pricing policy. If they can make a good profit providing 1 GB of data at $10, then why is it all of a sudden 50% more expensive when shared????

And how is it logical to charge the same fee for a dumbphone as a smartphone. I guess we are in the post-dumbphone era. With a family plan, I had been paying I think $10 for a dumbphone added.

I would love to see this shared data to provide an option without unlimited minutes. I think that is what is driving this higher. For me, with 5 phones it comes out to $10 cheaper (before corp discounts) with the new plan, but I get 2G less data (total) and unlimited minutes. Assuming the discounts are similar, I will probably go to the shared plan to be able to pool the data... but we don't use that many minutes... so I'm getting something that I won't use.

texting is going away

wireless service is a commodity. AT&T and verizon are about the same. which means that they have to advertise constantly and offer new customer discounts like the penny phones on amazon.

the basic voice/text service doesn't make any profit. the data makes the profit now. texting was last decade. they need about $90 in revenue on average per customer for their profits. most people don't want to pay that much so they make up a product at insane margins that some people are willing to pay for. now its data and mostly data on tablets and other non-phone devices. people willing to spend money on the go like the impulsive purchases in supermarket lines.

but in the end the reason at&t/vzw is so expensive is they have to pay for all the dumb TV ads and the phone subsidies so apple and samsung can keep on selling their phones at ridiculous prices. and all the customer service people so you can call in complaining about an extra nickel in charges or why you went over your minutes. that's why you're paying an extra $30 or more per month compared to prepaid
 
On my bill, the discount applies only to the voice plan line. Family plan 700 for $60 = 15% discount of $9.00, I presume my discount will go down and be based on the $40 base on the 1GB plan.

I know there are various discounts so they may not all work the same, so check your bill. (But we are probably on the same, Go Gators!)

After factoring in taxes, my bill is basically identical. We have 2 phones on the older 200MB for $15 plan, so it's a bump up in data and unlimited voice, which isn't really that big of a deal to me. Free tethering is the biggest plus for us.

My discount is on the Voice and Data plans because we have the 2 GB data plans. So like I said for us I'll have to see how they apply the discounts to the new plans. But tethering would be a nice perk since I do have an iPad without 3G.

Ha ha! Yes Go Gators.
 
Why do the smartphones cost different depending on data bucket? Each device gets the same unlimited voice/messaging. Each device pools from same "shared data". Why doest it cost more for smaller data buckets? Each phone device should be the same price ($30) regardless of phone type (smart/basic) or data bucket. They are double charging anyone who gets the 1,4, or 6GB bucket.

Why charge for tablets? I already paid for the data. The tablet is not making phone calls or sending out text messages, so why double charge me for the data? $10/month for the privilege of bending over and taking it!

Who needs all these minutes and text messages anyways? Most customers are turning away from using minutes and messaging. So now AT$T and Veri$on roll out plans that "look cheap". However for anyone who rarely talks/messages, it's expensive.

Where's the shared data plan with shared limited minutes and shared limited messaging?

This is what I want:
Pay x$ per shared minute
Pay y$ per shared message
Pay z$ per shared GB of data
Pay 0$ per device (I'm paying for each shared minute, shared message, shared GB)

My final question was alway the case with Veri$on and AT$T: Why not offer an unsubsidized rate? If I bought my phone myself, I would be stupid to ever pay for Veri$on or AT$T. So why, after my contract is up, do they charge the same expensive "subsidized" rate?

Preemptive response: I know you currently have the option of staying with your current plan. However eventually that option won't be there. AT$T and Veri$on is moving into an era of expensive forced minutes/messages.

ting.com

They're a Sprint MVNO, you only pay for what you use and the phones are (more or less) unsubsidized. Unfortunately Sprint doesn't work at my house, but I use their 4G MyFi when traveling.
 
Fairly obvious both ATT and Verizon (Sprint has been already doing this for a while).

But both ATT and Verizon are basically trying to "force" data usage via the smartphone route rather than have someone simply have an add a flip phone for $10 without data.

This is simply a money move by ATT and Verizon.

Many people (especially grandma and grandpa) are very satisfied with being a $10/line add on in a family plan. By jacking up the device to $30 for feature phones, they are basically forcing the consumers hands.

Not everyone needs a smartphone or even a tablet.
 
maintenance channel, which costs the carrier somewhere in the neighborhood of $0.000001/message (I'm exaggerating; I don't know the actual costs, but it can't be that expensive!).

I think you over estimated the cost. I believe they have looked into it and SMS is nearly 100% pure profit. It cost the carriers next to nothing extra to handle them. They already have the equipment in place for everything else on the phone.

It is so bad that I know Verizon and AT&T both banned their internal surveying and cost analyzing services from even looking into how much it cost and profit break down. AKA VZW and AT&T do not want to generate any internal report on it for fear of it getting out. They know it would kick back a near 100% profit margin and like hell do they want that to be officially document anywhere.
 
Shared Plan?

This seems more like a shared contract rather than a shared plan. I thought the idea of a shared plan was that you payed for some data then could attach as many devices as you liked to the plan to use that data that you purchased. But then this would stop the US carriers ripping off their customers. Glad I live in the UK where you can get an unlimited plan with no throttling for as little as £15 (about $23). The US carriers are ripping you all off and this shared plan is laughable. Trouble is, the way I see it, you have no real competition in the US so the rates are staying at a level that we haven't seen in the UK for 10 years.
 
Anyone notice that if you run over your limit, this shared data plan is $15/gb vs. the $10/gb now. My biggest problem with these plans is that they seem to follow no consistent logic that you could get to by looking at the cost of providing a GB of data, and then universally applying it to pricing policy. If they can make a good profit providing 1 GB of data at $10, then why is it all of a sudden 50% more expensive when shared????


I think that part of the plan is fine. Currently it's $10 extra for each phone that goes over. If my wife and I both go over it's $20 a month now.

With a group plan, you go over together, if there are 5 phones on the plan and you go over, it's $15/gb. Sounds like a reasonable amount since all devices are pooled.
 
New plans are good for users with all smart phones, who need unlimited texts, and who already pay for the top-end data plans on those smart phones. All of these must be true.

The new plans are grossly overpriced for users with dumb phones on their accounts or who are using lower data plans on their smart phones.

I have 3 smart phones and 1 dumb phone on my account with 1100 minutes, which is identical to unlimited since all mobile-to-mobile calls are truly unlimited via the text plan.

$30 - unlimited messages & mobile minutes (family)
$70 - 1st phone minutes (family)
$15 - 1st phone 200MB
$10 - 2nd phone minutes
$10 - 3rd phone minutes
$25 - 3rd phone 2GB
$10 - 4th phone minutes
$15 - 4th phone 200MB

Currently $185.

These same devices on the new plan, with 2GB or 4GB data (vs current 2.4GB), would cost $220. That extra $35 gives me no value. The unlimited minutes don't provide anything above what I already have. The extra 1.6GB data is in excess of my actual needs, but I have no option not to pay for it.

I've even been contemplating upgrading that dumb phone to an iPhone, and while the old plan would go up $20-30 vs. only $10 on the plan, the new plan would still be $15-25 more expensive for no benefit.

I'm thankful that I don't actually have to move to the new plan. I'm disappointed that it's not at all compelling since I have wifi, know how to manage data usage outside of wifi, and therefor just don't need to get ripped off by $30 data plans. Because only the people being ripped off by current $30 data plans really save anything on the new plan. And really, you're just being ripped off less.
 
I agree with most of your post about people's reactions, but I do feel that the data prices are way too high here in the states compared to other countries.

I don't understand your comments on this matter. You say this is what companies do, but clearly you are a consumer. Unless you work for one of these companies, why would you be OK with prices NOT coming down? Do you work for one of these companies?

If I may step in on this one...

Spectrum (e.g.: licensing), towers, asset management (e.g.: land or real estate upon which towers sit), leasing, etc. are all *sunk costs* for the telcos. That is, these are required expenses that are sometimes one-time costs and sometimes ongoing, all of which sit on the Expense-side of the balance sheet.

Revenues reside on the other side of the balance sheet. Landlines no longer make money for the telcos, because enough individuals have ceased landline use to where this is, in some cases, becoming less of a revenue and more of an expensive for the telcos.

Given the current environment, where are telcos making money? Through wireless access. In order to make up for the above-mentioned sunk costs and other ongoing costs, they have to make more in revenues and, whatever they can get above the expenses, which would be considered profit.

Companies like AT&T here in the US were the first to get the iPhone. This device was such a staggeringly huge success that, within 3 years -- three years -- AT&T found themselves temporarily beyond the ability to handle 2G/3G usage with their then-current sunk costs/expenses. *They had to ramp up like mad* just to *keep up,* much less progress beyond current technology.

This is all an incredibly expensive endeavor, and if you ever get a chance to see the general expenses incurred in terms of garnering spectrum licenses, cell towers, and all the rest of the assets and costs that require massive expenses, you'll understand why T, VZ and most other telcos are, relatively speaking, *massively* in debt.

So, they (the telcos) have to take a look at their balance sheet and figure out the best way to cover *all* costs (including said debt servicing for all the fancy, schmancy new 4G/LTE equipment they *just* bought, relatively speaking) *and* be able to make enough of a profit for *new* investments (such as whatever's next to come down the pike, or maybe for dividends for we investors, etc.) in order to be able to stay in business.

The result are the plans we're seeing today.

Remember way back when (maybe all of 10 years ago?) when you couldn't "roll over" your *voice* minutes, and then Cingular (at the time) got the idea that they could be kept for a certain period of time? I think one day data will do the same thing.

The point is that newer technologies make older technologies obsolete, which frees up expenses for other expenses (!), and, over time, as the market changes what it wants in terms of technology, the technology providers ultimately adjust.
 
Shop->Smartphones->SGSIII 16GB->Add to cart->New Customer->Zip Code->With Wireless Service->Individual->SGSIII [no idea why you need to do that twice, but from the checkout seems they only charge you for one]->Yes->Next->No->Individual->choose a plan->OH LOOK! $30 for 2GB!

I think individuals still have option on Verizon to going tiered data.

Those wanting to add family plans do not have the option.

Duh, Verizon doesn't care about individuals cause those people end up paying $100 anyways if they were to go to the 2GB/$30 option.

But family plans were the bigger savings especially for those who still wanted 1-3 feature phones (with no data). Now, Verizon doesn't give new family plans that option.

Individuals do still get the options cause Verizon will still make the same profits off individuals. But not Families with the older plans who want to use feature phones.
 
You'd think with the huge adoption of smart phones and the increased revenue from the already ridiculous data prices, they might lower their prices?? Like when high speed Internet was unaffordable but now has come way down in price.

I hate telecommunications companies.

Yeah...one would think. I worked for VZW for almost 7 years, ending in mid '08. The other thing that KILLS me is this: as a sales rep, and a manager...we were trained to push the unlimited data plans / smart phones...to essentially get a market established that wasn't directly business related. So, lets fast forward 4 years: The attitude from all the big carriers (minus Sprint) is always something like "Oh well the consumer is using too much mobile data this, we didn't expect the demand that." Its always posed as though they were taken by surprise...and in a very subtle way the consumer is blamed simply for using a product they paid for. Needless to say all, I'm throwing the ************ flag. This was the desired effect, they have what they want, and we literally will continue to pay for it.

I can't wait for the day a viable prepaid option is there, that can provide the stability of service that at least VZW and ATT can (in most cases.) Its the last edge they have left, and it isn't enough to keep alot of people happy even today.
 
This is just bs. I was planning on going to att for a 3 phone family plan. So that would cost me $70 for 4gb of data for all 3 phones which is garbage plus $120 for all three phones? So $210 plus fees and taxes would be what like $240ish?

That's not your only option. Look at the standard family plans, the data won't be shared. It'll be per device, but will be cheaper.
 
I upgraded my iPhone the other night fully expecting to 1. Lose my unlimited data 2. Switched to a Share Everything plan.

This is my 3rd subsidized upgrade since VZW switched to limited data plans.

However, the rep told me that I could keep my current family plan & my unlimited data. When I told him that I actually wanted the share everything he reminded me about an abandoned line that was still on contract until November & that I'd actually save money as well as retain my unlimited data on two grandfathered lines if I waited until nov to change the plan.

So, I guess the lesson here is.. Don't make assumptions. You know the rest.
 
OK so I just did the math to see if I'm still better off on VZW than AT&T's new plans. There's some notable differences between the two "sharing" plans:

1) AT&T doesn't offer linear data plans. They offer 1,4,6,10,15 and 20GB plans. Verizon, by comparison, offers 300MB,1,2,4,6,8,10,12,14,16,18 and 20GB plans. So you've got a lot more "pricing tiers" for data plans on Verizon than on AT&T (making it more complex, for sure, but also likely easier to ensure you don't go over/under your allotted plan). Depending on your particular use case, Verizon's additional pricing tiers could bring your price down further than anything achievable on AT&T.

2) Verizon's straight data rates are significantly cheaper at the upper tiers versus same from AT&T.


3) AT&T is offering you a discount on the monthly per-line access fee if you pre-pay a larger chunk of data. Or at least I think I'm reading that chart correctly.

So comparing apples to apples:

4 Smartphones, Unlimited Talk/Text and 10GB shared:

Verizon: ($40x4)+$100 shared data = $260/month
AT&T: ($30x4) + $120 shared data = $240/month

If you jumped the data up to 20GB for both (5GB per phone):
Verizon=$310/month
AT&T=$320/month

So even with the discounts for extra handsets, Verizon comes out a bit cheaper on the high data consumption end.

Am I interpreting AT&T's "discount for each additional handset" clause correctly? The price per smartphone is tiered based on shared data package you purchase, and not really a "discount for additional lines)?

Attaching Verizon 12-20GB pricing plans for Share Everything for those that haven't seen them:
 

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