Unlimited Data Plans to End by Mid-Summer: Verizon CFO

Unlimited Data Plans to End by Mid-Summer: Verizon CFO

Verizon Wireless CFO Fran Shammo, speaking at a Morgan Stanley investor conference on Tuesday, March 1, let loose with the news that Verizon would be targeting mid-summer for an overhaul of its data plans, with tiered pricing coming. Naturally, that sounds like it will arrive right at the same time that the iPhone 5 does.

Shammo said the following, explaining why they haven't changed to tiered pricing yet. It sounds like it was all about sucking in iPhone buyers, to be honest:
Why did we do the unlimited $30 plan on the iPhone? Well, the reason we did that was we didn't really want to put up a barrier to anybody who wanted to come over and experience the Verizon Wireless network. So we felt it was important to go out at the $30.

But I think everybody would know that that is not a long-term strategy. That we are going to move to a tiered price [level]. So we will probably do that probably in the mid-summer timeframe, somewhere in that perspective.
Shammo didn't go into details on how the plans might work, although he mentioned that the HTC Thunderbolt, the first LTE handset on their network, will (when it launches) give buyers an idea of how things will work. At the same time, Shammo kept mentioning the $50 a month for 5GB / $80 a month for 10GB LTE modem data plan prices, which could be a clue to (we hope) upper level tiers on the network.


However, the carrier is reportedly still unclear on how it wants to generate those tiers. It could do so via amount of data, or on speed, or on some combination of the two. It is also unclear if Verizon would allow grandfathering in of existing customers with unlimited data packages.
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And I'm never going to Verizon.

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I have been with Verizon for years, and of course I am looking for a smart phone right now as well. The coverage where I live is flawless, but that is the case with At&t, and Sprint as well now, from what I have heard on T-mobile that is not the case, but neither I or anyone I know have direct experience with that either. On Verizon with a family plan and no data there plans cannot really be beaten here, and as I said the coverage is flawless. However on a single line Sprint definitely beats them. The coverage with Sprint is good here, but not quite as good with Verizon, At&t seems to match Verizon coverage wise here, but is more expensive. Of course MetroPCS beats them on price, but you have to buy an entire phone, so it is more to start service with them really.

As far as it goes the iPhone deal on Verizon was for pure attractiveness to a new crowd. You have to think about it before they got the iPhone the dominated to an extent on Android devices. So now they have both Android and IOS devices, supposedly Win7 phones are coming to, and they also already had BB's as well. Supposedly everyone has updated coverage here to, but as I said with T-Mobile I know no one who uses it, and there maps stink so whatta ya do really.

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Basically, if they don't grandfather me in, I have the right to terminate without paying a fee. Since they would be changing the contract SIGNIFICANTLY, I doubt they could argue much. It doesn't normally need to be significant change but it can be a pain to argue with them.

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I hate to say it, but most contracts when signed upon, they have a clause that states that they are allowed to change your services. At least up here in Canada they do that.... The only reason they continue with grandfather plans is simply because it is expensive for them to change around your information too much...But that only lasts till a certain point. , after that you'll probably need to make the move.

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and the news gets worse and worse

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Sure they can say that in their terms of service, but it won't hold up in court.  There are lots of things companies put into terms of use/terms of service that are unenforceable and get thrown out the first time it goes to court.  The thing is, it is a contract and there are legal limits on what you can and can not do with a contract which will override whatever is in the actual contract.

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