T-Mobile was the first wireless carrier in the US to cut ties with subsidizing phones for its customers, but in doing so they set forth a ripple effect that has convinced the other carriers to follow suit.
Advertisement
With the new plans, you simply need to choose how much data you’d like. However, when you do switch to the new plans, you’ll have to buy your phone using monthly payments because there will no longer be a contract option. This “Uncarrier” rebranding has been quite successful since then, as more consumers are opting to pay for their phones and save on their service fees, instead of tying themselves down to an (often) onerous two-year agreement. In many cases, customers will save small money on their current bill. Verizon termed the move as simplification of its plans. Verizon’s Moreplans includes Everything Plan is $150, while T-Mobile charges $110 for a comparable plan.
If the plans are easier to get your head around than some, they aren’t always cheaper for customers, which differentiates the strategy from Verizon’s rivals. There will be only 4 major data plans, starting August 13. The base monthly data fees are 1GB for $30, 3GB for $45, 6GB for $60, and 12GB for $80.
The new plan’s “small” package offers 1 gigabyte data and “x-large” offers 12 gigabyte, and all are shareable under family plans. Over 24 months, a consumer would end up paying $456 for the phone. (No more varying access fee depending on plan cost.).
The LA Times reports that existing customers can keep their current plans.
Under pressure from trends in the industry, Verizon is simplifying its wireless plans for new customers.
Additionally, the company also removed its 500MB plan, which was priced at $20.
Advertisement
On the new plan, every smartphone line is $20 a month, tablet lines are $10 a month and lines for devices such as smart watches are $5 a month. If you have a large family, that adds up quickly. Typically, carriers would offer a smartphone at a substantial discount in exchange for a two-year contract.
