Unlimited data plans just aren't sustainable


Verizon's CEO Lowell McAdam believes there's a shelf life on unlimited data plans. If you have unlimited usage is like you just running out of gas. Last year, Verizon shed its unlimited data offer, instead opting for an adding pricing model and family data plans that offer customers a bucket of data.

Sprint and T-Mobile, offers unlimited data, to get aggressive with price and features. Sprint has offered to guarantee its unlimited data for life. Verizon has always had a good reputation for network reliability, but they will never lead on price. "On unlimited plans, the rise of bandwidth-hogging video will make it difficult for carriers to maintain an unlimited plan because spectrum needed to carry those signals are limited." McAdam said. He says that Verizon LTE deployment is about a year ahead of its main rival(AT&T), and 3 to 4 years ahead of smaller competitors. The introduction of Verizon Edge, a monthly installment and early upgrade program, also helped cut into its device cost, but has been criticized as a poor deal. He also talked about lowering the cost of subsidies paid out. He wants an environment with three or four different mobile operating systems. Android has competition within the company with Samsung, LG, or HTC. Saying of this, it will be hard to compete with the smaller competitors with unlimited data usage.

Brandon Teragawa
Brandon Teragawa