Verizon to offer LTE data plans contract-free for same monthly rate

By on Dec 2, 2010 at 11:49 AM
General December 2, 2010

Here’s a bit of good news for those folks who want to take advantage of Verizon’s new LTE data service but are a little leery of two-year contracts. Verizon has confirmed to BGR that the 5GB and 10GB LTE plans announced yesterday, which retail for $50 and $80 respectively, will be available on a month-to-month basis for the same price. Users interested in the contract-free option will be required to purchase their LTE equipment at its full-retail price  – currently, Verizon’s two data sticks cost $249 unsubsidized — and, like the on-contract plans, overages will be billed at $10 per gigabyte. Sounds like a pretty good deal to us. What do you think?

[Via Sascha Segan]

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  • Wernotw

    first.

  • SuperChunk

    That is OK, but I don’t see the point in just skipping the contract.

    • Anonymous

      What if you only travel every other month? then you just saved $50+ a month for service you don’t need.

      • SuperChunk

        So you wouldn’t use the data plan outside of work?

      • John

        You would still be charged the activation fee every time you reactivate.

  • Anonymous

    I would get this if I traveled a lot, or lived in an area where I could not get Cable. Bring on the LTE handsets por favor. They are ready.

  • Anonymous

    Its not a bad deal, though I have to say I am surprised that Verizon capped bandwidth so low and that there is not a home internet option like you see on Clear. You are finally starting to compete with home ISPs speed-wise and I thought one of the big advantages of 4G was that it handled larger loads better so the need for low data caps would become obsolete.

    • Anonymous

      There really is no cap on Verizon’s LTE data plans. Like the article says, if you want another gig, you just pay another $10. In other articles, Verizon has said there is no limit or throttling on their 4G like they do on their 3G. It’s just a matter of how much you want to pay. If you to use 40 gigs a month and pay $380 a month, they won’t stop you.

      • SuperChunk

        True, but i agree with adam, if they want to compete with home ISPs they need to make an unlimited version that is price competitive, but then again the cable/dsl variants are all storming way past LTE capabilities now.

      • Anonymous

        I don’t think Verizon is trying to compete with home cable/DSL. They already have a home broadband service, FiOS. What they’re introducing with their 4G is the ability to get DSL-type speeds everywhere you go, not just at home.

      • Cer

        For now you just pay $10. But with no contract, they can raise the rates for you at any time and you can either pay them or be screwed because you paid full price for the usb key.

      • http://twitter.com/gba2000 Josh Faust

        Probably not, they can still grandfather. For example if I get a post paid minute plan, buy the phone out right(meaning no contract), if they stop offering the minute plan, I can keep it until I change it. At least that’s how AT&T works.

      • Anonymous

        True. This is what happened to early iPad plans, being prepaid has this risk.

  • Cer

    Why is paying the same price for the same service as someone whose hardware is subsidized a good deal? How is this any different than buying a cell phone at the unsubsidized price — you don’t have to sign a contract and you pay the same monthly fee as everyone else. I’m sure that if you go that route you can turn cell service off and on as you please, since you’re not violating any contract.

    This is just simply contract pricing. Wow, so awesome.

    • http://jameswilliams.be/blog James Williams

      It’s not always the same price. On T-Mobile, if you bring your own phone, you pay less off contract. If you get a contract, they give you a “free” phone but they subsidize it by making you select from a limited set of plans that are higher. The base rate for my equivalent plan on contract is $20 higher than what I’m paying.

      • http://jameswilliams.be/blog James Williams

        But if the merger goes through, I’m sure AT&T will eliminate that one bright spot.

  • qwerty

    If you, via employee sponsorship or corporate contract, are getting a discount, your organization may have negotiated to make that discount available for employee-liable lines of service. One of the notable differences with contracted vs month-to-month: you sign the two-year, you get the discount applied to the data plan. You go month-to-month, you don’t. A typical mid-sized enterprise employee with a corporate-sponsored discount might get anywhere from 12 to 20+ percent off. This makes the $50 plan closer to $40 and the $80 plan closer to $65. Something to condsider if a discount on Verizon is available to you.

  • bruce302

    50 dollars for 5GBs is not a very good deal compared to Clear’s 45 dollars per month for “unlimited”(only clear knows exactly how unlimited their plan is). But, verizon’s lte coverage will probably quickly eclipse clear’s wimax coverage. (Best Buy employees can get clear service for $30 per month, too). In my city, Pittsburgh, the wimax coverage is great, and bandwidth even better (5-7mbps down peak hours, 10-12mbps down off peak), most likely due to minimal traffic and relatively low subscriber base thus far (just my hypothesis). We shall see what develops the next few months.

  • ChocoTaco

    So, let’s get this straight:

    1.) VZW’s LTE USB/modem plans will be at the least the same price as the 3G counterparts and in some cases cheaper.

    2.) You can get the same deals off-contract.

    That is some good news. I’m very anxious to see how LTE smartphone plans pan out. I hope they offer unlimited data for $25/mo :P Yea right, huh?

    But let’s think about it: LTE will offer higher bandwidth at a lower frequency. This means more speed and better throughput with less needed towers. In theory, it should be much cheaper to connect everyone on LTE than 3G, so plans SHOULD be cheaper.

    • Cer

      Kind of like how Sprint and Verizon use the same 3G technology, and so their prices are the same, right?

      lolercoaster.

      • Mark

        Yeah only they don’t use the same tech …sprint is using wimax for their 4g.

    • Nick

      When it comes to wireless networks theory practically never becomes reality.

      In most cases they should be able to add LTE into their existing sites, which is a huge savings. But the backhaul, taking the traffic back to the mtso, has to increase dramatically to cover the improved throughput. You’re talking going from a handful of T1′s now, which isn’t cheap either, over to having full ethernet installed via telco or microwave. And they’re still providing their current 3G network.

      Whatever way you cut it things aren’t going to be cheap for any provider to build out LTE. The nodes themselves aren’t insanely expensive, from what I understand. It’s just everything else that’s going into it.

    • HaLfCrAzE

      Actually the 4g LTE plan for verizon phones is the same price as the data plan for 3G

      • Smartguy

        And 4G LTE Phones are currently NOT data capped.

  • Just Pops

    I feel the same way about the capped plans. I was looking to replace my internet provider with LTE. I won’t be now. Not unless they come out with something similar to Clear, which kinda sucks in Vegas.

    The real benifit is the coverage. If it does indeed hold to the map ill have 4G my cabin in Brian Head. As it is my 3G card works decent enough, most carriers can’t even send a text or make a call.

  • Briankeith06

    It’s actually cheaper for them to move more data across this “4g” network then the 3g. Yet its more expensive? Really? I understand there are cost in upkeep, expansion, labor, and equipment but they’re margin on this is crazy. Not to mention the data is capped.

    • trooth

      It isn’t more expensive. 3G plans are currently $60 for 5gb. This will move it to $50 for 5gb and $80 for 10gb. And $10 a gig for everything over. It is to keep leeches on the landline networks. One person torrenting at 40mbps can ruin service for everyone else if left to go uncapped all day long. The leeches are as much to blame for this.

    • http://pulse.yahoo.com/_F6PXYAVYC5UETRWE2GCFSZI4AM Dejan Jancevski

      Oh, I totally agree. Sprint is doing the same thing, only at least Sprint is offering UNLIMITED data on their so-called “4G” network. After all, try getting an HTC Evo 4G (or the Samsung Epic 4G) and NOT paying that dreaded $10/month added fee for “a richer data experience” b.s. that Sprint is shoveling down every purchaser’s throat.

      If these companies instead said that 4G would cost LESS than 3G, and you can have the option of getting a 4G-only connection for sub-$25 (data cards only), or a 3G/4G data card for $40 (capped at 5GB while on 3G each month), then it would make TONS of sense. But as the pricing stands now, their networks will be under utilized, and those who do pay for it will be paying through the nose!

      No thank you!

  • Anonymous

    $50 and $80 a month. Lol. I’ll keep $30 unlimited data. The 5mb down I’m getting now is pretty good for a phone.

  • Creekside

    Who is their targeted market? Everyone living in these cities already have cable or DSL at faster speeds, cheaper and uncapped. This is too expensive. Who cares how fast it goes if you have a cap? How could you use this as your home internet and why?

    • Smartguy

      Who cares how fast it goes? Really? Do you want to wait a few minutes for a download or a few seconds? 4G LTE is faster than DSL & equal to Cable speed & you can take it with you. 5GB is $50, 10 GB is $80 with 1 GB $10 overage. Most dont get to this level. Would not be ideal for movie streaming / heavy online gaming / large file upload, but is great for the masses.

  • Novakey25

    On my current service plan with verizon I have unlimitted data for 30 dollars a month. I would like to keep that.
    I am hoping that when verizon switches to 4g I can just buy a new 4g enabled phone out of pocket, no contract and still be able to keep may $30 per month unlimitted data access. I feel like I’m paying enough already.

  • Sadodgeguy

    we are getting 15-21Mbps down and 5 up on our in store demo in san antonio.

  • Ann

    5GB data per month would be great but not in my budget right now. How about 2.5GB for $25.00 per month. Data sticks should be $99.00 not $249.00.

  • Phillylois

    Tmobile has the same options for the contract and the data is less

  • JMW

    Verizon can keep their data plans too. I’d sooner find a mc donalds or free wifi hotspot than waste time giving them so much money. I choose not to buy one of the data phones because I don’t see the point in charing the same as my home internet for measily data rates on a phone that essentially is only good enough for email and blotchy gps.

    • Smartguy

      Just got Thunderbolt & 4G hotspot (currently free) is a few times faster than my DSL (cancelling it now) & just as fast as my neighbors Cable modem but i can take it with me where ever I go,,,what a concept.

  • Anonymous-x

    I have DSL but to get the 4G Mifi with a limit makes no sense. I have unlimited (better safe than sorry) & to buy a Mifi it better have unlimited too. Not everybody can get FIOS, some of us are limited to what to our selections by our locations. I’m getting tired of being backed into a corner.

  • Not as good as it sounds

    Don’t for get the $35 initiation fee every time you start the service. Yep, I called and asked twice, then I went to the store. Everyone agreed, It sucks. But the “initiation fee” is the price you pay for no contract.

  • Semicharmdlif

    This isnt news. Verizon has always let you purchase full retail with no contract on data or phone service

  • Peterkor

     its not good deal at all if its not unlimited , do you want to limit your self how much movies you gonna be able to watch – not too much with those gaps, or how much online radio you gonna be able to listen ?

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