T-Mobile is hoping to take its Uncarrier pricing model to the Internet of things.
The wireless carrier outlined Magenta, a narrowband IoT plan that runs $6 a year per device up to 12MB. T-Mobile said it is aiming to undercut Verizon's Cat-M IoT plans.
CAT-M is LTE for machines and uses low power and works with existing LTE networks. NB-IoT uses narrowband spectrum and doesn't need a gateway.
T-Mobile launched its NB-IoT network in October and plans a nationwide launch in the middle of 2018. T-Mobile is working with u-blox and Sierra Wireless to launch the network.
For T-Mobile, the NB-IoT network and plans could be a key way to expand its business reach. While T-Mobile has been a big consumer success, the company is still refining its pitch for businesses. The company has said it is focusing more on businesses of all sizes for growth.
If T-Mobile can land customers for its NB-IoT network, built on the 3GPP standard and LTE-Advanced technology, it can upgrade those devices to 5G later.
T-Mobile said its $6 price per device is available for a "limited time." The NB-IoT network is designed for applications that need low bandwidth and long battery life. These devices would be used for asset tracking, smart city and other enterprise uses.
According to the carrier, it will offer Cat-M service nation wide shortly after the NB-IoT rollout.