Around four years ago, Verizon was offering unlimited data plans to its customers, but now the plan does not exist anymore. Why? Because the company was losing a lot of money on these plans as it was allowing users to access unlimited data without any speed throttling. Fast forward to 2015, the company does not offer unlimited plans now, but it still has to bear those few customers who haven’t switched to other plans from the unlimited one. Fortunately, Verizon has announced that those who have paid for unlimited data will get unlimited data without any speed throttling.
Unlike that unlimited plan provided by Verizon, the unlimited plans by Sprint, T-Mobile, AT&T give a specific amount of data at unlimited speeds to the customer, but the speed slows down after a set data limit, thus defeating the meaning of truly unlimited data. Verizon’s limitless plan is being used by only about 1% of its subscribers, and they are surely benefiting a lot from it as speed throttling is not practised and will not be practised by Verizon, indicated Fran Shammo, CFO at Verizon.
Verizon does not offer the unlimited data plans anymore, but those who had signed up and never changed the plan are still on it and are reaping the benefits. Though the company is trying very hard to shift those subscribers towards limited plans. A $20 increase in the unlimited plan was announced by the company recently, added to the rule that the customer needs to buy the entire phone rather than leasing it before they can use the phone with the unlimited plan. These moves have made it difficult for those customers to stay on the unlimited plan, which now costs around $100 on average.