With AT&T having eliminated its unlimited data plan with effect from Wednesday, there are speculations galore about how the rival carriers – Verizon, T-Mobile, and Sprint – will react to the move.
According to analysts, AT&T’s decision to end unlimited data plan will apparently spell increased profit margins – along will lesser strain on the network - for the carrier; thereby tempting rivals to take the same route.
AT&T’s new plans for new as well as existing users include a $25 plan for 2GB data per month; and $15 for 200 MB data per month – with additional charges for surpassing the given limits. Though current users also have the choice of continuing with their unlimited data for $30 per month; they cannot avail the facility once they change over to the cheaper plans.
With regard to the speculations about the rival carriers’ reaction to the AT&T move, Nielsen wireless specialist Roger Entner said that Verizon will probably “move the quickest” in following the AT&T rate change because the carrier’s “data consumption is growing substantially.”
Though some analysts opine that Verizon may decide to pull the away from unlimited pricing only after it launches its high-speed network later this year, Entner says: “Verizon is very quick to respond. If they see in their numbers that the AT&T price change is moving customers to AT&T and away from Verizon, then they'll follow.”
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