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It wasn’t too long ago that AT&T CEO Randall Stephenson was complaining about his poor choice of offering unlimited data and saying that Apple’s iMessage was causing him loss of...
06-01-2012, 09:06 PM #1
AT&T CEO: Data-Only Plans for Smartphones Are Inevitable
It wasn’t too long ago that AT&T CEO Randall Stephenson was complaining about his poor choice of offering unlimited data and saying that Apple’s iMessage was causing him loss of sleep at night. Now the CEO feels that regardless of what AT&T (cough... Stephenson) wants, the company might have to start offering data-only smartphone plans in the distant future to compete with other cellular providers in coming years.
Services such as Apple’s FaceTime and iMessage, as well as Skype, Vonage, and other VoIP solutions are more affordable than ordering monthly phone service from cellular providers. They also work just fine off of the cellular data that smartphones are capable of tapping into. Stephenson envisions a day when people will use their smartphones only to tap into the cellular data, using VoIP and instant messaging services to dodge the high costs of phone and text messaging services.
Originally Posted by Randall Stephenson
With current technology pushing towards more data usage, if data-only smartphone plans were to become a reality in the future, cellular providers will likely find a way to bank off of the data caps to make up for their losses in phone and text messaging services. This could be very bothersome for the end-user. Even with modern phone and text messaging services being made available instead of VoIP services, a lot of smartphone users find it difficult to keep themselves within their small data caps. It would be even harder to remain within cellular data caps if VoIP services were to replace these services as the user would be eating through even more data per month to keep in contact with their friends and family.
Personally, I wouldn't mind the change if it ever came into reality. iMessage picks up the tab for a lot of my messaging, but it's always nice to have text messaging to fall back on when you're not texting an iOS device user or when iMessage fails. Even if the change came into effect, the phone and text messaging services likely wouldn't disappear from the face of the planet; they would probably just be purchased less by consumers.
Last edited by Anthony Bouchard; 06-01-2012 at 09:16 PM.
06-01-2012, 09:21 PM #2
he looks like he's about to get hit in the face with that at&t logo...
06-01-2012, 09:24 PM #3
Heck AT&T could just make data only plans charge 100 bucks for 5 gigs and unlimited for like 300 or 400.
06-01-2012, 10:32 PM #4
My God, I do this NOW. There is no reason it should be offered as a legit option in 24 MONTHS! I use an iPad sim in an iPhone or Android and works great. And I'll do it too once iPhone goes LTE. Heck right now I'm waiting for a Gevey Ultra in the mail for my CDMA 4S jailbroken, just so I can use a Verizon LTE sim with $20 iPad data on 3G. Live in the now people! Focus!
06-01-2012, 10:39 PM #5
This is guy is an idiot who doesn't not know how to run a company, they have no idea how to please their costumers and their stock holders at the same time, he is worst than a bank manager.
06-02-2012, 05:59 AM #6
I wouldn't say that. AT&T milks their customers now, with many more signing up everyday.
06-02-2012, 09:09 AM #7
Randall Stephenson doesn't give a **** about his customers. He only cares about the $$$ coming in, even if that means he has to raise prices for data or screw the customer over in some other way. He's the last person we want running AT&T...
06-02-2012, 09:18 AM #8
The most idiotic thing about what he's saying is that AT&T already did this less than a decade ago (back when they went by "Cingular")...I only remember Blackberries being able to add those plans, but sure as sh!t, yes they had data-only plans for smartphones. For him to talk about this now like it's some mystical white unicorn we should be on the lookout for in the next 2yrs is laughable (and sad).
FACT CHECK: there were non-RIM plans. Also Big Blue "retired" them as late as 2010 when they forced those customers to accept a voice plan. I guess someone figured why not squeeze another few hundred nickels outta ppl.
BTW: I'd never pay triple digits for a data-only plan. AT&T better hope folks don't recall that they only charged 40-90 for those data only plans before (depending on the allotment of data and if msgs were included) once they decide to offer them again (what's old is new!)
Last edited by RoloDiva13; 06-02-2012 at 09:27 AM.
06-02-2012, 10:42 AM #9
What a crock of SH*T! I hate these money grubbing corporations that only care about themselves and not the consumers. Makes me sick the amount of money they charge for data plans. I mean come on! I am paying $25 for 2GB which is fine cuz i barely even use 1GB. But thats besides the point. A data only plan will require unlimited, no doubt, and knowing these cell phone companies they will just rape people on the data only plans. We need UNLIMITED listen up CARRIERS! Especially with LTE coming out, with files, and pics, and videos getting much larger and better quality we need unlimited data or your LTE will be worthless!
06-02-2012, 12:07 PM #10
Then they should greatly improve their ******* service like maybe a good 4g. *********!!
Last edited by Orby; 06-02-2012 at 05:59 PM. Reason: Language, please.
06-02-2012, 01:44 PM #11
300mb as a base plan is incredibly ridiculous, if the rumors that FaceTime will be able to be used over 3G/4G no one would be able to use it with current data structures, unless you're lucky enough to still have unlimited. Which they'll probably find some way to jew us out of that soon (no offense )
06-02-2012, 03:56 PM #12
The issue these companies are having are with subsidies. You basically need to be paying more than $30 a month for a subsidized iPhone to become profitable. Do that math. If AT&T is eating $400 on every iPhone they haven't even broken even half way through your contract. And remember, you are also paying for service. A lot of people take a cell phone contract and turn it into a "rent to own" agreement in their heads. That really isn't what this is.------------------------------------------------------------------------------------------------------------------------------------------------------------------
I once prayed to God for an iPhone, but quickly found out He didn't work that way...so I stole an iPhone and prayed for His forgiveness.
A dog is the only thing on earth that loves you more than you love yourself. - Josh Billings
06-02-2012, 04:20 PM #13
Yes, Cingular/AT&T Mobility did/still do have data-only plans. There was LaptopConnect, which worked primarily on USB, ExpressCard, and PC Card setups. Those were not cheap ($60-80/month), required a contract and only the higher priced plans subsidized devices. Even though old LaptopConnect plans are no longer available, they reintroduced similar plans as 'BroadbandConnect' and 'DataConnect' and offered them with or without contract on many netbooks and tablets (including the iPad). The only thing that changed is that they can be prepaid and are not unlimited.
There were also PDA/BB data only plans as late as 2009 for RIM/Blackberry, WM, and PalmOS devices. They offered no voice (.40-1.00/minute if you decided to), and has options between limited data and unlimited data. They ranged around $50-$80/month & usually required a contract, but devices could be subsidized (mostly Blackberries).
Subsidies won't matter, since the carriers could just require and certain dollar amount minimum per month to discount the device. That's what they did with many netbooks (and EU carriers do for a discounted iPad). 'you want a cheap 3G netbook, pay $60/month or more for service and save $300 on the netbook.'
Last edited by GenesisDH; 06-02-2012 at 04:33 PM.Member of the hackint0sh forums.
HowardForums Member: Haas_Dave
06-02-2012, 05:52 PM #14
I don't feel bad for AT&T as they are worth billions. Not my fault they are paying $600 a phone..negotiate better. I've been saying this for a minute about data plan cost going up as voice becomes secondary. Im sure it won't be much longer when bills flip flop. Voice $25-$50 and Data $60-$100 or more. They are going to gouge us on whatever service we utilize the most, as they are a business. Not sure what fair has to do with it..corporations are known for greed and we fully support it. haha..i do love the pics you get of this idiot tho, always has some crazy look on his face and gleams of deceit and lies haha!
06-03-2012, 06:57 AM #15
06-03-2012, 03:13 PM #16
Randall Stephenson is total D-bag, he doesn't give a damn about customers! He just tries to suck as much money as he can from att customers.
06-03-2012, 03:23 PM #17
06-03-2012, 03:48 PM #18
Are you cracked out or something? Sprint's Simply EVERYTHING plan is only $150something a month. My plan (Everything Data) has 450 minutes, unlimited data, unlimited text, unlimited mms, unlimited roaming, SLP and Roadside Rescue for $102.97 a month. Screw being capped and throttled, and screw AT&T.
06-03-2012, 05:49 PM #19
This is inevitable. We think about having 2 types of networks - data and voice. This means the cell phone companies are using a back end circuit switched network to handle the voice and a packet switched network to handle the data. Packet switched networks that handle the data can share the line between multiple users while circuit switched networks that handle the voice are required to have a dedicated line for every caller. The network infrastructure to handle a circuit switched network is much costly and requires more equipment. It only makes sense that as data speeds get faster and faster, they will eventually be used for everything, and not just "smart phones". Having a network based entirely on packets will be more efficient for cell phone companies as well as customers (it should be anyway). This is not a wild prediction by the AT&T CEO, it's simply an observation of where things are going
06-03-2012, 07:40 PM #20