Verizon plans to kill unlimited data plans as the global iPhone 5 draws near

Verizon plans to kill unlimited data plans as the global iPhone 5 draws near

Summary: Verizon CEO Fran Shammo had much to reveal today on both the future of Verizon's unlimited data plans and whether the next iPhone would run on its LTE network.

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It's official: Verizon's unlimited data plans don't have much longer to live.

The confirmation comes from Verizon CEO Fran Shammo, who told Reuters that the the unlimited data plans would be replaced by tiered service plans aimed at heavy users. Verizon's tiered data plans would likely mimic AT&T's own, which offer 250MB of data for $15 per month and 2GB for $25.

Shammo also said that Verizon is also preparing "mega plans" for data aimed at families. These plans, which would offer a set amount of data for one set price, would be shared among multiple phones in a household. These plans would operate in a similar fashion to Verizon's current shared minutes plans.

Both of these changes come as Apple readies the release of the iPhone 5, which is widely expected to appear this fall. Shammo had a few interesting details on the Apple front as well. For one, the CEO confirmed a detail that most already suspected: Verizon and AT&T will get the iPhone 5 at the same time, thanks to the nifty GSM/CDMA Qualcomm chip included in the iPhone 4.

Shammo, however, could not say whether the next iPhone would take advantage of Verizon's steadily-expanding 4G LTE network. While the consensus so far seems to point to Apple nixing LTE support, the possibly can't be ruled out just yet. Either way, Shammo said that he isn't concerned, and that a 4G iPhone was a bigger deal for Apple than Verizon.

Curiously, China Mobile today confirmed that it had reached a deal with Apple to offer 4G access to iPhones on its network. So don't kill the 4G iPhone dream just yet.

[Via Reuters]

Topics: Smartphones, Hardware, iPhone, Mobility, Verizon

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29 comments
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  • No LTE and I'll stick with AT&T

    The only thing that would be worth switching to Verizon over would be LTE support. We'll be getting iPhone 5s (my wife and I love our 4s) either way, but it's just not worth losing the ability to access the Internet while you're talking on the phone. It comes up so often that we'll be on the phone and need to look at a map or do a quick Google search (probably because we're used to using Bluetooth headsets so the devices are in our hands while we're talking). If LTE is supported though, and the latency is as low as people are saying (3G peak speeds are already fast enough but the response time is just too slow), it would be worth the switch. Honestly, if Apple doesn't release an LTE phone this year there are some really good looking Android phones coming (especially the Samsung Galaxy 2) that WILL have LTE and we may make the platform switch.
    timothyt@...
    • RE: Verizon plans to kill unlimited data plans as the global iPhone 5 draws near

      @timothyt@... Simultaneous voice and data has nothing to do with LTE. New verizon phones are getting the SVDO version of the EVDO chip which allows talk and data. It just so happens that some are getting an LTE chip too. SVDO is just two EVDO chips on one wafer. Good to verify it prior to purchase though.
      LarsDennert
  • RE: Verizon plans to kill unlimited data plans as the global iPhone 5 draws near

    I have been asking Verizon to have a single data plan for netbook and phone for the past several years. It never seemed to make sense to anyone that I spoke too. The word bundle, seemed to throw them into a land-line, cable and wireless speech.

    A single data plan that I can use with a Chromebook / Netbook / and phone is all I'm asking for. how hard is that to understand - much less make it happen?
    fdaugherty
  • RE: Verizon plans to kill unlimited data plans as the global iPhone 5 draws near

    So, in effect, AT&T = Verizon, if you forget about the coverage and AT&T (GSM) and Verizon (CDMA). :) In my opinion, I see it this way as "no competition -- it's either AT&T or Verizon."

    Hmm... Will T-Mobile and Sprint follow suit with AT&T and Verizon?
    Grayson Peddie
    • Here is my opinion.

      @Grayson Peddie It doesn't matter what TMO does because AT&T will own them soon, but Sprint on the other hand has to offer the best plans possible to compete with everyone else. I don't see them taking away unlimited data or anything in the near future. They need to offer people something that everyone else no longer does.
      Bates_
      • RE: Verizon plans to kill unlimited data plans as the global iPhone 5 draws near

        @Bates_ Not to mention the smaller carriers like Metro that offer unlimited everything for $50. This tiered data is not a surprise. VZW was offering a promo one year unlimited data for $10. Basically, trick people off their regular unlimited plan so that after a year they drop into the tiered system without a grandfathered plan.
        LarsDennert
    • RE: Verizon plans to kill unlimited data plans as the global iPhone 5 draws near

      @Grayson Peddie
      ATT is buying T Mobile. So soon it will no choice allowed..
      rparker009
    • For a lot of us, this will mean LOWER rates!

      @Grayson Peddie I'm averaging less than 500MB per month on my current unlimited plan which I pay $39 per month for. If I switch to the new tiered pricing, I could get the 2 GB for $25 which gives me more than 4x my typical data available and costs me $14.00 per month less.

      Works for me.
      cornpie
  • Typical bait & switch

    Offer something too good to be true and once they're hooked, time for the price gouge and the bandwidth caps.

    I hope they're stupid enough to keep using the word "unlimited" in their advertizing and get sued like Comcast did.

    Chumps.
    blind obedience
  • RE: Verizon plans to kill unlimited data plans as the global iPhone 5 draws near

    Well, I don't mind caps per se, their "unlimited" has always had a 5 Gig cap on it anyway, and in fact there can never BE an unlimited plan anyway sine you can only push a finite limit of data through a pipe over a 30-day biilling cycle at a given speed. (24/7 over 30 days @ 2 Mbs = 267 Gigs).

    I only hope that Verizon allows multiple devices per data plan (modems netbooks tablets mi-fis as WELL as phones). Like the ability to "register" 4 or 5 devices to one "mega data plan" , register/activate when needed, deactivate when not.
    podstolom
    • RE: Verizon plans to kill unlimited data plans as the global iPhone 5 draws near

      @podstolom

      Then have them stop using the word, "unlimited". Let's have some truth-in-advertising and stop treating your customers with contempt.
      ScorpioBlue
      • RE: Verizon plans to kill unlimited data plans as the global iPhone 5 draws near

        @ScorpioBlue No such thing as truth in advertising. I shake my head every time I see Dish/DirecTV/Cable commercials, all claiming that they have way more HD channels than the other guys.
        Aerowind
      • RE: Verizon plans to kill unlimited data plans as the global iPhone 5 draws near

        [i]No such thing as truth in advertising. I shake my head every time I see Dish/DirecTV/Cable commercials, all claiming that they have way more HD channels than the other guys.[/i]

        Well if that's true then that's another lie that needs to be sued.
        ScorpioBlue
  • RE: Verizon plans to kill unlimited data plans as the global iPhone 5 draws near

    Just Three Words : "Skype on Smartphones".
    TheMadPirate
  • RE: Verizon plans to kill unlimited data plans as the global iPhone 5 draws near

    What if you're already on an unlimited plan?
    chethammer
  • Save the Millions that go to the execs.

    In Asian countries, they are rapidly expanding and speeding up. Re-investing into the company to make it grow. I haven't heard of a single news story saying that Japan is going to cap their customers usage.

    Come to America, and High speed is met with High costs and Caps. Caps and Costs are designed to make millions in perks and bonuses for the execs and stockholders while delaying improving and expanding the system.

    It truly is a sad day in America when A communist country trounces a capitalistic country. Yes, even China blows the data dust in American eyes. The consumers of America need to revolt against these robbing greedy companies, from telecoms to banks to insurance to big oil.

    What is wrong with America? Almost everything, it seems.
    david@...
    • RE: Verizon plans to kill unlimited data plans as the global iPhone 5 draws near

      @david@... Yep. I've been comparing the US wireless industry against European, Asian, and Latin American metrics for years, and every time, it becomes quite clear where American Corporate priorities are. Provits and ever-increasing dividends to private investors. As for "communist" countries trouncing capitalist countries, I have no problems with that if the facts show that the "communist" countries have proper priorities and are managing their infrastructure properly.

      I see countlesss examples of this: e.g.
      1 Europeans deciding to unify LTE deployments across a common frequency (1800 MHz).
      2 No extra charges for tethering phones to laptops
      3 Competive standardized tariffs (rates) and interoperability across carriers and countries
      4 Multiple devices per account (they just give you another SIM to use in your secondary device
      5 NO accountaability to private investors with strong state subsidy of the public infrastructure

      Contrast this to American business practices:
      1 Fragmented LTE deployments and incompatibility between carriers
      2 Tethering charges out the whazoo with additional caps and restrictions on use
      3 Collusion and price-fixing on exhorbitant rates
      4 One device per line, no data sharing between lines
      5 Investor-driven (Craig Moffett), cable companies in North Carolina fighting to prohibit municipal broadband buildouts

      THAT'S what is wrong with America.
      podstolom
    • You are absolutely right.

      In Japan if a company was going to cap customers usage, they would be out of business about as fast as customers could run to another company. In Asia it's all about the service, not the phone (which are usually bought outright). So if service isn't up to your strict standards, you simply move to one of the MANY companies.
      I wonder how they are going to keep pushing more and more internet intensive phones, if the cellular companies are going to keep raising prices and lower data caps on their phones?
      And I doubt it's a coincidence that the data rates will be exactly like AT&T's. (HEY, Trade Commission , Justice department... anyone noticing anything yet)

      I think it might be time to start to break up the giant cellular companies. Not to mention start regulating landline ISP's. Its like the want to control how the internet is used...
      wait... cable companies... phone companies...cellular companies... Of course they do!!
      el1jones
    • You Said it there..

      @david@..

      Where there is Capitalism, Greed is not far behind. American companies have always gouged the public And Since they control most of the politicians, Consumers are left to fend for themselves.
      lenohere
      • RE: Verizon plans to kill unlimited data plans as the global iPhone 5 draws near

        @lenohere Give me capitalism and greed any day over socialism and poverty.
        non-biased