AT&T claims every family should have access on the go, which is why they are “introducing” Smartphone data plans for the family. Only one problem. There is nothing new about the data plan, which still starts at $15 per month, per line, for up to 200MB of usage.
AT&T changed the plan’s name, but left the same high price in place. An Internet Overcharging scheme is still an Internet Overcharging scheme no matter how a wireless company pitches it.
The plan, which throws in AT&T Wi-Fi, which customers can also already get, “is designed for families that primarily surf the web, send and receive personal email and visit social networking sites,” says AT&T spokeswoman Mari Melguizo.
But a real data plan for families would let every user on the account share from one data plan, billed once on the account, not per phone. That’s not on offer from AT&T, although analysts predict the next wave of smartphone upgrades will come only when data pricing comes down, especially on accounts with multiple phones.
[flv width=”480″ height=”290″]http://www.phillipdampier.com/video/ATT Family Smartphone Data Plan Ad.flv[/flv]
AT&T’s new ad for the same old, overpriced product. (1 minute)
[flv width=”640″ height=”500″]http://www.phillipdampier.com/video/Bloomberg Doherty Sees Exodus of ATT IPhone Users to Verizon 1-11-11.flv[/flv]
Richard Doherty, research director at Envisioneering Group, Craig Moffett, an analyst at Sanford C. Bernstein, and Bloomberg Businessweek’s Roben Farzad talk about Verizon Wireless’s agreement to start selling Apple Inc.’s iPhone. They talk with Pimm Fox and Julie Hyman on Bloomberg Television’s “Taking Stock.” (9 minutes)
Some AT&T customers who buy bundled packages of services including landlines, cellular and satellite television have been running into a problem recently: AT&T keeps “losing” part of their monthly payments.
KOVR-TV’s consumer reporter Kurtis Ming shared the story of Karen and Darrell Smith. The Sacramento area residents were AT&T landline, cell phone, and satellite TV customers for years, faithfully paying their monthly bill on time with no problems until the family decided to cut the cord on their landline service.
Darrell says he was told it would be no problem. “She did say that once we cancel the landline then we wouldn’t be eligible for the bundle anymore, but we’ll just get a bill for it and just pay that.”
The Smiths say they paid their AT&T bills online in September, and October. But then they received past due notices from both DISH Network and AT&T. So what happened to the payments they have proof they paid?
“They said they had no way of knowing where the money went,” says Darrell. “Once it comes in it’s gone,” says Karen.
The Smiths say the billing issue didn’t seem to surprise AT&T.
“He said, ‘All you had to tell me was that you were having trouble with the bundled billing department because everybody in this company knows that money gets lost there all the time,’” says Karen.
Thus began several months of ongoing billing nightmares for the family, including familiar “buck-passing” between DISH, who blamed AT&T for the billing errors, and AT&T, whose representatives eventually zeroed out their balance, if only to get the Smith family out of their collective hair.
After AT&T shut off their cell phone service because of “past due” bills, the family cringed every time a new bill arrived, wondering what new problems would be coming next.
“How can a large company like this operate with such disjointed departments and such a lack of ability to communicate? She said that they’re working to improve that,” Karen tells the Sacramento CBS station.
After four months of nightmares, the family called the TV station hoping their consumer reporter could penetrate AT&T’s billing department and get the billing fixed once and for all.
Steven Smith (probably no relation), an AT&T representative, sent the station an official explanation that seemed to blame it all on the Smith family:
[…] Three revised final bills were generated due to payments made on the account. The first final bill separated the combined Mobility and DISH accounts. It appears the consumer did not understand that separate bills would be rendered from DISH and AT&T Mobility after the landline disconnection and the customer evidently did not notify their financial institution of the account changes for automatic payments….
Another AT&T representative suggested it was inappropriate for a customer service agent to state the company was having billing problems.
Ming was happy to report AT&T appears to have fixed the problem, at least for one family.
AT&T customers should always scrutinize their bills to make sure they are accurate. If errors are found, contact the company as soon as possible.
[flv width=”640″ height=”380″]http://www.phillipdampier.com/video/KOVR Sacramento ATT Losing Money 1-4-11.mp4[/flv]
KOVR-TV Sacramento’s consumer report Kevin Ming describes the story of one family’s ongoing billing problems with AT&T. (3 minutes)
Disgruntled AT&T customers, and those with infinite patience for Apple’s iPhone on Verizon Wireless’ network — your long wait appears to finally be over.
After nearly a year of speculation, Verizon Wireless is expected to announce the imminent arrival of the coveted smartphone on the nation’s largest wireless carrier at a press event tomorrow.
The Verizon version of the iPhone could come at a price premium, with some anticipating the entry level version of the phone could be priced as high as $249 — $50 higher than with AT&T. The usual two year contract applies.
Analysts predict a muted stampede, at least at first, by unhappy AT&T customers. As many as two million customers itching to dump AT&T could jump to Verizon in 2011, but they’ll pay dearly to do so. First, their existing AT&T iPhone won’t work on Verizon’s network, so that means a new phone and a new, two year contract with Verizon to get the best price. Second, AT&T locked many of its customers into two year contract extensions with the release of the last iPhone in June. No amount of whining by iPhone users, which has worked to score early upgrades and discounts in the past, will get AT&T to make the price of divorce less expensive. The company’s price to sever ties: more than $200 for most in-contract customers with the latest version of the popular phone.
[flv]http://www.phillipdampier.com/video/CNBC Verizon iPhone Package 1-10-11.flv[/flv]
CNBC discusses the pros and cons of Verizon’s adoption of Apple’s iPhone in these two reports. (8 minutes)
Verizon iPhone users will also give up something else: an iPhone that can multitask. AT&T’s GSM network allowed customers to browse web pages and run applications while you talked on the phone. Verizon’s CDMA network doesn’t support that. As long as you talk on your phone, your data applications won’t update. It’s an either/or proposition, at least for now.
Still, expect the iPhone to be a Verizon hit like none other. Carl Howe, an analyst for the Yankee Group, expects Verizon to sell 16.5 million iPhones in 2011, with more than half — 9 million — coming from Verizon’s own subscriber base.
The question is — can Verizon’s three bedroom house support the entire extended family showing up on their network doorstep?
AT&T’s network suffered from the onslaught of data-hungry iPhone devotees. As millions of Americans adopted the phone, an AT&T exclusive, the company’s wireless network groaned under the usage. With calls dropping, data trickling, and customer service irritating, AT&T scored rock-bottom in consumer ratings.
Some wonder if the same fate could afflict Verizon’s network. Verizon currently has the lowest percentage of smartphone customers using its network among the four major carriers. Verizon’s pricing is typically considered the culprit. Customers insisting on the iPhone ended up with AT&T. But those seeking Android phones had more choices — Sprint’s unlimited data plans at aggressive price points, T-Mobile’s value-oriented family shareplans, or Verizon’s robust network coverage at Cadillac pricing.
Putting the iPhone, already a premium-priced phone some consumers can’t live without, with Verizon’s reputation for high quality service, is expected to be a winning combination, and 16.5 million customers joining Verizon’s existing 30 million smartphone customers in a single year could have a dramatic impact.
“Unless Verizon has done a lot of network upgrades in advance, it may see many of the same capacity problems that have plagued AT&T,” Howe says.
The news AT&T is about to lose its exclusivity for the phone was taken in stride by some company executives, one who used the occasion to take a swipe at Verizon’s slower speed 3G network.
AT&T public relations head Larry Solomon pointed out Verizon’s 3G network relies on 3.1Mbps EVDO Rev. A technology while AT&T delivers 7.2Mbps on its HSPA 3G network.
The iPhone is built for speed, but that’s not what you get with a CDMA phone,” Solomon told Electronista. “I’m not sure iPhone users are ready for life in the slow lane.”
Verizon Wireless is expected to unveil the new phone Tuesday morning, with its in-store availability expected within a few weeks. For fans of unlimited usage, there is one more piece of good news: Verizon is expected to continue offering unlimited data usage plans to its new iPhone customers. AT&T cashiered its own unlimited data plan last spring, forcing customers to keep usage under 2GB per month if they don’t want an even higher bill. Verizon is reportedly confident its network can sustain the traffic, and will leave its data hungry customers alone… for now.
[flv width=”640″ height=”500″]http://www.phillipdampier.com/video/WTTG Bloomberg Verizon iPhone Package 1-10-11.flv[/flv]
WTTG-TV in Washington delivers the news about the imminent arrival of the iPhone on Verizon’s network in a consumer-friendly fashion, while Bloomberg delves deeper into exactly what impact the move will have on existing and future customers of both AT&T and Verizon. (9 minutes)