“Verizon Wireless will introduce a new unlimited prepaid plan nationally this week, taking on rivals Sprint Nextel Corp. and MetroPCS Communications Inc. as they continue to add customers seeking contract-free service,” Greg Bensinger reports for Dow Jones Newswires.
“Verizon Wireless will begin offering the plan–which includes unlimited talk, text and Web use for $50 a month–on Thursday, said spokeswoman Brenda Raney. In addition to Verizon stores, it will be sold at Best Buy Co., Wal-Mart Stores Inc.and Target Corp.locations,” Bensinger reports. “Such plans still make up a small percentage of Verizon’s business. As of the end of June, Verizon had 4.4 million prepaid customers, 3.4% fewer than a year earlier, while it boosted its more lucrative contract users by 4.6% to 85.3 million. By contrast, Sprint lifted its prepaid subscriber rolls in the period by 23% to 13.8 million, about a quarter of its total customers, while MetroPCS added 19% to 9.1 million.”
Bensinger reports, “New Verizon customers will be limited to four phones from LG Electronics Inc., Samsung Electronics Co. and Pantech Co., though some older prepaid phones can be used for the unlimited plan. The devices aren’t smartphones, so they do not have full Web-browsing capability.”
Read more in the full article here.
“Limits! Limits, I tell you! Our customers expect, nay, demand limits on what they receive and what they do! And they’ll pay good money for the privilege. Make it happen people!”
— Verizon Sr. VP to staff
Verizon, the company that didn’t have the wit to be first to offer the iPhone, speaks again.
I’m sure this isn’t for use with an iPhone…right?
The article states that it is limited to four LG models and some older phones if you are a current customer; all feature phones with crippled web capabilities. So, to paraphrase the soup nazi, “No iPhone for you!” 🙂
Did you read the above story?
With sprint about to start offering the iPhone + today’s economy, many people wouldn’t mind mediocre reception at a lower price. This is a very smart move for Verizon. I only hope that its for iPhones, too. If it is, then Verizon will be my go-to carrier for the iPhone 5 (which I plan on getting day 1)
Mediocre? AT&T reception is horrible, verizon I’ve heard was pretty good. Last time I had sprint they were perfect, no dropped calls and fast internet speeds. Tmobile on the other hand was horrible. I’d definitely go to sprint if they get the iPhone
It isn’t, and it won’t ever be.
If this is not for the iPhone, why do we care?
We don’t…
Very few people in America seem to be familiar with the concept of pre-paid, contract-free mobile plan.
What Verizon is offering is exactly that — a contract-free plan that you can stop anytime you want with no early termination. More importantly, the plan does NOT contain subsidy part to pay for the phone (which is why it is so cheap, compared to almost $100 for the unlimited-all subsidised contract plans). However, you must buy your phone upfront, at full price. Among the American carriers with pre-paid (contract-free) plans, none of them are offering premium phones (such as the iPhone, EVO, Droid, etc), since they would likely cost $600 and up, and nobody in their sane mind would consider plopping down $600 for a cellphone. This is why the most expensive pre-paid phones are some moderately crappy Samsungs, going for about $300 or so.
You will never see an iPhone offered on a pre-paid plan in America. Among all carriers in America that currently do pre-paid plans, T-Mobile (Monthly plans) and AT&T (“Go Phone” plans) are the only ones where you could bring your unlocked iPhone and use it with such a plan. Sprint and its brands (Boost, Virgin Mobile), MetroPCS or Verizon, use CDMA and don’t allow unlocked CDMA phones to be registered on the network. Unlike with a GSM phone, where you simply take an active SIM card and stick it into an unlocked smartphone of your choice, with CDMA, you must call your carrier and have them activate your CDMA phone on their network. If the phone was not sold by the carrier for that specific plan, they will not activated.
Bottom line, there will likely never be a pre-paid Verizon iPhone for $50 per month unlimited.
This Verizon offer seems rather pathetic. Sprint, T-Mobile and AT&T (plus MetroPCS, as well as Sprint’s Boost and Virgin Mobile) all have a small selection of Android phones that go with their own unlimited $50 prepaid plans (ranging in prices from some $60 for cheap Pantech Androids, to about $300 for some nice looking attempts at iPhone clone by Samsung). Meanwhile, according to the article, Verizon won’t even sell (i.e. allow) smartphones with this all-you-can-eat offering. So, while others are offering a full surf-and-turf buffet table for their $50, Verizon is only offering all-you-can-eat cheese and crackers.
Verizon has been very good at reminding us constantly how they are the undisputed world champion in nickle-and-diming of their customers.
“So, while others are offering a full surf-and-turf buffet table for their $50, Verizon is only offering all-you-can-eat cheese and crackers.”
!!Funny!!
i had cellular one than allltel than verizon now im with boost and saving money even with their upcoming increase of 5 a month for the android they already charge more for blackberry usage so no suprise. at on time i used alltels 75.00 unlimimited texing and 700 minutes of talking free nights and weekends and at the time most of phones didnt have friendly web browsing coverage was good tho. when verizon took over alltel and after going to a contract that all changed as the unlimited plans dwindeled smart phones and data charges increased. and when you have several phones in plan that their owners refuse to pay you are screwed. im nearing the point of my shrinkage with boost ill be at 40 a month soon. that a true unlimited. i will eventually get a android, just check coverage areas and you will see that boost does cover a lot of the major metro areasin the usa.