& cplSiteName &

Sprint Drops Prices, But Also Speeds?

Sarah Thomas
8/21/2014
50%
50%

Sprint is now offering individuals unlimited data for only $60, lower than T-Mobile's $80 plan, and unlimited unlike AT&T and Verizon's offers. But before you get excited, take a real close look at the fine print.

You'll see that customers who are currently under a one- or two-year service agreement with Sprint Corp. (NYSE: S) that move to the new $60 unlimited plan will have a higher monthly rate of up to $25 per month until they reach upgrade eligibility. That's frustrating, but not uncommon -- but read some more, and you'll find out:

"Usage Limitations: Other plans may receive prioritized bandwidth availability. To improve data experience for the majority of users, throughput may be limited, varied or reduced on the network." (See Sprint Unveils $60 Unlimited Plan.)

Similar wriggle room was given on its family plan as well -- noting that, "To improve the data experience for the majority of users, throughput speeds may be limited, varied or reduced on the network." But to actually deprioritize those customers who opt for a cheaper plan seems wrong to me -- even potentially a violation of net neutrality principles, if the Internet companies get their way and mobile traffic is treated the same as fixed. (See Sprint's New Family Plans Double Down on Data and Internet Giants Speak Up for Net Neutrality.)


Get all the latest Sprint news on Light Reading's dedicated mobile channel.


Sprint is promising bold changes to get back in the game, but it seems like it's not going far enough at the moment. I'm not sure who who would want to switch, knowing that Sprint's network is an acknowledged work in progress and they could get slower speeds than their peers on the same network? It doesn't seem like a winning combination. (See Sprint CEO: Price Cuts First, Best Network Next .)

Sprint will have to do more if it wants to take on the big two and fend off T-Mobile US Inc. The self-proclaimed "uncarrier" put out a new promotion today promising to give customers that recruit a customer from Sprint or another carrier a free year of unlimited LTE data, or a $10 per month credit if they already have an unlimited plan. For $60, T-Mobile offers 3GB of "unlimited" 4G data and then throttles the speed; $70 sets the threshold at 5GB, and $80 is fully unlimited. (See T-Mobile Tweaks Sprint Again With New Offer .)

It's clear a price war is imminent, but I hope to see a real one, rather than seemingly good deals that you have to dig deep into to find the real costs associated, monetary or otherwise. (See Sprint, T-Mobile: The Price War's On.)

— Sarah Reedy, Senior Editor, Light Reading

(14)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View        ADD A COMMENT
Page 1 / 2   >   >>
KBode
50%
50%
KBode,
User Rank: Light Sabre
8/25/2014 | 10:51:14 AM
Re: Nothing new
Absolutely correct. They benefit immensely by making these plans so confusing that direct price comparisons are often impossible. I write about this stuff for a living and I often have to spend a very long time understanding what the consumer is actually getting for the price. Can you imagine how the world's less technical folk see these plans?
Phil_Britt
50%
50%
Phil_Britt,
User Rank: Light Sabre
8/25/2014 | 8:55:12 AM
Re: Nothing new
When will they have a simple offer? Never. They are trying to best P.T. Barnum and are attemting to fool all of teh people all of the time. Too many lawyers in developing contracts for simple to ever be a reality.
kq4ym
50%
50%
kq4ym,
User Rank: Light Sabre
8/23/2014 | 12:03:05 PM
Re: Nothing new
You have that right. When will providers just provide simple, easy to underatand agreement and advertising. The fine print is where the companies take advantage of customers. But, then there's always "you get what you pay for" attitude that there's nothing really free, and if it sounds too good to be true it probably is.
mendyk
50%
50%
mendyk,
User Rank: Light Sabre
8/22/2014 | 10:31:39 AM
Re: Nothing new
Well... right. The service pitches are incomplete at best, and misleading or deceptive at worst. Again, less-than-forthright advertising isn't an issue limited to mobile operators.
mendyk
50%
50%
mendyk,
User Rank: Light Sabre
8/22/2014 | 10:22:53 AM
Re: Nothing new
At this point, most reasonable people understand the relationship between price and service levels. But the service provider needs to make the parameters clear, which isn't happening with mobile service plans.
mendyk
50%
50%
mendyk,
User Rank: Light Sabre
8/22/2014 | 8:56:33 AM
Re: Nothing new
The problem continues to be somewhat deceptive wording from the marketeers. Customers understandably see the boldface parts of the sales pitch (HIGH-SPEED NETWORK and UNLIMITED and LOWEST PRICE, etc.) and presume they are all part of the deal. But if truth in advertising were a legal requirement, there would be very little advertising. And without advertising, where would the global economy be?
thebulk
50%
50%
thebulk,
User Rank: Light Sabre
8/22/2014 | 8:28:22 AM
Re: Nothing new
I will say that I do miss 4g from the US what they call 3G in Thailand is just not up to par.
Gabriel Brown
50%
50%
Gabriel Brown,
User Rank: Light Sabre
8/22/2014 | 6:39:07 AM
Re: Nothing new
I don't see a problem with this. Presumably you have to add these caveats to the T&Cs in case you want/need to use traffic management technqiues later. It probably doesn't do much to protect Sprint against the sense of entitlement some users (customers!) have to unrealistic (unaffordable from a network technology perpsctive) speeds, but perhaps it helps ward-off spurious legal challenges.

One of the greatest things about 4G is how it can provide mass-market, affordable broadband services. Through that comes information, work, education, democracy, and so on. To achieve mass-market price points there has to be some compromise.
thebulk
50%
50%
thebulk,
User Rank: Light Sabre
8/22/2014 | 5:33:29 AM
Re: Nothing new
It's true, this is nothing new at all. All the providers having been playing these games for a while, sad but true.
midnightprism
50%
50%
midnightprism,
User Rank: Light Beer
8/21/2014 | 9:38:02 PM
Nothing new
All plans dating back to Unlimited Guarantee for Life have had this same fine print. It's nothing new or concerning. 
Page 1 / 2   >   >>
More Blogs from Que Sera Sarah
WiC congratulates the winners of our inaugural Leading Lights awards: Cisco's Yvette Kanouff, Zayo Group's Sandi Mays and startup Grid4C.
Leaders from Mellanox, Arista Networks, Syniverse, ECI Telecom and Cisco round out WiC's inaugural female tech pioneers of the year.
Women from AT&T, Ciena, Ixia, Zayo Group and Fujitsu make our shortlist for working to advance the cause of women in the next-gen comms industry.
Join WiC and Flex's Caroline Dowling for a live radio show on Tuesday at 12PM ET on how technology is powering the fourth revolution and to what effect in the future.
New companies with a focus on video graphics, smart grid predictive analytics and a quadcopter camera make up WiC's finalists for Female-Led Startup to Watch.
From The Founder
The independent evaluation of Nokia's key virtual network functions (VNFs) was a defining moment for the Finnish giant.
Flash Poll
Live Streaming Video
Charting the CSP’s Future
Six different communications service providers join to debate their visions of the future CSP, following a landmark presentation from AT&T on its massive virtualization efforts and a look back on where the telecom industry has been and where it’s going from two industry veterans.
LRTV Custom TV
Cisco's Innovations in Cable

5|26|16   |   03:18   |   (0) comments


Marc Aldrich from Cisco discusses the latest in security, the evolution and momentum for CCAP and what the industry will be seeing next from Cisco.
LRTV Documentaries
Leading Lights 2016 Highlights

5|25|16   |   02:26   |   (1) comment


Some of the high points from this year's Leading Lights awards dinner at the Hotel Ella in Austin, Texas.
LRTV Documentaries
Light Reading Hall of Fame 2016

5|23|16   |   05:43   |   (0) comments


Find out who has been welcomed into Light Reading's Hall of Fame this year.
LRTV Custom TV
ZTE TM Forum Highlights

5|23|16   |     |   (0) comments


ZTE showcased its new ICT solutions at TM Forum in Nice.
LRTV Interviews
Gamma's MD on the Emergence of UC2

5|20|16   |     |   (0) comments


Gamma Communications Managing Director David Macfarlane believes the unified communications (UC) market has reached a tipping point.
LRTV Custom TV
The Ultimate 5-Minute Guide to Digital Customer Engagement

5|20|16   |     |   (0) comments


In this short video, you will hear all about how Digital Customer Engagement is the key to meeting customer expectations, keeping them happy, and maximizing revenue. VP Product & Marketing at Pontis, Ofer Razon, breaks down for us the five essential capabilities for successful Digital Customer Engagement. Don’t miss!
LRTV Custom TV
NFV in 2016: Part 1 – NFV Use Cases Get Real

5|19|16   |   05:57   |   (0) comments


Consensus is building around the key use cases for NFV, including managed IP services at the network edge and on customer premises, which can generate new revenues from enterprises/SMBs and consumers; Evolved Packet Core to support LTE migration; and adjacent technologies, such as TAS and IMS, to support VoLTE and next-generation charging and policy control ...
LRTV Custom TV
Nokia's Steve Vogelsang on NFV – Part 3

5|19|16   |     |   (0) comments


Steve Vogelsang discusses the challenges of operational transformation and how Nokia helps its customers. Join Steve at the Big Communications Event in Austin the morning of May 24, on his keynote and optical networking panel.
LRTV Interviews
Level 3: Why UC Is In Demand

5|17|16   |   04:12   |   (1) comment


Andrew Edison, Level 3's senior VP of sales, EMEA region, talks about the drivers of growth in the unified communications services market.
LRTV Custom TV
ARM's OPNFV Action

5|17|16   |     |   (0) comments


At the ARM booth at MWC 2016, Joe Kidder and Bob Monkman speak to Light Reading about OPNFV and their upcoming action.
LRTV Custom TV
Nokia's Steve Vogelsang on NFV – Part 2

5|16|16   |     |   (0) comments


Steve Vogelsang gives advice to service providers on how to move to NFV. Join Steve at the Big Communications Event in Austin the morning of May 24, on his keynote and optical networking panel.
LRTV Interviews
Interoute CTO on NFV's Maturity

5|13|16   |   06:46   |   (1) comment


Matt Finnie, CTO at international operator Interoute, explains how NFV has made life easier in terms of logistics and how Interoute can now enable a 'software-defined moment' for its customers.
Upcoming Live Events
September 13-14, 2016, The Curtis Hotel, Denver, CO
December 6-8, 2016,
June 16-18, 2017, Austin Convention Center, Austin, TX
All Upcoming Live Events
Infographics
A new survey conducted by Heavy Reading and TM Forum shows that CSPs around the world see the move to digital operations as a necessary part of their overall virtualization strategies.
Hot Topics
DT: Telcos Must Escape Vendor Prison
Iain Morris, News Editor, 5/24/2016
AT&T to Start 5G 'Friendly' Trial by 2016 End
Dan Jones, Mobile Editor, 5/24/2016
Cisco's Patel Hails 'Microculture' Successes
Iain Morris, News Editor, 5/26/2016
Cable Is Eyeing Its Retail Options
Mari Silbey, Senior Editor, Cable/Video, 5/25/2016
AT&T's Margaret Chiosi Retires
Ray Le Maistre, Editor-in-chief, 5/25/2016
Like Us on Facebook
Twitter Feed
BETWEEN THE CEOs - Executive Interviews
In this latest installment of the CEO Chat series, Craig Labovitz, co-founder and CEO of Deepfield, sits down with Light Reading's Steve Saunders in Light Reading's New York City office to discuss how Deepfield fits in with the big data trend and more.
Grant van Rooyen, president and CEO of Cologix, sits down with Steve Saunders, founder and CEO of Light Reading, in the vendor's New Jersey facility to offer an inside look at the company's success story and discuss the importance of security in the telecom industry.
Animals with Phones
Live Digital Audio

Our world has evolved through innovation from the Industrial Revolution of the 1740s to the information age, and it is now entering the Fourth Industrial Revolution, driven by technology. Technology is driving a paradigm shift in the way digital solutions deliver a connected world, changing the way we live, communicate and provide solutions. It can have a powerful impact on how we tackle some of the world’s most pressing problems. In this radio show, Caroline Dowling, President of Communications Infrastructure & Enterprise Computing at Flex, will join Women in Comms Director Sarah Thomas to discuss the impact technology has on society and how it can be a game-changer across the globe; improving lives and creating a smarter world. Dowling, a Cork, Ireland, native and graduate of Harvard Business School's Advanced Management Program, will also discuss her experience managing an international team focused on innovation in an age of high-speed change.