AT&T caps new iPhone, iPad data plans at 2GB, announces tethering - Page 5

Hence they word 'analogy'. duh.

They are however both products that you may buy and consume.

Perhaps another analogy you would understand better. If your landline ISP enforces a cap on your usage, would you think it reasonable for them to charge you extra for additionally using your iPhone on your home network and not just your Mac?

The best reasoning for accepting the extra tethering fee on a capped plan is that if you tether, you are more likely to use the data that you paid for. If you don't tether you likely will pay for data you are not using. So the argument is that if you are more likely to actually use what you have paid for then you should pay an extra fee. In the analogy above, you having your family's iPhones and iPads and Mac on your home network makes it more likely that you will use more of the data that you have paid for than if you just had your own Mac on the network. If you don't exceed your cap, would you accept your ISP saying they are going to start charging you almost twice your monthly fee?

The irony though is this is exactly why they have changed the pricing structure.

No It applies to EVERY ONE. You are getting less for your money.
The new plan should have been 1/2 of what they are going to charge since they are giving you less than half the to data. They should not have removed the 5 gig plan.
now if you go over 2 gig you have to pay and extra $10 for each gig.

Like I said before, its great that you do not using that much data now, but in the future your data usage is guaranteed to increase.

Most users will be Grandfathered into the old [I]unlimited plan[I]and will not be affected. On the other hand don't expect the service to get better because the data is capped. New users will pay for the data they need, nobody is going to cut back on their IPHONE usage. It's like buying a T.V. and only watching one show a week.........that's ridiculous.


More DATA CONSUMTIVE features coming in the future. An example would be Video Chat, NETFLIX etc. AT&T's new plan will cost many people more money, not less down the road.

My abuse of their network because they wouldn't offer a paid tethering plan that I would have been happy to pay for? I'm sure I wasn't NOT part of the issue.

If it was just an issue with going over 5GB then why not offer a 5GB plan. Why not allow you to tether now since your data usage is capped?

I think AT&T crunched the numbers and found that x% use just over 2GB while hardly any use more than 3GB. So while many will fall into the 2GB for $25/month more will fall into the >2GB plans charging and extra $10 or $5 more, resulting in more profit than before.

As NasserAE has pointed out, it's not longer in their contracts. The last time I can find mention of the 5GB soft cap was in 2008.

No it's not. If my plane crashes tomorrow <knocks on wood> while I travel to Seattle, I'm not guaranteed to increase my data usage. Nothing is guaranteed except death.

Exactly how do you plan to Tether your iPad? Jobs said 'No Tethering' about a month ago.

This isn't about Verizon. As of today, Verizon hasn't changed their data plans. This is about what AT&T has done.

I can't believe the apologists in this thread.

You say you get to keep your plan but what happens when you're contract is up?

What happens when the next iPhone comes out with 2x the screen resolution? You'll be eating up data faster watching higher quality videos.

What about video uploads, video chat, streaming Pandora and iTunes in the cloud?

Why do customers have to pay $20/month just to enable a feature without upping the data cap?



It's funny how there are so many on this thread that only use 400mb of data yet criticize others. Why did you buy an iPhone? A feature-phone could fill, what seems to be, basic needs.

Admittedly I live in a densely populated city where their is a lot of free WiFi.

That makes no sense. The resolution of your display is not a factor of the data being sent servers. Along with 4x the pixels, the next iPhone will likely be able to stream 720p video from Hulu and other sites, but that has to do with the processing abilities, not the display. On a 3.5" display streaming in 480p will be sufficient.


What about them?


That is a good question. They offer SW and support for this, but I don't think it would be at a cost even close to $20 a month. If they offered it with an increased cap that would be acceptable to me.


That also makes no sense. The amount of data used over a cellular network is not indicative of your WiFi usage, app usage, or other features not found in a feature phone. The iPod Touch uses zero data from AT&T and yet that sells well. By your argument that shouldn't sell at all over a feature phone as it has nothing to offer the user.

Can you think of a better dream com true for AT&T? Think about it...

1) The 3% heaviest users leave AT&T's network causing a 3% reduction in revenue and a 40% drop in data usage.

2) With the drop in data usage, congestion problems all but dissapear and the usage experience of the remaining customers jumps dramatically.

3) The heavy users all go to Verizon which sees their historically low data usage skyrocket by 400% or more for a mere 3% gain in revenue.

4) Verizon's out of date network is exposed as having the same congestion issues that AT&T had in 2008. Lots of whining on online forums and in the press destroys the Verizon network myth that their marketing department spent years fostering.

5) Verizon also caps their data plans. Through competition, the major carriers figure out at what price it is worth holding on to data hogs verses sending them to their competitors. Average users see their prices drop or stay flat because providers want to retain them, data hogs either reform their usage behavior or pay big penalties to stay with networks who don't really want them as customers.

You can bet Verizon will not be running adds to attract AT&T's data hogs. Sprint and T-Mobile might because they are desperate, but I doubt AT&T will be crying too many tears if they do.

A reasonable rate for the new plans would have been:

1. 100MB plan: $10 for the first 100MB, $5 for each additional 100MB
2. 1GB plan: $20 for the first 1GB, $5 for each additional GB

These plans would cost exactly the same as what is being offered by AT&T for 200MB and 2GB usage levels, but they would be much more practical (and attractive) for light and medium/heavy users of bandwidth. Yes, using 5GB would cost $40 instead of $30, but one could argue that it would have been a fair rate increase for bandwidth hoggers who would most likely use more WiFi and less 3G as a result...

Please don't reinforce the stereotype that Americans are completely ignorant of what goes on outside their borders. The Canadian and American cellular markets are very similar. Two out of the three largest cellular providers here were using CDMA until a year ago. Now Canada is more of a model of what will likely happen when Verizon phases out CDMA.

FYI: My rate plan was a limited time offer. Typically we pay a little more because we have a less densely populated landmass and even less competition (but that is changing), the best you can do right now is 500MB for $25, but tethering is still free.

I don't care what country you're in, you shouldn't pay someone for something they didn't do. AT&T isn't providing tethering, your phone is. They are only supplied data that you have already paid for.

It's a finite infrastructure, and bandwidth is a finite resource. With the increasing number of iPhones and iPads coming online, what is a fair strategy to assure reasonable service for all? Having light users subsidize heavy users? The tiered plan isn't perfect, but it's a reasonable step. The capacity of the infrastructure will improve due to carrier competition and data consumption will continue to increase due to device and application competition.

That being said, Apple would do well by their customers to make it easier to track and control consumption. Right now it's too cumbersome to continually drill down into preferences to turn WiFi on and off, for example. Plenty of times when I don't want WiFi on searching for networks and draining my battery. Same goes for 3G. But it's a pain in the butt to flip these settings so I do most of my data over 3G unless I'm at home. Same thing applies to screen brightness. The primary battery and data affecting settings should be directly accessible from the primary interface, or simple "flip the switch" one-click apps.

the outrage over this is sooo predictable, and so silly.

yes, a few true "unlimited" users who do not have access to convenient wifi for some unusual reason will pay more. many of them probably are doing job-realated stuff, and their employer pays for the phone anyway. but "free" public wifi hotspots continue to grow in number and capacity, and more workplaces are adding wifi too. if you haven't set one up at home it's your own fault. and you really can't wait to connect there to download all those movies? you don't go home at night or something?

and to "tether" you have to pay the higher rate plus the extra charge - but split in half between the two devices it's still pretty cheap. but i know, you really wanted to ditch your still-unlimited home ISP service all together and get one unlimited 3G service for everything you can tether to it when at home to save a few bucks. well, yes AT&T did close that potential loophole.

big picture, setting market incentives/penalties to maximize consumer use of wifi and minimize use of broadband cell data is a sane and necessary approach. the huge growth in mobile devices is going to expand even faster in the next few years. unlimited everything for everyone via cell is mass suicide. in 5-10 years maybe capacity will catch up and that will change. but not today. AT&T hit this wall first thanks to the iPhone, and Verizon and the rest are soon to follow. whereas wi-fi capacity is growing much faster now thanks to expansion of fiber optic networks in urban centers, with prices for trunk commercial ISP services dropping tremendously.

also big picture, the market competition among all the telcos and ISP's is what actually sets the price levels, not the pricing structure. as AT&T says, most of its customers will save a few bucks with this new rate plan. what the other telcos do now with mobile plans is one big question about where this is going. and what the ISP's do is the other. it is the CATV companies that have the big pipes into most homes, and they have been jacking up prices steadily for years for all their services and bundles because there is often no real competition (except AT&T's U-Verse!). that is what real consumer advocates really need to pay attention to.

It's true they did not continue with the same dollar amount per MB, but their isn't much of a need too as their is no intrinsic dollar value for a MB. It's whatever the market is willing to pay. For most people $15 for 200MB will be reasonable.

AT&T knows data use will increase and is the exact reason why they are placing these limitations. It's an economic insentive to do heavy media downloads over WiFi.

I haven't seen anything mentioned about ATT offering the ability to wifi tether. I seriously doubt they will offer this, it'll be cable only, imho.

On the same note, I bought the wifi iPad and use MyWi (jailbreak tether app) on the iPhone using wifi tethering. Works like magic. I rarely use it, but when I need it, it's well worth the $9.99 price.

You know with as many 4G iPhones and iPads that are projected to sell AT&T network is in no condition to widely offer that type of usage.

http://www.att.com/shop/wireless/plans/data-plans.jsp

Here is an extract from that website regarding auto-notices:

"It's easy to know how much data you've used.

AUTOMATIC NOTICES We'll send you a courtesy text and an email after you've reached 65%, 90%, and 100% of your data usage for the month.

CALL Dial *DATA#(*3282#) from your wireless phone. We'll send you a free text message with your usage info.

CLICKView your usage on your computer or phone. Visit att.com/mywireless and log in to your account, or access your info directly on your phone with the myWireless app."

So far it was not a concern but since I plan to downgrade my wife and add my two kids to iPhones this summer, I am wondering whether anyone of you have the same issue: While the iPhone sits idle while I am sleeping (around 1 am), a lot of data movements are happening, anywhere from around 1MB all the way to 20MB a night! Neither AT&T nor Apple could explain what applications would cause it (in browser history, there is no indication of internet access, i.e. it has to be app(s) running in the background). Anyone having the same issue?

I don't buy that tethering argument. You paid for what the phone could consume. Not your computer's consumption appetite.

Free mints in a restaurant: you put a couple in your pocket. You don't bring in a wheelbarrow and demand all the mints in the storeroom.

I suggest you wait until after WWDC 2010 to make that decision

Apple has a way of making irresistible products.

"bandwidth hoggers" are you kidding me? I use the 3G service I bought. I have a right to that bandwidth that I am PAYING FOR. I am not STEALING or doing any thing HORRIBLE for using the bandwidth I PAY for. Bandwidth continues to get cheaper but AT&T & others continue to charge MORE and spend less on upgrading their networks.

I'm surprised you are not pissed at AT&T for charging you more than the bandwidth you use. But as such they have convinced you that they can still charge you allot and give you less so they can make their billions.

But perhaps if you paid for 5 mints, you should expect to take 5 mints or 2 mints or 1 mint, regardless of how you use them. You wouldn't expect to be charged extra because you only ate 1 and gave the rest to your kids.

It's not silly at all for iPad WiFi+3G owners. It's very easy to exceed 2GB on an iPad (over 3G).

Maybe some should stop worrying about how much data they consume or can consume and spend some time with human beings...

Somewhere or other Steve was quoted as saying that AT&T would have improvements to the network by late this summer. Elsewhere he has been quoted as "disappointed" with the state of the AT&T network.

Let's face it, AT&T has oversold the capability of their network. It is like an airline the overbooks the seats on a flight. When 200 people show up for a flight that has 150 seats there is a problem.

The similarity is that the airline knows (statistically speaking) that there will be a certain number of people who do not show up for one reason or another and an aircraft that files with an empty seat is revenue which is lost forever. (With the reduced flight schedules that all the airlines are operating these days, occupancy rates are rather higher though.)

When AT&T sells X number of subscribers in a given market, they are assuming that not everyone is going to pick up their phone to use it at the same time. (This is part of why the phone systems crash when there is an emergency and everyone does pick up their phones to use them at the same time.) The question is just how much underlying capacity there is and to what extent has AT&T "overbooked" the network.

Several people have commented about using the AT&T Wi-Fi facilities. When convenient, I have no problem with that, but access to the wireless network is what I have purchased. Frequently, their Wi-Fi facilities are not reasonably available. AT&T also needs to have a better system to allow you to find their Wi-Fi facilities than when I had an iPhone. Some of the ones that I have used with a laptop were simply terrible. Dial-up would have been an improvement.

Although it is reported that Apple and AT&T are tied to a 5 year exclusivity deal, Apple needs to find a way to get out of it...and soon. If AT&T wants to keep customers they need to improve the quality of the service and "get real" about data. 2 GB is nothing.

are you kidding me. The first time a person gets and overage bill for $100 since they didn't realize how much data they used to watch a base ball game on the MLB app, there are going to flip!!!!!!!

Streaming in 480p takes up a lot of data very quickly. As it is YouTube was already streaming at lower quality than on wifi and it was noticeable on a 480x320 screen.



Umm…these are things that are the future of Apple, the iPhone and iTunes. What exactly is the point of having cloud-based content if you can't access it due to a 2GB monthly cap? A person could hit the cap if they played Pandora 30-45 minutes daily.





Unless I'm missing something the main benefits of devices like the iPhone are consumer level media consumption and business. If, like others have said, they are using 150-400mb a month then why buy an iPhone anyway when it was $30/month unlimited? Some of these same people have actually criticized others in the thread who have a problem with this.

It's a lot more than you think. I was away on vacation for a week.....I surfed/emailed extensively! My data usage for that month?....202MB.

I do not want to pay for someone else's data hogging.

Their is nothing cheap about bandwidth. Bandwidth is a finite resource. Until someone figures out how to change the laws of physics their will never be enough of it for everyone to literally use as much as they want.

The wirelsess carriers have to license wireless spectrum from the government for multiple billions. They have to build out infrastrure, exapand coverage, and speed up data downloads. That all costs multiple billions more.

You must be joking, right? I have been tethering my iPad since day one. I take a piss without Steve Jobs giving me permission, and I tether. You need to jailbreak your iPhone, though. But before the original iPhone was released, Mr. Jobs said there would be tethering. IMO, he lied. Or AT&T lied to him. In any case, we were promised tethering. Some people will say - "he didn't say when". I say, BS. We didn't get what we were promised and now that it is announced, we're getting monetarily screwed. Unlimited data plan? Another AT&T lie. So jailbreaking enables me to have what I was originally promised. Even though I'm still well under the data usage outlined in AT&T's rate plan, it's the principle.

Show me a Utility (Gas, Electric, Water) that has an unlimited plan? Would you want that? Would you want everyone to pay the same monthly costs if you use a lot less than the average user?

It does not make sense.....and it doesn't make sense in wireless networking either. I do not want to pay for anyone else's service.

now I know why there's an option to turn off cell data on iPhone OS 4.

Funny is I posted a comment on the CBC news website when the Canadian data plan were announced, I was defending the 5gig limit because it’s a good way to avoid grief of wireless networks.

I got flame down to the ground… bla bla US plan is much better bla bla. Well, I so ROFL now.

First I'm going to call AT&T a flat out lier in that there is NO WAY that 65% of their customers use less than 200MB. Less that 500MB maybe but not 200.

I got tired of waiting for the iPhone on Verizon so I got a Motorola Droid last November. I can upgrade after a year I just don't get the new-every-two money. If I was doing it again today I'd get the Droid Incredible. I hope that the iPhone comes to Verizon so I can switch but if not I'm happy with my Droid.

I'm also hoping that Verizon does not follow AT&T when it comes to pricing at least not with this kind of crappy plan.

What would have been much better to take would have been something list this: Charge $15 for base of 500MB and $25 for a base of 2GB then charge everyone $10 for each additional 1GB if they go over their base. That's something I could live with, I've never gone over 2GB on my Droid, but not this piece of crap their trying to sell.

I hear you, but it's not that simple.

Those plans are priced based on a predicted use. If tethering was included for everyone the predicted use would be much higher and we'd all pay a lot more.

What's been happening, I suspect, is that most of us are not coming close to 2GB. Not close at all. And thus MOST of us have been paying way too much.

If we could "eat the mints we paid for any way we want" we'd probably get closer to getting what we paid for. But the predicted use would be higher and so would the plans.

Pricing for a capped max is the problem here, especially when there was only one tier. You can try to eat as much as you can out of spite, but it's not really productive. I think today's change is a step toward letting people pay for what they use, although one more tier between 200MB and 2GB might have been warranted.

Verizon WILL follow, no doubt about it. But maybe they will have a better plan.

Because people wanted an iPhone and unlimited was the only option available. While I and others and happy to be saving some money each month that doesn't mean others will be happy. It's been aptly stated by AIaddict, AppDev and others, it's designed to force the heavy users off AT&T, which is a win for AT&T and normal users.

Remember, it's smartphones, not just iPhones. Makes it more believable.

I was shocked at how low my use was this month, including heavy GPS use on about ten hours of road trips. Under 400MB.