AT&T increases data plan prices

AT&T on Wednesday announced increased data rates for smartphone and tablet customers that will go into effect next week. The mobile operator is scrambling for new ways to address the broadband crunch after dropping its $39 billion bid for T-Mobile USA, which would have increased its spectrum by 62%.

Data usage is increasing by 40% each year, according to Mark Siegel, executive director of media relations at AT&T (Dallas, Texas, USA), which means the service provider needs to find short and long-term fixes for its spectrum shortage.  These new data usage changes can perhaps be seen as a short-term fix for this long-term problem.

The new data changes include paying $20 for 300MB, as opposed to the previous price of $15 for 200MB.  For the larger data plans, customers will now pay $30 for 3GB – previously $25 for 2GB- and $50 dollars for 5GB- previously $45 for 4GB.

"Customers are using more data than ever before," said David Christopher, chief marketing officer, AT&T Mobility and Consumer Markets. "Our new plans are driven by this increasing demand in a highly competitive environment."

AT&T’s new prices come very close to resembling that of the number one U.S. telecom carrier.  Verizon’s (New York) data prices include $30 for 2 GB, $50 for 5 GB and $80 for 10 GB.

Both Verizon and AT&T have dropped their unlimited data plans.

AT&T says it encourages its customers to keep their device's Wi-Fi turned on because data usage over Wi-Fi does not count against a customer's monthly data plan.

These new data plans are only for new customers; existing customers may choose to keep their current plan or switch to a new one.



Featured Reports

Current State of Fifth Generation (5G) Cellular and 5G Technologies

This research provides an in-depth assessment of both technical issues (enabling technologies, 5G standardization and research initiatives, spectrum bands, etc.) and business areas (market drivers, challenges, use cases, vertical market applications, regulatory issues, trial commitments, introduction strategies, and impact to CSPs), as well as analysis of the emerging 5G ecosystem.

Click to learn more

Understanding and Capitalizing on Mobile Payment Systems

Mobile payments is rapidly expanding with solutions, applications, and services. Mobile payments systems include technologies and solutions that deliver electronic commerce features directly across mobile-wireless devices. This report provides an understanding of mobile payments technologies, systems, major players and solutions, and an overall forecast for mobile payments for five years.

Click to learn more

More Featured Research

Access the exclusive new series of market research reports brought to you through the partnership of Mind Commerce research and

See all reports