Hugo Miller and Olga Kharif report for Bloomberg, “AT&T Inc.’s decision to scrap unlimited data plans for new customers has prompted a backlash from bloggers and consumers like Danette Collins. ‘As soon as I can get out of the AT&T plan, I’ll switch to Verizon,’ said Collins, a finance and operations manager in Portland, Oregon, who has AT&T service for her iPhone. ‘They’ve just shot themselves in the foot.'”
“AT&T, the second-largest U.S. wireless company, is battling network congestion as it tries to manage soaring demand for data-hungry devices such as Apple Inc.’s iPhone. The carrier said this week it will cut wireless data-plan prices for most users and stop offering unlimited data plans,” Miller and Kharif report. “Though Dallas-based AT&T has the highest-speed data network, it has the most frequent dropped connections, according to a study by PC Magazine.”
“‘They’re trying to make us use the network less rather than invest in the network,’ Jeff Jarvis, who writes the BuzzMachine blog and has AT&T service for his iPhone, said in an interview,” Miller and Kharif report. “AT&T will provide a 200-megabyte plan for $15 a month and a 2-gigabyte package at $25 that compares with current offers of $30 for unlimited data use. Users who exceed the 2-gigabyte level can pay an extra $10 per month for an additional 1 gigabyte of data service, according to a statement. AT&T is also replacing its unlimited monthly plan for iPad tablet computers with a $25 plan offering 2 gigabytes of data.”
Miller and Kharif report, “Existing AT&T customers can keep their unlimited data plans, the company said. ‘For most consumers this is a good deal’ as their modest monthly data use would qualify them for a cheaper plan, Mike Gikas, senior editor at Consumer Reports in Yonkers, New York, said in an interview. ‘The concern is that given how they’ve changed the plan like this without warning, there’s no stopping them from doing it again if they find it’s not as profitable for them.'”
“How AT&T’s business is affected by the pricing changes will depend in part on whether other wireless carriers follow its lead. Heavy-data users may defect to Verizon Wireless if that company keeps its current pricing, said Barclays Capital analyst James Ratcliffe,” Miller and Kharif report. “Verizon, the largest U.S. wireless carrier, declined to comment on whether it will scrap its advertised unlimited plan, which carries extra charges if customers use more than 5 gigabytes of data a month.”
Full article here.
[Thanks to MacDailyNews Reader “Fred Mertz” for the heads up.]
Sadly, there’s no guarantee Verizon will be any better. But this does threaten to turn into enough of a problem that it will become a serious liability for Apple to remain exclusive with AT&T.
I’m not a huge fan of AT&T;, but give me a break. The unlimited data plan over cell networks just couldn’t last as a concept–not when data demand is so high, and is going to get higher as video comes around. AT&T;and all other carriers are a for-profit business–they are under little obligation to provide services to us for free or at cost. Having a tiered data plan makes total sense.
Having said that, charging extra for tethering, while providing no extra bandwidth, is complete bullshit. Makes zero sense, can’t possibly make AT&T;all that much money, and is only going to piss off consumers unnecessarily.
Also, they should have an unlimited plan for data as well. Charge $40/month or something, but give folks the option.
Ouch! Not unexpected, it is At&T;.
Innovation and customer service are’t their strong suit.
Hello there Sprint, will be nice seeing you with an iPhone and way better pricing than verizon. Would not shock me to see this happen. 2GB a month?? thats it? And you can now tether?? Wow, tether that to your laptop and watch yourself hit the limit in a matter of a few days. A couple weeks at the most for some.
Simply fascinating how the raging complainers are all now declaring that they will leave for Verizon! This really makes absolutely NO sense!! Let’s review (for those in the back row):
1. You have $30 per month unlimited plan.
2. AT&T announces that the new iPhone customers will no longer be able to get the unlimited plan;
3. You can hold on to your unlimited $30 plan indefinitely, even if you want to upgrade your iPhone to the newer model.
Once again, why are they switching to Verizon? How are they affected/reamed/raped/ripped off by AT&T here???
Stop complaining. You want tethering don’t ya’?
MM
This will drive more iPhone users (current and potential) to Verizon’s Droids unless VZ gets an iPhone real soon. Like announced this month.
And I am one of them, put me in for four VZ iPhones if they are announced soon, otherwise I’ll be going with another loser (probably a Sprint EVO or VZ Incredible). Better than nothing!
Best to stay with the $30 unlimited plan for a couple months until you see how the new video chat impacts your data usage.
@Chen the thief
How about youtube usage? im sure with emails, and youtube alone people would suck up a bunch of data.
people really need to look at their usage, the 2GB Datapro plan would probably meet most people’s needs with room to spare and save $5 a month. For the people that are already on unlimited, they keep that plan based on what I read, these changes would affect new users, not existing, seems like there is a big to-do over nothing.
Now every commercial from everyone else will start boasting about unlimited data connectivity / downloads / whatever… it will happen.
There are two things that make this ‘backlash’ so ironic:
1. Those who are complaining are those who already HAVE iPhone and are never going to be affected;
2. Those who WILL be affected (such as myself, who has yet to buy an iPhone) are thrilled that they can finally get an iPhone without being monthly raped by AT&T to the tune of $30. If I’m anything like 40% of US iPhone users, I’ll comfortably fit below 200MB, and will therefore spend $15 per month on data most of the time. My wife most certainly won’t ever go above that limit (web, e-mail and very rare, occasional YouTube; I’d be surprised if she hits 100MB in her best month).
As a member of a very large silent majority who is thrilled by the sudden affordability of an iPhone plan in the US, I would really like to ask all of you who already have your $30 plans (and can keep them as long as you wish) to please stop complaining in my name. I won’t even mind if you continue to rape AT&T’s network, milking your $30 for all it’s worth. Just don’t pretend to represent majority of current or future iPhone owners in the US.
i contacted ATT and they told me that since I ordered my ipad weeks ago, and its delayed in shipping, they will still honor the unlimited data plan for me even if i get it after the 7th.
Like I said in a previous post, UK users can get a 10GB/month iPad plan for $22. US data charges are outrageous.
=:~)
Huh! Verizon? They just sent my wife an $800 bill for my son going over their “Unlimited Data” plan….All the telecoms are sock cuckin’ swass ipes.!!!!!! Use ’em or lose ’em!!
:-o<====3 3-o-;
Dumb pipes require metered pricing.
Does your gas company offer an ‘Unlimited” plan? Your water company? How about your electric company?
It’s unrealistic to expect that ATT was going to be able to offer an “Unlimited” (which was limited, by the way) plan forever. OTOH, the benefits of a “dumb pipe” business model are many: companies will compete on (and invest in) the quality of their pipes (i.e. coverage, speed, etc.) and/or price, instead of trying to differentiate using stupid “services” such as “V-Cast”, etc.
Assuming that other carriers will soon carry Apple mobile products (which I believe is true), then this is a good thing. If you think ATT is too expensive, some company will come along with a cheaper alternative. If you think their coverage sucks, another company will come along with better coverage for your area.
But this competition wouldn’t be possible with an “unlimited” expectation in the market, because smaller companies wouldn’t be able to predict their growth, and wouldn’t take the plunge out of fear they wouldn’t have the capital to build-out their network to keep pace with demand.
This was an inevitable, and good development.
This isn’t specifically ABOUT tethering (although I’m sure that weighs in a little). This is about the upcoming features in the NEW iPhone. Mark my words, if the new iPhone actually does have a forward and rear facing camera, like the leaks show, then that means iChat on the iPhone.
At&T;is positioning themselves for the increased bandwidth demands from people wanting to use that video chat with the new device and other apps that might use it. Any other talk is strictly a smoke screen to justify the increases.
At least thats my best guess… Don’t be a lemming.
@ Chas
In the US, the Last Mile is sometimes 500 miles long. The UK is the size of Oregon.
Chas, my dear moron, the cost of placing cell tower coverage over the continental U.S. vs. the fscking tiny UK needs to be factored into your retarded math.
@ all the people yammering on about how most people don’t use more than 2GB anyway – what short-sighted thinking! This is going to change rapidly, or it’s going to severely cramp innovation on the Internet.
One of the major features of the iPhone experience has been that we can just access the Internet without worrying about our data usage. It’s ridiculous and highly disingenuous to pretend that AT&T’s changes are no big deal.
@hairbo
I agree that this was bound to happen. However, they could have done a few things differently
1. They could have kept the unlimited data plan – albeit at a higher price (maybe $35 or $40). Most people would have opted for one of the lower cost plans anyway.
2. If they had to charge for tethering, they could have thrown in some extra bandwidth. Or else they could have a free (or minimal cost) tethering option without any additional bandwidth.
3. They could have dumped their stupid policy of charging extra for texts. Texts are data and should be counted towards your data limit.
Had they done all of the above, the outrage over their plans would have been a lot less.
– HCE
The (true) statement, “The distance one can travel in outer space is unlimited.”, when read and interpreted by an ATT policy maker means, “The distance one can travel in outer space is 2 billion miles.”.
ATT needs a dictionary, badly.
It is worth mentioning again, since most complainers keep ignoring (or are ignorant of) the following fact:
98% of iPhone owners use less than 2GB per month (that is ninety-eight percent).
40% of iPhone owners use less than 200MB per month.
Therefore, only 2% of iPhone owners will benefit from keeping their $30 plan. The remaining overwhelming majority will save money by switching to a cheaper plan.
It will be interesting to see how many actually do switch. One thing is very clear, though; AT&T will obviously not be making more money from iPhone users, once people start switching to more appropriate plans for themselves. I’m still not quite sure what is it that they hope to achieve here. Right now, the most likely thing is that they might ‘encourage’ the future heavy users to curb their usage to avoid heavy overages. Since they’re offering existing users to keep their unlimited plans, they can continue to suck bandwidth as they please. So, to me, this clearly looks like the most consumer-friendly way to attract new consumers by offering much lower data rates, without imposing any practical limitations.
Don’t forget, Verizon’s “unlimited” data plan is anything but “unlimited”. If you suck down more than 5GB, you’ll be slapped with a monster overage charge there as well.
The article just said that VZ’s “unlimited” plan was actually 5 GB with additional charges for going over. How’s that unlimited again?
I’m guessing was done as a way to lock in users who’s contracts have expired. If you are currently on an unlimited data plan why would you ever leave?
As soon as Apple announces VIDEO CONFERENCING on Monday, users will panic. Either way, you’re stuck with AT&T;, who absolutely positively sucks complete ass. They are the only carrier which doesn’t provide 3G service in my area. 1000% guarantee, I will never subscribe to AT&T;ever again.
ChrissyOne,
I’d say “great minds think alike,” but, in order for that to be true, you wouldn’t have voted for Obama.
Maybe you didn’t, but your posts sure make it seem like you did.
If you think AT&T;’s new plans are horrible and you want to go to Verizon then go… good riddance. Looser.
I use my iPhone daily to send work E-mail, personal, add pictures to Facebook, watch You Tube videos, listen to online radio send documents and on and on and on… And in the last ten months I have used 4.4 GB of data.
People need to chill out and try to understand that this will negatively affect maybe 1% of AT&T;’s total users who use insane amounts of 3G data on a monthly basis.
No story, move on.
“or it’s going to severely cramp innovation on the Internet. “
…or it’s going to severely stimulate innovation in new networks.
A lot of people say that the new “unlimited” limit of 2GB is more than adequate for the vast majority of iPhone users. I agree that before June 2010 that was true. After June, when we have video chat on the new iPhones, that will no longer be true. I think ATT sees this and are taking steps to insure that the increase in data created by video chat will be curtailed somewhat, or at least be another avenue for revenue.
@ Economics for Kindergartners
My vote was to keep Sarah Palin as far away from the white house as possible. It was the only logical vote. Anything else would be based on emotion.
The ‘unlimited’ model for ‘dumb pipe’ type of service isn’t unprecedented. Traditional land line phone companies have always had ‘unlimited’ model for at least part of their services (local calls), and for several years, they have also been offering flat-rate plans for all domestic calls. Same goes for cable service, where you get a hefty bundle of some 500 channels for a flat fee, even though you never ever watch at least 400 of those.
The point is, in such a model, vast majority of users are subsidising usage habits of a fringe minority that uses the system way above average. With the new plans, AT&T is now giving a break to the 98% of their users who were previously subsidising the 2% minority of bandwidth suckers.
The new plan will put the iPhone into the hands of millions of people who were never considering it because of the data plan.
Verizon would NOT be any better. Sure they have better coverage for phone calls, but their network is no faster and does not even allow use of data and voice at the same time.
Verizon is also the king of nickel and dime for their customers. They find anything to charge you for. I have a BB and USB modem for my MacBook Pro on Verizon and an iPhone and iPad on AT&T;and use all of them daily.
Unfortunately, all broadband will go to a metered type of charge sooner or later. I am not happy about the new plans, but i most certainly get why it is the future like it or not.
Where does one email AT&T;about this. I’d email the CEO but…..we know what happens there
Scraping the unlimited plan was Bass Aackward and Nucking Futs!
People, seriously. If you check your data usage with AT&T;you’ll most likely find out this entire thing is not problematic for you. In fact, you’ll probably even be able to change to a limited plan, not change your habits one bit and save on your monthly bill.
The only gripe I have with them is their low end plan is just on the border of being not enough for me. I use an average of 220 MB per month of 3G traffic. If they offered a 300 MB plan at a reasonable cost I’d definitely jump at that.
Another thing the needs to be considered is iAds.
The simple ads that are basically just banners aren’t to big (data wise) but the feature rich ones will be (videos, graphically rich mini games, etc..) which will eat up data.
Now most will say i just won’t touch/view the iAds, and thats fine for the end user, but will suck for developers release no-cost games that use iAds, and for advertisers in general/
Guess we will have to see how all that is handled.
I use less than 200M a month, I am fine with paying less.
What AT&T;is trying to do is to curb careless use of the bandwidth, streaming music and video.
Why listen to the radio over cell?
I guess we will see some improvements.
However, AT&T;should offer unlimited plan as well for those who need it, $50/m?
There seems to be mixed reports regarding if and when the unlimited data plan will affect existing users. Some folks, like Singidunum state that existing customers (most of us) will never be affected. Others (and I tend to believe this camp) are stating that once we get a new iPhone, there goes the unlimited bandwidth since we are technically signing up for a new plan. Perhaps Signidunum and others mean we will never be affected as long as people do not change devices? Anyone know for sure? Like I said, I’ve seen both interpretations. Probably too soon to tell.
While I agree that 2 Gigs is enough for most people TODAY, that may not (probably will not) be the case in the future. If Apple was going to promote 2 way video conferencing as one of the major features of the new iPhone, then ATT just dealt them a huge blow. Apple (Steve Jobs) must be fuming – especially given that so much about the latest iPhone has already been leaked.
If there is one thing I’ve learned it is if a company WANTS you to do something – then it’s in THEIR best interest and not yours. ATT has taken a cue from Steve Jobs. This move was a small move in their chess game. As data usage grows due to increased capabilities of cell phones and other devices, so will the overage charges and thus their profits. Otherwise why put in an “artifical” cap which affects only 2% of the users? I’m going to stand still as long as possible while ATT shouts “Jump!”.
Thanks.
One more thing, the day iPhone will be available on Verizon’s network is the day Verizon’s network will slow down to a crawl, and we then will see Verizon’s unlimited plan disappear.
As for video chat, before proclaiming stuff, please, folks, do your math.
iChat officially has the ability to limit bandwidth to 100kbps. I have been using it for the past 8 years (on daily basis), since it was called iChat AV beta. I have had sustained audio/video connections as low as 50kbps (dial-up modem speeds!), with somewhat fuzzy picture and 5fps motion. 100kbps provides 10fps and a decent image that will look perfectly acceptable (‘Apple-acceptable’) on a phone screen.
If you do your math, you’ll realise that you can have up to 80 minutes of video calling EVERY day without going over 2GB limit.
Anyone care to provide comments or thoughts about this?
Verizon is the clear innovator in the art of price gouging customers. They announced last month that they were going to go to metered pricing for their LTE network. They were also the first with +$300 termination fees. They were the first to define “unlimited” as 5GB, and their overage fees are at least 5 times that of ATT.
All for the privilege of working on a slower data network that is incompatible with that used by the rest of the world.
ATT bungled the PR on this rollout badly, and $20 more for tethering is bogus, but when it comes to vacuuming your wallet, Verizon is the champ.
I think AT&T;will listen to their clients and will add unlimited plan very soon
Wow, the crybaby bloggers have weighed in. I’m sure AT&T;are quaking.
to Lurker_PC:
In the AT&T announcement, they clearly said that everyone who has an existing iPhone contract with unlimited plan can extend the contract under the same conditions, if they want to take advantage of the subsidised pricing and get a newer iPhone model. They have been doing this with all other old voice plans (A colleague of mine has had a $25 voice-only monthly plan for over 10 years, and keeps getting new subsidised phones every two years).
@Singidunum
the article states 98% if SMARTPHONE USERS, not IPHONE USERS… the question is what percent of AT&T;’s smartphone users are Iphones users. I would suspect if an analysis of data usage was done just on iPhone users, these numbers would look quite different.
Ghop,
I haven’t seen that, but even if it is true, even if all of those 2% extreme users were iPhone users, it would still be a fairly minuscule subset of the iPhone user base, considering that the iPhone has such a large market share among smartphones on AT&T (remember, AT&T never had an Android device until recently, and the only other device with meaningful numbers on their network is BB).
@Economics for Kindergartners
I think C1 voted for the Libertarian or Green Party myself. She herself said her vote was “the only logical vote” she could make and surely ChrissyOne has more then enough intelligence then to vote for Obama who has the same experience level as your “E4K” ‘posting name’!
MDN magic word “never” as in ‘Will Obama win a second term?’
– C2
“Don’t let the door fit you on the way out.” Most users bailing because of the new structure are the ones causing most of the network overcrowding. Their absence will make it better for the other 96% of us.
Just to let everyone know apple has posted the new iPad data rates in the apple store. It says anyone ordering a iPad on or before the 6th qualifies to purchase the unlimited plan. Now it doesn’t specify if you purchase and cancel if you can still purchase a unlimited plan the following month.
They should make a tightly tiered plan. Each tier would auto charge as it is reached- but authorize by default or by prompt. So the more data is used, the more you pay. Use little pay little. Allow the average monthly to be seen in the bar. You would make a lot more people happy and curtail the data hungry or they pay just like any other.
Hell, pay a certain amount per month with incremental data amount at a fixed price, if you fall below it you would be credited it with more data next month. Just like roll over minutes.
ATT, dump the harvard grads! make it simple!
I find it interesting that most of you are missing the bigger scope here and why AT&T;is actually doing this.
The truth of that matter is that the traditional Cell line we all use to talk on is going away. As smart phones increase in capability they will no longer use the traditional per minute calling plans because almost every phone will be equipped with VoIP. Smart phones wont be locked to networks. You will buy your given phone insert the SIM and install the “service” you want on it which will be 100% VoIP. Eventually all smart phones will be solely Data Only driven devices. AT&T;and others are changing the Data Plans now so when this obvious transition occurs they can still bill your for “minutes” in a sense.
If you consider the iPad, it’s a Data Only device. When the multitasking is implemented on it, and you install Skype, it becomes a VoIP phone with unlimited minutes skype to skype, and any billed calls go to Skype and AT&T;doesn’t get a piece of that pie.
That is why they are changing it, and all the other carriers will as well. Get used to it.
“Does your gas company offer an ‘Unlimited” plan? Your water company? How about your electric company? “
No but I also don’t pay for water and gas that i dont use either. They should meter it an allow people to pay for what they use, OR let unused data roll over from one month to the next.
Funny thing is the “data hogs” will keep the 30.00 plan and still tie-up the system while the other 80% will get a better rate. I use my iPhone all day on the road on 3G and was shocked to find I’m using less than 600MB a month. Wish they had a lower 1GB plan.
I am sure gonna keep my unlimited plan.
This is gonna hurt iPhone sakes, asany will not upgrade to keep their unlimited plans.
Whhhaaaa!!!!!!! I want unlimited data for free forever.
Everyone complaining about this sounds like a bunch of self entitled assholes. AT&T;doesn’t owe you anything. They can charge whatever they want and we are free to leave. The way people talk about this change you would think at&t;was taking away our God given right to stream HD video on our tethered laptops 24 hour a day. Just because it looks like the websites on your iPhone come from no where doesn’t mean they simply appear when at&t;wills them to. There are physical machines that do the work and they have limits and costs. Fucking deal.
@Economics for Kindergartners
I am well aware of the differences in size between the US and the UK. What you seem to be unaware of us that we, along with most of Europe, have significantly better backhaul capacity than the US. We also have a much higher number of mobile phone users per head of population – 91% in the US vs 122% in the UK. We also don’t have to contend with the technology fragmentation that has occurred in the US. In short, our mobile network is more technologically advanced than yours.
And quite how merely mentioning the cost of a particular dataplan in the UK makes me a moron is baffling. Perhaps next time you might think before so obviously shooting yourself in the foot. Failing that, try aiming a little higher: I suggest about six feet.
=:~)
@ChrissyOne,
That explanation pretty much summed it up for me and A LOT of people I know. Didn’t matter much in this backwards state, though; Alabama still went McCain-Palin by a wide margin.
I still have a POS windows mobile “smartphone” on VZW. I keep it for $30/month unlimited data and (VZW doesn’t know about this) tethering. There is no data cap on smartphones. Last month I downloaded over 6GB of data (to my Macbook). No added charges.
I cannot see having an iPhone without unlimited data and tethering. By the way, my electricity and water may be metered, but not my home internet, satellite TV or sewer. Not everything needs a meter.
My wife and I don’t use 200 MB a month between us, so saving $30 a month sounds good to me! The rest of you can keep your $30 unlimited data plan, so kwitcherbitchin!
Lets look at the value proposition here.
The are cutting your cost from $30 to $25 that is 17% reduction.
And for that you get a usage cut of. 5Gb to 2GB or 60% reduction.
Sorry but if I am saving 17% I would only expect an 17% data usage drop, or 4.15GB per month. Would you buy a car if GM suddenly said we are reducing the price by $1,000 but all you get are the tires? Don’t think so.
@Deus Ex Technica – Yes
@Macromancer – Yes
The meter must happen, but the cost should be directly variable with the volume, like your water bill or gas bill. No more selling what will never be delivered, AKA guessing how much you will use ahead of time and being whacked if you guess too low, but not rewarded if you guess too high.
I can’t see why some people are ok with this. If you really use Pandora, YouTube videos and podcast streaming iTunes and websites, you will get over the 2gb cap in less than two weeks. This is all I do and I just checked my data usage, and so far with 13 days into my month cycle, I have used 2.564GB so far. I usually use about 3.5 to 4.7 GB a month.
AT&T;did this to make people think they will save, when they will actually Bo over the cap. And why buy a smartphone if you can’t do all these fun stuff, remember it is going to get worse the more streaming ability is available.
Please don’t say your a heavy user if you really don’t exploit these features. Cause if you really do, you will go over 2GB a month.
There is a lot of liars here, how can you say, that your a heavy user and say you don’t go over 600mb a month, that is a big fat lie. My all she does with here iPhone is be on the Facebook, check emails, and occasionally browse the web, and she’s been averaging over 250mb to 400mb in the last six months.
Please stop lying to yourself .
@ Kevin J. Weise
Not a problem here in Collectivist Cesspool Seattle. Maggot-infested hippies rule the day and say ‘Thanks But No Thanks’ to end-times loonies like moose lady.
There’s a saying in Seattle that does back to the 1890’s gold rush – “Mine the miners”, which means let the damn fools go freeze in Alaska. We’ll stay right here and sell you shoes. Keep the salmon coming.
We have 2 heavy users & 2 light users. The new plan will cut our data charges to $80 from $120. Sign me up.
I honestly don’t know how I could possibly use it more heavily than I do, but most of that is AROUND THE HOUSE. Ya know…. On the wifis…?
@ “Heavy-data users may defect to Verizon Wireless “
And I am sure that would make AT&T;even happier. For me, I am sticking with my current plan for now but may check my usage. If I am really under the limits, I may go for it. 3 phones in family times 10$ is $360 per year.
Just a thought,
en
Charging for tethering is a scam the way they have this set up.
Please one of you silly people defend that move so it makes sense for the complainers.
I’m sure it will depend on your usage whether this new deal will be worth it.
We could go for the 200MB plan and save $30 a month. That’s ~20% off.
I don’t know what happens if you go over the limit. Are they gonna charge you through the nose.
I would prefer that if you go over you automatically get charged for the next tier (2GB).
We should all realize that the cell business is evolving. Apple started this and in a few years time things will be a lot different.
DogGone
If you go over they charge you $15 or 1g.
Puling???
This is the most stupid thing I ever seen. If most ppl use so little why not keep the unlimited plan???
I would never pay for à shitious cap of 2 small GB.
I understand that unlimited would not last forever but give me a break, these plans are just crap. The cost for 200MB for those on that plan is plain RAPE.
Let’s just go to a single simple plan.
1GB for $15 and $10 for each GB after that. No charge for tethering but you use the same data.
File a complaint with the Federal Trade Commission (FTC). The FTC is empowered by law to investigate and address deceptive marketing practices such as these by Apple and AT&T;.
It’s easy and takes only a few minutes to file a complaint.
https://www.ftccomplaintassistant.gov/
Here’s the company info to make filling out the forms easier:
Apple
1 Infinite Loop
Cupertino, CA 95014
408-996-1010
AT&T;175 East Houston Street
Dallas, TX 78205-2255
210-821-4105.
I believe that the key points are:
Apple touted and advertised the $29.99 data plan as a major inducement to buy the iPad 3g.
Apple described it as a “breakthrough deal” with AT&T;, leading consumers to believe that Apple had locked in the terms and price.
A key, heavily advertised, feature was the ability to jump between plans or have no 3G plan as dictated by needs and budget.
The “grandfathering” announced by AT&T;forces customers to either keep an unlimited plan continuously active in order to not lose it.
The change in the plans has significant impact on the value of the device and the manner in which it can be used.
We want AT&T;and Apple to honor the advertised deal, not give us money, a coupon, a refund, free service for a month, etc. (That’s what I want, anyway.)
If you’re one of the people cheering because your bill got cut by $5 per month, don’t bother with replying to this. This is a legal issue related to FTC rules and regulations on false and deceptive advertising, not whether you like the new plans better because you don’t happen to move more than 2GB per month.
You can also contact your member of congress at: http://www.house.gov/
Find yours by zip code.
Tell them you also filed a complaint with the FTC but you wanted to let them know about deceptive marketing practices in their district.
Given how popular the iPad is with Congress, I’m sure this will get big….
http://www.politico.com/news/stories/0510/37518.html
WOOHOO! I’m gonna save $15/mo on my wife’s plan. That’ll almost pay for my tethering IF I don’t drop myself down to the 2GB limit I’ve never come close to hitting.
A LOT of us are VERY happy with this new price plan. And, for those coming to the game on the 4th-gen whining about no unlimited data. TFS! You shoulda come to the party sooner.