T-Mobile Shakes Up Pricing Sans Unlimited Data

New rate plans offer a variety of data caps, but slow data speeds once the max is reached instead of charging overages

Sarah Thomas, Director, Women in Comms

May 23, 2011

2 Min Read
T-Mobile Shakes Up Pricing Sans Unlimited Data

T-Mobile US Inc. revamped its prepaid and contract pricing plans Monday, as expected, using throttling to limit users who go over the new data caps.

T-Mobile's new contracted single-line and family plans have no data overages, but offer choices in data caps, including 200 MB for $69.99 per month, 2 GB at $79.99 (announced last month), 5 GB at $89.99 or 10 GB for $119.99 per month.

For the family, T-Mobile now offers unlimited voice minutes, text messages and unlimited data capped at 2 GB for $139.99 per month for two lines.

On the prepaid front, Magenta introduced two new unlimited, prepaid plans starting at $50 per month for 100 MB of data or $70 per month for 5 GB of data. These are in addition to its $30 Talk and Text plan with 30 MB of data.

On all of its plans, once a customer reaches the data ceiling, speeds are slowed for the rest of the month.

Why this matters
The new pricing structure isn't a surprise thanks to several leaks, but it's notable given that T-Mobile and AT&T Inc. (NYSE: T) say they plan to honor T-Mo's subscribers' existing rate plans if the acquisition is approved. In a recent Congressional hearing, AT&T CEO Randall Stephenson said that existing T-Mobile subs will get to keep their current rate plans even if they purchase a new handset, while AT&T customers and any new customers won't be given those options. (See AT&T Takes the Oath on T-Mobile Merger.)

But, Stephenson doesn't have any say on what T-Mobile does to its plans before the merger is official. And it looks like, until that day, T-Mobile will continue to do what it can to compete with its future parent.

For more
Pricing is just one thing that's set to be shaken up at T-Mobile. Read on for more.

  • Could AT&T/T-Mobile Deal Mean an HSPA+ iPhone?

  • Who's Hurt if T-Mobile USA Vanishes?

  • AT&T Could Drop 40% of T-Mobile

  • Regulatory Scrutiny Escalates for AT&T/T-Mobile

  • AT&T to Acquire T-Mobile for $39B

— Sarah Reedy, Senior Reporter, Light Reading Mobile

About the Author(s)

Sarah Thomas

Director, Women in Comms

Sarah Thomas's love affair with communications began in 2003 when she bought her first cellphone, a pink RAZR, which she duly "bedazzled" with the help of superglue and her dad.

She joined the editorial staff at Light Reading in 2010 and has been covering mobile technologies ever since. Sarah got her start covering telecom in 2007 at Telephony, later Connected Planet, may it rest in peace. Her non-telecom work experience includes a brief foray into public relations at Fleishman-Hillard (her cussin' upset the clients) and a hodge-podge of internships, including spells at Ingram's (Kansas City's business magazine), American Spa magazine (where she was Chief Hot-Tub Correspondent), and the tweens' quiz bible, QuizFest, in NYC.

As Editorial Operations Director, a role she took on in January 2015, Sarah is responsible for the day-to-day management of the non-news content elements on Light Reading.

Sarah received her Bachelor's in Journalism from the University of Missouri-Columbia. She lives in Chicago with her 3DTV, her iPad and a drawer full of smartphone cords.

Away from the world of telecom journalism, Sarah likes to dabble in monster truck racing, becoming part of Team Bigfoot in 2009.

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