Verizon's 4G pricing shift: Will you pay by download speed?

Verizon's 4G pricing shift: Will you pay by download speed?

Summary: Verizon Wireless is reportedly looking at new pricing models for its 4G network and one option is to charge based on data speeds.

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TOPICS: Verizon, Mobility
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Verizon Wireless is reportedly looking at new pricing models for its 4G network and one option is to charge based on data speeds.

In a Wall Street Journal interview, Verizon CEO Ivan Seidenberg said that the company's Long-Term Evolution (LTE) network opens up a bevy of pricing options. Verizon hasn't made any formal pricing plans, but options look like this:

  • Charge by data speeds.
  • Pay based on what you consume, or tiered data pricing.
  • Some mix of both formats.

Meanwhile, Verizon didn't completely rule out unlimited plans either. Verizon executives indicated that the company is working to "figure out what the customer thinks is fair, and go from there."

Now it's your turn. What pricing structure makes the most sense for you. Charging by data speeds is common in landlines. Is wireless fundamentally different?

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Topics: Verizon, Mobility

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22 comments
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  • RE: Verizon's 4G pricing shift: Will you pay by download speed?

    Unlimited plans *reasonably priced for the sake of all that is holy!* plus tiered plans seem to be the best way to make everyone happy. However, over-charge for those unlimited plans, and they can plan on unlimited ship jumping to other carriers.
    joe@...
    • RE: Verizon's 4G pricing shift: Will you pay by download speed?

      @joe@... True. But verizon is expensive. So I wouldn't be surprised if the unlimited plans cost an arm and a leg/
      Jimster480
    • RE: Verizon's 4G pricing shift: Will you pay by download speed?

      @joe@... I've been with Verizon for 16 years for cell service, 4 years for cellular broadband, and current economy considered, I'm leaving Verizon regardless! True, they have the best network, historically very pricey! Too pricey! I'm currently waiting a few more months to switch due to the fact of my subpar Samsung Rogue phone and its touch pad BS, that doesn't work part of the time, that they sold me, 2 weeks before the Android previewed! Not to mention the early termination fee change from $175 to $350! See ya Verizon! Wouldn't want to be ya!
      jameshenderson00@...
  • RE: Verizon's 4G pricing shift: Will you pay by download speed?

    Oh yeah, I'm SURE that what *I* think is fair is right at the top of their list.
    Playdrv4me
  • RE: Verizon's 4G pricing shift: Will you pay by download speed?

    I'm not a Verizon customer. I'm not even a 4G consumer. But I'd be far more inclined to pay by download "speed" if it was based on what I actually received at my device than some mythical value Verizon assigned.
    cuttsj
    • RE: Verizon's 4G pricing shift: Will you pay by download speed?

      @cuttsj Yeah but I hate to pay for all of the streamed ads that a lot of "free" apps come with. I am really worried about the day I can't make a regular phone call with out sitting through a 60 second ad first.
      mr1972
      • RE: Verizon's 4G pricing shift: Will you pay by download speed?

        @mr1972 If my experience at "premium" movie theaters is any indicator (did I just *pay* $15 for 20 minutes of ads before the show, followed by ads for upcoming shows, followed by two hours of who knows how much product placement... etc?), that day is coming just as soon as they can make it happen.
        Rob Perkins
  • RE: Verizon's 4G pricing shift: Will you pay by download speed?

    No, This is why I'm on Uverse/FIOS and was previously using DSL. I have a dedicated connection speed that will not slow down. Broadband does and I've seen people who refuse to pay the internet bill because they were promised a connection speed that was never met.

    As of this moment, Verizon's 3G connection does slow down based on how many users are connected to the current tower.
    Maarek
  • RE: Verizon's 4G pricing shift: Will you pay by download speed?

    I can already see the avalanche of customer complaints to no avail with customer service.
    customer: "Hi I'm being charged lots for 6 mbps but all day today I am only getting fluctuations of 2-6mbps"
    cust service: "no sorry we don't see that on our records, do you have proof"
    rengek
  • RE: Verizon's 4G pricing shift: Will you pay by download speed?

    Really, it's about type of use restrictions. What I want them to do is push my data bits at or above a guaranteed minimum rate, with four-nines reliability, while throttling, DOCSIS-token style, the throughput of data hogs and torrent bots.

    For that I'm willing to give $720/year for unmetered service, tethering included, on one device, $120/year for each additional device, and adjust that for inflation against the producer price index, those adjustments recalculated every three years. This assumes that I'm not also required to buy a "voice" or "texting" plan.

    Under those conditions I'd be willing to sign a promotional two-year contract with an honestly prorated termination fee with a discounted shiny data-pushing device.

    That's my opening bid.
    Rob Perkins
    • RE: Verizon's 4G pricing shift: Will you pay by download speed?

      @Rob Perkins

      First, of all, it's complete BS for them to sell a RATE and then fail to achieve that RATE, and then complain that it's all the fault of consumers who actually purchased that RATE with the audacity of actually using that RATE! Comcast(or any other ISP) is really upset that you were watching movies on Bittorrent and Netflix instead of Fancast, Hulu and whatever other dross they dug up. "Data hogs" is BS! We were promised a PIPE and as much stuff as we could squeeze through it. It's the SELLER's fault for LYING about the nature of their product in the first place.
      tkejlboom
      • RE: Verizon's 4G pricing shift: Will you pay by download speed?

        @tkejlboom I believe the reports they've published about 5% of users consuming 80% of the available bandwidth, so I'm not opposed to throttling throughput speeds on those users.

        That said I completely agree. These people are advertising a pipe for data. They should walk up to the advertisements and provide the pipe, for the data, and leave us alone about the type of data unless we clog the pipe. And then make the pipe big enough and smart enough to make sure we never clog it.
        Rob Perkins
  • RE: Verizon's 4G pricing shift: Will you pay by download speed?

    Regardless of what the market tries to sell you, pay only for what you value.

    One huge problem with the technology market today is that consumers are so impatient to have the latest gadget, regardless of whether or not it (a) has the features they most want and need, (b) performs as desired or (c) hits their desired price point, that they'll pay premium prices for sub-target technology and then complain about how disappointed they are.

    Well, here's a thought ... don't be in such a rush to buy the latest toys if they don't provide the feature/performance/value combination that you know will satisfy you. I know, I've been there ... I too have purchased way too many tech toys that weren't yet mature and that cost far too much. But let's learn the lesson, shall we? We're not kids any more. We are capable of exercising some impulse control. Insist on paying only what feels like a reasonable price to you for the features you actually value and only when they actually work as advertised. Do this, and you'll find your disappointment factor will plummet.

    Yes, this approach means delaying gratification, and not having the latest widget as soon as it flies out the factory door. But it also means not putting up with over priced, under performing technology. Right now, I own only technologies that fall within my personal feature / performance / value zone. Yes, there's a lot of new STUFF out there, but if it isn't mature and doesn't deliver real, reliable value, then we're just paying for status symbols.

    And if having the latest tech toy is a huge priority for you, then you simply have to recognize that (a) you are playing the role of test subject (b) you will pay a premium for what other will later get for free, and (c) you must balance the fact that you're the only one in your circle with THE latest with the disappointed you feel over the performance/value ratio of what you buy. It's always our choice.
    Trep Ford
    • RE: Verizon's 4G pricing shift: Will you pay by download speed?

      @Trep Ford

      I agree, don't be taken in by the hype. The mushrooming fees on smartphones are becoming a significant component of ones monthly expenses if you have taken the bait. I have not, I am waiting for more sensible rates and terms of service. On the other hand if Verizon had not placed caps including what were initially criminal overage fees in my opinion on their data plans, they would have a couple of thousand dollars more of my money by now. Those $500GB overage fees were beyond shameful Verizon.

      I want a smartphone that I can use with my laptop at terms that make sense. I can keep on waiting. My existing phone gives me the mobile talking and basic text and email that I need. Public and other accessible Wi-Fi points provide enough coverage that I do not feel compelled to subject myself to unreasonable terms and fees that Verizon currently charges for smartphone/talk/text/web/and tethering-mobile hotspot.

      In fact alternatives to wireless services are gradually increasing in availability. Wi-Fi may provide considerable flexibility down the road with new technologies and additional spectrum, not to mention an increasing number of open networks.

      One approach wireless providers might start working on is how to incentivize the use of wi-fi alternatives. For example if 20% of your data useage is accessed via Wi-Fi you get a $10 discount on your bill or an additional 1GB that can be rolled over the next six to twelve billing cycles. I like that idea I can't imagine why Verizon wouldn't.
      vzwcustomer
  • What 4G?

    Last I heard, 4G won't be with us until around 2014. Various standardization and regulatory bodies estimate the launch of 4G networks commercially between 2012 and 2015. Or has the definition changed? False advertising?
    richdave
  • RE: Verizon's 4G pricing shift: Will you pay by download speed?

    I hate Verizon! And that is why I am a customer of there's. WTF? They bought out Altell in Waco TX area, and seeing that my credit rating is smashed because of the current state of the economy, I'm pretty much locked into them. The reason for this post is to reafirm what has been said already here. The data speed charging will get out of hand, and BIG V will have the crappiest customer service- ' can you prove that' has already happened to me with Big V. They could tell where I was in west Texas, but they could not tell my downloading speed. So, like rengek has said above- 'prove it will become their motto for the future...
    jpnagle59
  • My vote is for...

    free, unlimited 3G and pay out the @$$ for 4G. I'm a late adopter.
    TaDaH
  • RE: Verizon's 4G pricing shift: Will you pay by download speed?

    Just another example of the insatiable greed of Verizon.
    ITOdeed
  • RE: Verizon's 4G pricing shift: Will you pay by download speed?

    I don't feel the need to always be "connected". I don't walk down the street texting everyone, nor do I want to watch videos on my phone (videos on my phone?). Consequently, I have a 0 (zero) G phone with texting disabled and I am happy with it. In fact, if I never received another phone call, I would not miss it. Ah, the joys of silence!
    Minervo
  • RE: Verizon's 4G pricing shift: Will you pay by download speed?

    I figure that Verizon Wireless is charging me about 40% more than the service is worth to me. Given the current economy, with stagnant wages and significant inflation, I'm trying to knock 20% off of every bill I have coming in. Taking all the bills that are stubbornly clinging to "good old day" pricing and tossing them into a pool, prioritizing my need for the services and eliminating the bottom 20% in cost. Probably go after another 10% next year.
    Right now Peek9 for wireless communications (e-mail, no voice) and an iPod touch with VOIP for voice at hotspots is looking pretty good.
    garycoryer@...