AT&T makes data plans mandatory for smartphone buyers
AT&T is demanding that all new smartphone buyers on its network subscribe to a previously optional data plan. It’s being billed as a way to help customers avoid unexpected charges, but may also be designed to cull unprofitable subscribers.
As of Sept. 6, any new customer buying a smartphone through AT&T must subscribe to a data plan. The same applies to existing customers who upgrade to a smartphone. Those who already have AT&T smartphones are not affected by the change and will be able to upgrade to new handsets without the requirement in the future.
At the moment, most smartphone owners subscribe to a data plan (as well as a voice plan), covering a certain amount of data use for a fixed monthly fee. However, some users choose to only subscribe to a voice plan. (This option isn’t available on iPhones and BlackBerrys, where a $30 data plan is mandatory.)
Unconfirmed reports say the new rule will require customers to subscribe to a data plan worth at least $30, the same minimum as with iPhones and BlackBerrys; the cheapest currently available AT&T plan for other handsets is priced at $20.
An internal memo AT&T reproduced at Boy Genius Report, explains the official reason for the change:
“A predictable bill is a key factor in customer satisfaction, so effective Sept. 6, 2009 Smartphone customers will need to subscribe to a data plan, as the vast majority of customers already do. Data plans let customers fully utilize their device, without the worry of bill shock.”
At the moment, customers who aren’t on a data plan face hefty charges if they do use data features such as web access on their handset: more than $10 per MB for some customers.
It’s possible that some users who want to own high-end smartphones but don’t use the data features may be put off AT&T by the change. That’s not necessarily a bad thing for the company: such customers are less likely to be profitable given the way the network subsidizes handset costs in the expectation of making back the cash through call and data charges.
Related Posts:
