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The dominant networks in the US market are dropping unlimited data deals like a hot potato, but their smaller rivals think that gives them a valuable weapon. Both T-Mobile and MetroPCS are offering new deals on unlimited data.
Verizon and AT&T have both closed unlimited data to new customers and are using a range of tactics to persuade existing customers to switch to fixed data limits. Verizon is not allowing subsidized handset upgrades unless you ditch unlimited deals, while AT&T is restricting unlimited data iPhone customers to using FaceTime over Wi-Fi only.
Number three Sprint still markets itself as the only provider of truly unlimited deals (covering calls, texts and data) to new customers, but the fourth and fifth biggest firms are both getting in on the act.
T-Mobile (#4 in market share) has always offered “unlimited” data deals but with a significant limitation: customers who used more than a set amount of data would have their access speeds dramatically slowed for the rest of the month.
Now it says there’ll be no such restriction on its unlimited data packages, which cost $30 on top of the basic fee for calls and texts. There is one technical limitation: unlimited data users won’t be allowed to use their phone as a mobile hotspot. That seems reasonable enough given the risk of people absolutely hammering their connection on a laptop.
Meanwhile MetroPCS is offering an unlimited calls, data and texts package that supports its 4G LTE service. It will be $55 a month to start off with, though the firm is emphasizing it is only an introductory offer. The most credible predictions have the price going up to at least $70 in three to six months.
In theory these new deals and tweaks are an example of the market working and customers having the opportunity to vote with their feet and switch to suppliers who offer services that the big firms either can’t or won’t offer. In practice, the hassles of changing network, coverage limitations among smaller networks, and the varying availability of specific phones means even those who’d be prepared to pay for unlimited data may not make the switch.
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