Verizon Wireless introducing tiered data pricing in the next 4 to 6 months

General

The Wall Street Journal is reporting that Verizon Wireless plans to introduce tiered data pricing in the coming months. “Verizon Communications Inc. Chief Executive Ivan Seidenberg said the company’s wireless arm expects to introduce its own form of tiered pricing, possibly over the next four to six months,” writes the WSJ. The report doesn’t specify whether Mr. Seidenberg was speaking solely about the company’s new, 4G, LTE network that is due to launch before the end of this year. The CEO went on to say — thankfully — that his company does not agree with how rival AT&T is valuing their data; referring to the tiered data plans instituted by Ma’ Bell several months ago. More on this story as it develops.

Read

114 Comments
  • Joe

    LOL!!!!!!!!!!!!!!!!!!!!!!!!

  • rp2009

    Well, I dont REALLLY need to check my email on my tiny phone screen.
    Regular dumb phone, google voice and wifi only ipad time for me. screw this.

  • Alvin

    Well, with vz you get unlimited data unlike att 2g plan. Why should you be restricted? $15 is reasnable for 2g. Even $30 is too much for an unlimited data. Its a rip off but we cant do anything about it.

  • Gag

    I really don’t get how so many of you are so stupid about this development. If you have a phone worth using, you’re going to use more data. Period.

    Myth 1- “Now I can pay for what I use”. Bullshit. Divide unlimited by 30 dollars a month. Now smack yourself in the face with a brick. If you’ve streamed video, tethered, and done all these awesome things with an unlimited data plan, you won’t want to give it up. The carriers may hate heavy users but we’re the reason there is even a demand for these devices. I love how you guys randomly take Verizon’s side, like Ivan Seidenberg is gonna throw you a bone or something. This policy imperils all future smartphone users. When the hell did we decide to become Europe? Go ask them how much they love tiered data and see what they tell you.

    Myth 2- “This will reduce network congestion!” It’s hard to believe anything carriers have to say at this point. They have been dragging their heels on mobile broadband, neutering phones, and bludgeoning us with extreme margins on voice, data, and texting. I have yet to see a not congested network and this is with carriers riding roughshod over subscribers. So whatever they are saying is likely a lie.

    Myth 3- “What a great idea! Now I can get on my high horse and hate on heavy users!” Once again, given how laughable ATT’s valuation of data pricing has been, we can only expect Verizon’s to be worse, not better. Let’s see how you like inflexible data caps. Let’s see if you enjoy seeing how much those overages cost. Let’s watch how there is NO rollover for data. I think anybody who asks to pay more for what they get now is a bleeping moron. And that pretty much describes about half of you who have decided to make us all dumber with your comments.

    • X

      WOW you said it big time i agree with you 100%
      I`ve been telling people this same thing. We got to stop letting these Cell companies push us around. its not right that they get to charge us for what ever they want and we keep doing business with them. Thanks for your comment GAG.. I want unlimited and thats that or why buy a HI TECH phone. These idiot`s are trying to take us back to the stone ages with these stupid DATA plans.

      • mike

        Seriously…why are you crying about “these cell phone companies” pushing us around? They have to charge for data usage, how do you think our technology advances like it does. Also data $ help keep the prices of the phones down so you can have bogo (buy one get one free) smartphones ( current verizon promotion). The wireless industry employs hundreds of thousands people nationwide… why don’t we just give you free data, layoff thousands of people, jack the prices of the phones up so you can’t afford them but then you will complain about that also! If you don’t like the cost then DON’T USE THE SERVICE! Your comment just shows how ignorant you are about how all this works..

    • T

      You’re both idiots… there’s no such thing as unlimited bandwidth in the real world… so there needs to be caps somewhere. There’s only so much spectrum, a giant bottleneck of spectrum, actually. So get a clue about the technology of which you speak and quit making us dumber with your comments.

  • http://www.redorbit.com aurora

    I was at a digital media conf, and in a mobile session, asked about the contradiction between expanding. bandwidth-hungry apps and carrier data plan limitations. An industry analyst volunteered that the carriers were (as in comments above)expecting Wi-fi to handle that. Will Wi-fi be that ubiquitous?

  • Will

    I agree, but people doing crazy data useage like beyond 5-6 GB a month, even with out wired or wireless tethering is hurting everyone. I probably do about, on a good data use month, 2-2.5 GB tops, but that’s me. But the carriers should still offer the unlimited plans, and either throttle back or end the contracts of those who chronically abuse their network for wireless data. Like 3 months in a row if you’re chronically doing like 10GB a month or something crazy like that, you get dropped. That gets rid of the crazy users and keeps the people like me who use responsibly and what they need and are willing to pay for without worrying about going over on data. That’s why I got rid of having minute based plans and messaging based plans. I didn’t want to worry about going over or what time of day I was using my phone or who I was talking to to see if they were in my circle of people I could talk or text unlimitedly. That is mid 2000s pricing and plan execution. Capping or tiering is going to be a problem. Remember 2-4K minute plans back in the early 2000s before unlimited minutes? Remember buckets of texts? Who wants to be tied down? And no, WIFI isn’t the solution. More efficient means for the networks to handle and process data over the expansion of said network is the solution, along with getting rid of data abusers.

    • Ainvar

      Dude what year do you live in?

      On average I use 14-16gigs a month. All I do is stream music and use my phone I would a computer on the internet. How can you be so close minded and think 2-2.5gigs is ok for everyone cause that is what you do.. you are not the golden exception or rule and everyone needs to be like you. Abuse in your eyes is over 10gigs a month? Whatever man! Get over yourself. As smartphones become more of the mainstream and technology is advancing like it is. 10gigs will soon be like 1meg and so forth. If you think it is not going to change you are going to fall even further behind on the curve.

      The tiered data procing is going to be a 10000% positive way for the carriers to screw us out of even more money.

      Unlimited data should be standard. We dont need to be capped on data usage at all. That is like telling people who pay for their minute plan that they can only talk on 75% of their minutes cause the other 25% is going to be muffled using QOS since they are heaver users.

      There is no such thing as data abusers. There is a law or rule that says anything over X amount is abuse. It is unlimited and that means there is no limit or cap and should not be.

      • shibby

        14-16 gigs… really? excessive much?

      • V for Ve

        Streaming music or videos is the only way you get to 14-16 gigs a month and that is not really what I see as data. Mobile phone networks are not designed to listen to music and cannot be used like the wired networks. If all mobile pnone users start srteaming music every network will crash. I have more important things to do with my data allowance. I don’t want to drop my data connection and miss out on important emails because someone’s music is hogging network resources. Why don’t you download the music into your computer, sync your phone and listen all day and let me get on with my business.

  • Blackberry bold

    While I agree with some of you defending yourselves about heavy data usage. Carriers should offer tiered pricing for people who use less data like me. I use 1GB a month and ATT 2GB data plan fits me. However, they should also keep unlimited data.

  • Gag

    I can see a lot of you trying to be reasonable and wanting options for everybody but tiered data means no more unlimited, period. The carriers get to rig the game. The funny thing is that they have to know we all still want unlimited data but they pretend that it is so unfeasible to maintain such an option, they wouldn’t even be able to properly overcharge us for it, allegedly. It’s time to stop thinking about things from their perspective. Expect to use more, not less data over time.

    Trying to advocate for tiered data because you dont use much data now is like trying to say that laptop companies shouldn’t worry about making better, longer lasting batteries because you don’t use your laptop that much. Laptops will inevitably get better, thereby making you want to use them more. Look at the projected usage curve for portable devices. Companies want to get ahead of the curve and look, I’m not against making money. I’m not against profit. I’m against being unfair.

    And here’s the thing, for people playing by the rules, how much sense does it make, for example, for someone to be paying 45 dollars a month for 2 gigs of data plus tethering on AT&T with their smartphone, if they still have spotty reception, dropped calls, and laggy data speed? If carriers tier data, they have to PROMISE better service. They can’t even DELIVER proper service now in a lot of places. If they can guarantee better service with these revised allocations of resources, maybe we can deal with it and accept it. But like I’ve said before, when they get to charge you what they want and they get to give you whatever they think you deserve, you usually end up being the loser in the equation.

    If I have to go to a crappy buffet, at least I know I’ll be full. If I have to eat a la carte, you better make damn sure that my food is amazing.

    • V for Ve

      I disagree with your battery analogy. The way you use your battery does not affect anyone else. If you get a battery that lasts 2 weeks, it does not affect the charge in my laptop’s battery. But the wireless network is a shared resource and what you do in it affects me and I want fair distribution.
      However, I completely agree with your second point. If the companies are doing this for fair distribution of resources, I better not encounter any network congestion.

    • John Thacker

      “If I have to go to a crappy buffet, at least I know I’ll be full. If I have to eat a la carte, you better make damn sure that my food is amazing.”

      If I have to go to a buffet, I know that I’m going to have to pay for all the fatasses who eat a lot more than I do, and who care about quantity over quality.

      And indeed, most buffets do have crappier food than restaurants where you pay for the food that you order. So it seems like you’re arguing that this will make things better.

      You say you’re against “being unfair.” Join the club, everybody says that. It’s indisputable that under the current system light users subsidize network capacity used by heavy users. You’re not against profit, you’re not against the company charging whatever it wants for the data. You’re just in favor of the light users subsidizing the heavy users. You’re for “fairness,” where your idea of fairness is that people get charged the same no matter how much they use. Other people think that “fairness” means being charged for what you use.

  • Tim

    Verizon is still going to use CDMA for voice calls. So, the LTE phones that come out will have CDMA on board…THANKFULLY!

  • ktmotoxer

    Hell Im already at 3 gigs and theres still 14 days left in the pay period. They think Im using alot of data now? Im going all out for the next 4 to 6 months! Im talking Pandora everyday all day. “Rule the air” right?

  • Hick

    For those customers that want unlimited data plans, you can have them. You should be able to have unlimited.
    Think about this, there are people who do not have a desire to use 2, 8, or even 12 GB’s worth of data each month.
    Some of us want a choice between a lot or a little. Right now with VZW, you are FORCED into buying a plan that you might not want, if you want a smart phone. I agree, that if you have a smartphone, data should be a part of it; just not forced at a high cost.

    There are other uses for smart phones besides video and music. We just want to have the same opportunity to use a smart phone in a way that benefits us.

  • Gina

    Carriers push data centric features on us. They brag about how fast their wireless data networks are.

    Then behind closed doors they call us data hogs and network abusers.

    Then they contradict themselves by claiming only a very small percentage of users use exorbitant amounts of data.

    The truth: Carriers have investors to answer to. Every quarter they tell investors their plans to steal more money from us. This time they know that there is greater profits in tiered data plans since they can charge us overages. Why limit them from charging us a flat $30 fee per month when they can start charging us $ 50, $ 75 or higher?

    The deal: Make us want data centric apps that require a lot of data and put us on data plans that will cause us to accrue overages. That way we’ll keep upping our data plans higher and higher to avoid the overages. Before we know it we’ll be paying $100 per month for 3 GB’s whereas before we were only paying $30 for unlimited.

1 2
blog comments powered by Disqus