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AT&T Raises Wireless Data Plan Fees 33 Percent

Updated: Wednesday, 18 Jan 2012, 4:49 PM PST
Published : Wednesday, 18 Jan 2012, 4:49 PM PST

(NewsCore) - AT&T Inc. said Wednesday it is raising prices for its data plans used to support smartphones and tablet computers by as much as 33 percent.

The carrier said that effective Jan. 22, new customers on its least-expensive smartphone plan will have to pay $20 monthly for 300 megabytes of data, compared with the current 200-megabyte plan at $15. Smartphone or tablet users needing more data will need to pay $30 for a three gigabyte plan, up from $25 for two gigabytes.

"Data usage is increasing at about 40 percent a year," said Mark Siegel, an AT&T spokesman, in an email. "We want to give customers more data upfront."

AT&T was the first US carrier to limit users' data consumption when it announced so-called tiered pricing plans in June 2010. Carriers have been looking for ways to ease the burden on their networks as customers stream television episodes and download photos and other media to their handheld devices.

AT&T may need to be more aggressive in managing its network following its failed bid to take over rival T-Mobile USA for $39 billion. The telecommunications giant said the merger was necessary to stave off a coming shortage of available wireless airwaves, or spectrum.

Siegel said the cost per gigabyte would decrease under the new plans, though new customers won't be able to opt into the current lower-priced plans. Current customers, including those using a prior $30-per-month unlimited package, can keep their existing plans, he said.

Verizon Wireless, AT&T's chief rival, currently offers a two-gigabyte data plan for $30 monthly, and five gigabytes for $50 monthly. Sprint Nextel Corp. and T-Mobile USA still offer unlimited data plans.

The highest-priced data plan on AT&T will rise to $50 for five gigabytes, like Verizon Wireless, up from $45 for four gigabytes today. An extra one gigabyte of data is available for $10 monthly for customers on plans of three gigabytes or higher, AT&T said.

The carriers have said they are considering plans that would offer users a set amount of data to be used across several devices.

 

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