Verizon Boosts Price of Grandfathered Unlimited Data Plans By $20 (theverge.com) 176
nicholasjay writes: In November, Verizon Wireless is going to start charging its customers with the grandfathered "unlimited data" plans an extra $20 for the data. This is obviously an attempt to get people off of the old unlimited data plans. Even though a Verizon spokesperson confirmed the change, I'm hoping they won't go through with this plan — but right now I'm weighing all my options.
I don't like this at all (Score:4, Informative)
This is being reported all over. Here's a link from CNN Money.
http://money.cnn.com/2015/10/0... [cnn.com]
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Went over to Sprint from Verizon recently because they were offering cheaper unlimited data then my limited data plan with Verizon. When i was signing up the sales person mentioned that they used Verizon's towers as backup for their network with no roaming charges. So far I havent seen a spec of difference between the two carriers in terms of quality (spotty areas near where I live are spotty for both carriers) but I have yet to travel out to any real rural areas or do any real travel with it.
Of course Spri
Re:I don't like this at all (Score:5, Insightful)
Because Verizon got rid of unlimited data plans, and then coaxed people into staying with Verizon by assuring them they'd be grandfathered in on their current plans - only to jack the prices way up later.
It's a breach of trust and it rightly should send people fleeing to other carriers.
Re:I don't like this at all (Score:5, Insightful)
"It's a breach of trust and it rightly should send people fleeing to other carriers."
Where there would be no unlimited data plan.
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T-Mobiles 'unlimited' isn't.
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Maybe not, but what is? I've got it and I'd definitely recommend it over the cartel.
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T-Mobiles 'unlimited' isn't.
T-mobile (and many various MVNO's [wikipedia.org]) have unlimited data plans. They don't have an unlimited 4G data plan, but advertising as having unlimited data is perfectly correct based on how their plans work. They neither charge nor cut off your data if you exceed the 4G allowance.
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Yes, T-Mobile has an unlimited 4g plan. It costs about $30 above the base plan, but it is unlimited.
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T-Mobiles 'unlimited' isn't.
That depends on your definition of unlimited. Do they throttle your connection speed after a certain cap? Yes. But so does AT&T with their 'unlimited' plans that people are grandfathered into. At least T-Mobile is honest and upfront about it AND a hell of a lot cheaper to boot./P.
Re: I don't like this at all (Score:2)
T-mobile is $10 cheaper than my unlimited AT&T plan. And while I am technically on a 450 minute plan with AT&T (which I never used up anyway) they are now giving me unlimited talk, so unlimited everything. Plus I got the subsidized prices for my phone instead of that yearly upgrade scam.
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T-mobile is $10 cheaper than my unlimited AT&T plan. And while I am technically on a 450 minute plan with AT&T (which I never used up anyway) they are now giving me unlimited talk, so unlimited everything. Plus I got the subsidized prices for my phone instead of that yearly upgrade scam.
Well if you want to compare apples to apples then, T-Mo also has a service plan that is not available anymore which is exactly like the one you describe for $30 a month. I had that one up until about a year ago when I ditched it to get a plan that included free data for multiple tablet devices for only $20 more. I pay $50 a month for unlimited everything, though I only get 3GB of data at 4G speeds, that is sufficient most months.
Re:I don't like this at all (Score:5, Interesting)
T-Mobiles 'unlimited' isn't.
It's near enough. Their highest tier 4G/LTE (yes, annoyingly called unlimited) allows for 21GB of high speed data before dropping down to 128KB/s. Same with AT&T's grandfathered plan. Don't know about Sprint, but I doubt its any higher.
You also get data stash - I have 20GB in my stash and build it every month. Occasionally I dip into it (like when I do a lot of driving around for trips or business).
With TMO, you get 7GB/mo of tethering with that plan - and the data stash can leverage that so you can in one month tether 10's of GB if you need it.
Also music streaming is zero-rated on TMO with most streaming services (Apple music, Google, Amazon, Spotify, Pandora, etc) covered. So you're not going to have to spend GB's on that either.
Maybe you can get unlimited with VZ, but do they allow for tethering as well? Do they zero-rate music streaming?
T-mobile is as good as you can get right now without going for the "unicorn" of truly unlimited.
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Sprint does too.
Re:I don't like this at all (Score:4, Insightful)
If you trust any corporation then you are a fool.
Corporations care for one thing, next quarter's profits.
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This is pretty common in every industry. The loyal customers are grandfathered in for a while and then eventually when they renew, they have to renew at the then current rate. As contracts are typically only 2 years and the unlimited has been phased out probably a decade ago, I'm surprised that it's taken them this long to up the price. I'm actually surprised they haven't gotten completely rid of unlimited. Do you really expect to sign a 2 year contract and never have your price increased, ever? Just
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It's kind of ridiculous that many users have broadband speeds on their phones which surpass the speeds of their home internet connection, yet they can only use a few GB before being essentially cut-off.
That's because the technology is different. Wireless technology is a shared medium. They can transmit at high speed just like wired connections but it has to be shared by everyone in the area. It makes sense with a shared medium to implement fair use policies. The other way to do it is give everyone an equal slice at 128k (or slower) but I think everyone prefers having high-speed to an unlimited trickle. T-mobile probably has the best compromise where they switch you to the low-speed after you use up y
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Still being on unlimited and paying for it on time each month this getting bent over like this enrages me. Less than 1% of Verizon's users are still on unlimited and of those it's a fraction that user crazy amounts of data. I use on average 8gigs a month but when traveling I might use up to 20gigs. I'm going to walk into a Verizon store and say, "You can keep getting my $96/month and keep me on the unlimited or you will get $0/month and I'll take my business somewhere else." I'm sure they won't care but
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Because Verizon got rid of unlimited data plans, and then coaxed people into staying with Verizon by assuring them they'd be grandfathered in on their current plans - only to jack the prices way up later.
It's a breach of trust and it rightly should send people fleeing to other carriers.
So you are grandfathered. Forever. They can never raise rates? Ever? I don't see why that has to be true. Consider the last four years a parting gift from Verizon then... but seriously... people raise rates all the time. Some do it in the middle of a contract (Satellite TV I'm looking at you).
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When did Verizon ever promise not to increase the cost of plans?
The question (that the fine article doesn't address...) is whether or not they're waiting until the next contract cycle to add this increase. If they are, then yes, you're at least partly right that this is a non-story.
If they're upping the price right now and saying : "Well yes that is breach of contract, would you like to walk away from your unlimited plan that you'll never get again now?" ... then... yes, they're being downright underhanded and even hostile to their customers.
All things get more expensive over time... It called inflation.
You are an idiot.
Two problems with calling
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When did Verizon ever promise not to increase the cost of plans?
The question (that the fine article doesn't address...) is whether or not they're waiting until the next contract cycle to add this increase.
The story I read earlier this morning quoted someone or other as saying that customers currently in a contract won't see a change until the contract is up. If they renew, it will be at the new price.
Re:I don't like this at all (Score:4, Insightful)
The story I read earlier this morning quoted someone or other as saying that customers currently in a contract won't see a change until the contract is up. If they renew, it will be at the new price.
That's wrong, because nobody with an unlimited plan has a contract any more...they are all month-to-month, as their contracts have expired.
If you had an unlimited plan and wanted to do something that forced you into a contract (subsidized phone, etc.), then you were told that you had to sign up for a new plan. For a while now, Verizon doesn't have an phone subsidies, so people with unlimited who stuck it out this long now had no incentive to switch off the plan...they would pay full price for any new device. So, Verizon is raising their rates to try to convince them to switch. It's not very nice, but it is unfortunately legal.
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Not true. I have an unlimited plan, and I'm in contract until October 2017.
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Two phones, one unlimited, one not. Transfer the upgrade from the unlimited phone to the non-unlimited, then upgrade the phone. Unlimited phone's upgrade is used, contract's locked in for another two years. Plus, iPhone 6s for $280.
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The story I read earlier this morning quoted someone or other as saying that customers currently in a contract won't see a change until the contract is up. If they renew, it will be at the new price.
That's wrong, because nobody with an unlimited plan has a contract any more...they are all month-to-month, as their contracts have expired.
If you had an unlimited plan and wanted to do something that forced you into a contract (subsidized phone, etc.), then you were told that you had to sign up for a new plan. For a while now, Verizon doesn't have an phone subsidies, so people with unlimited who stuck it out this long now had no incentive to switch off the plan...they would pay full price for any new device. So, Verizon is raising their rates to try to convince them to switch. It's not very nice, but it is unfortunately legal.
Except for the millions of people who've been upgrading their phones every 18-24 months and reupping their contract end date while keeping their original pricing plan and data allotment.
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The story I read earlier this morning quoted someone or other as saying that customers currently in a contract won't see a change until the contract is up. If they renew, it will be at the new price.
Ah. Well in that case, Verizon is doing nothing wrong. The main reason I suspected the other possibility is that, if memory serves, Verizon has told their unlimited peeps that they have to pay full price for their phones. Under that circumstance they would not care at all if anybody had walked away from their unlimited plan if they changed the price mid-stream.
I have a grandfathered unlimited plan with AT&T and I'm paying $30/mo for it. If they raised it to $50 I wouldn't personally be too upset, bu
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However, as time goes by, people use more and more data on their mobile devices. All of which requires additional investment or incentivising customers to lower their data usage.
A few years ago, average data usage on one of the UK's mobile networks was c. 2GB per month. This year, average data usage on the same network is c. 4GB per month. I have an unlimited (genuinely unlimited) plan with the same network and my average monthly usage has gone from 2GB to 15GB in the same period of time.
So, in spite of pri
Does your carrier zero-rate music streaming? (Score:2)
However, as time goes by, people use more and more data on their mobile devices. All of which requires additional investment or incentivising customers to lower their data usage.
A few years ago, average data usage on one of the UK's mobile networks was c. 2GB per month. This year, average data usage on the same network is c. 4GB per month. I have an unlimited (genuinely unlimited) plan with the same network and my average monthly usage has gone from 2GB to 15GB in the same period of time.
So, in spite of prices going up, we are probably actually seeing a decrease in the cost per unit used.
I'm wondering how much of that is streaming music or video? Over here in the US, on Tmobile, I average about 1.5GB/mo with a lot of streaming, email and maps usage, but my music is zero-rated so it doesn't show up as used bandwidth.
What's your usage pattern for 15GB/mo?
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>All things get more expensive over time... It called inflation.
Data should be getting cheaper, not more expensive. Infrastructure costs big money upfront, less money when the investment's been recoup'd.
Also, gasoline used to be $4/gallon. Now it's cheaper. Your whole statement is just wrong.
YOU are the idiot.
Umm. Didn't gasoline also used to NOT be $4/gallon? I'm not all that old, but remember it being 89 cents a gallon. Also, there are a few external influences that affect gas prices.
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They deserve a break (Score:5, Funny)
Those bastards!
Grandfathers are usually on fixed incomes.
Seriously? Who uses Verizon? They're pure evil! (Score:1)
I'm not even in an area where I have good service with T-Mobile (it's actually not that bad although I'm in a remote area with less service coverage than most people would desire- ie no 3G/4G/5G) and yet I still stick to T-Mobile. Verizon is the equivalent of Comcast in the cellular industry. They've done all sorts of horrible things from cooperation with the NSA to crippling phone lines and landline internet services to prevent users from switching *back* to services they are legally required to offer (ie
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Seriously? Who uses Verizon?
More than 1/3rd of the US population.
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Re:Seriously? Who uses Verizon? They're pure evil! (Score:4, Informative)
U.S. Cellular roams off of Verizon towers, and vice versa. I switched about 2 years ago from Verizon, where I had the grandfathered unlimited data plan... and had been a Verizon customer for 10+ years, when they wouldn't let me upgrade phones without either losing my unlimited data plan or paying $600+ for a phone.
U.S. Cellular _IS_ a little spottier in some very remote areas of my state, and roams on VZW towers anywhere ~1-2 hours north of my hometown, but otherwise is pretty comparable to VZW coverage... with a ~30+% reduction in my bill every month.
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Not really... You can always sign up for a cheaper provider that allows roaming onto Verizon's network. But personally, I'd try carrying a portable signal booster and see if that improves the signal enough for another carrier to function in those areas.
Sounds like you need the clue by four (Score:5, Insightful)
"Even though a Verizon spokesperson confirmed the change, I'm hoping they won't go through with this plan"
I hate to break it to you, but they are going through with this plan.
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In the past companies have reversed their decision based on public outcry; it's not unprecedented.
Re:Sounds like you need the clue by four (Score:5, Insightful)
Verizon has also been shown to not give a damn.
I'd expect all the other telcos to follow suit pretty much immediately.
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Exactly. Verizon would likely prefer losing these customers rather than trying to appease them. The whole point of this action and all the previous ones is to get people to cancel their contract.
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Only an immensely tiny minority of their current customers can still have these grandfathered plans. Even if all of those users left, Verizon would still have more than 130 million subscribers.
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Only an immensely tiny minority of their current customers can still have these grandfathered plans. Even if all of those users left, Verizon would still have more than 130 million subscribers.
Assuming that's true - and I have no reason to doubt - then the amount of money Verizon stands to gain off these users is relatively small and the only reason for Verizon to dick them over is simply because they can.
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Sure, that is the whole point. They are purposefully making the terms onerous to get peope to cancel their contract.
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Exactly. Less people on low-margin plans means that any revenue loss is more than offset by the ass-rape margins on their other plans.
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Yes but the 'public' consisting of a relative small number of cellular customers who have a plan that has not been offered in five years or so is a pretty small public. Even if its a public of atypically noisy early adopters.
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In the past companies have reversed their decision based on public outcry; it's not unprecedented.
My guess is that Verizon loses money on the handful of grandfathered plans that remain. You can stomp your feet and pout but it's like the old "sure we're losing money on each item but we'll make up for it on volume."
Getting people to quit is the *point* of this move. They want people to quit so that they stop wasting their attention and resources on a handful of entitled customers that they no longer want.
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I always kinda expected it because once I had a phone that didn't work well(dropped 50% of calls within a few minutes), yet Verizon wouldn't bow out of the contract. Verizon made me pay for a phone that didn't work because contracts only benefited them and not the customer.
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Exactly. I gave up on the stupid contracts years ago, when pay as you go phones were only marketed to criminals and old people. Buying a cheap GoPhone and plugging the SIM into an iPhone I picked up cheap worked just fine, all you had to do was change the APN, that took two seconds. When AT&T finally figured out what was going on circa 2013 and jacked up the rate for pay as you go, I happily jumped ship to Ting. Sure, I had to pay for the phone, but at this point I've saved quite literally thousands of
BAHAHAHA! GOODBYE! (Score:2, Interesting)
I've been hanging around on my old grandfather'd Verizon plan for ages because of the unlimited data. I had been recently considering switching to Google Fi. This just dropped a 50 ton weight on the other end of the see-saw I've been balancing on. Good bye and good riddance Verizon!
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Because he pays "all you can eat" prices every day, and usually just grabs a sandwich.
He's saying he is extremely profitable to them.
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But he's not. The unlimited plan isn't that profitable. That's why Verizon is trying to purposefully push people out of that contract by increasing the cost.
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The plan overall isn't but he/his case is. It's like someone who buys an unlimited ride transit pass for $30, but the total cost of their trips during the validity period would have been $25 without the pass. For that one customer, the transit authority collected $5 more than if the unlimited pass weren't offered.
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If any of that were true they wouldn't be raising the costs of the plan where the goal is to get them off of it. Their metered plans are far, far more profitable.
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You and the GP are talking about two different things. You are talking about the plan as a whole, he is talking about his specific data point. Him, specifically, as a customer generates more profit on the unlimited plan than a capped one (which are lower cost) since he barely uses any of it. If I ran an all you can eat restaurant, the guy who gets a salad every day and leaves is not the one I want going to a competitor, but rather the guy who sits there for 4 hours continuously eating to get two oversize
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He is extremely profitable, moreso than under a fixed plan. Many other users of the plans are less plan are not.
This happens all the time. It's worth it for a candy bar company to sell "sitting on the fence" Pete a bar for half price. But not worth selling just to him to drop their price for everyone by half.
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He is extremely profitable, moreso than under a fixed plan.
He might bring in *more revenue*, but that doesn't mean that the user is *more profitable* for Verizon.
"Grandfathered" (Score:2)
Verizon = Darth Vader (Score:5, Funny)
Darth Vader: "I am altering the deal. Pray I don't alter it any further."
Verizon: "I am altering the deal. Pray I don't alter it any further."
Kind of hard to tell them apart if you ask me.
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Kind of hard to tell them apart if you ask me.
No one dresses up like Verizon on Halloween?
Re:Verizon = Darth Vader (Score:5, Funny)
"Can you fear me now?"
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Vader works for AT&T. They use the Death Star as their corporate logo.
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Kind of hard to tell them apart if you ask me.
Vader is generally competent, a big blind spot around his kid aside. Verizon, OTOH...
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So that's why Verizon got James Earl Jones to do their commercials.
It all makes sense now....
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So, who is Luke Skywalker then? :P
Sprint did this to me (Score:2)
I was a founding joiner of Sprint. Worked for Qualcomm, got a good deal on a Qualcomm candy bar. Anyway, I had unlimited data and a pretty good price on Sprint for about 10 years. Then they let me know they are moving me to a 3 gig plan and I get to pay a bit more for it. I said no thanks and moved to AT&T. That was 10 years ago. Sprint has spent time and money trying to woo people like me back. I think of the 1000's of $ that Sprint did not make off of me in an attempt to gouge every last cent
We Left AT&T for similar reasons (Score:2)
My wife and I were on the AT&T unlimited data plan which got grandfathered once they dropped that plan. AT&T was very interested in pushing people off of that plan which they achieved by throttling people who used too much data. My wife received notice that her data was going to be throttled for the remainder of the billing period for going over around 3 GB. This happened right around when T-Mobile started their "un-carrier" plan which included unlimited data, voice and text. We left AT&T shortl
AT&T raised throttling limit to 22GB (Score:2)
I'm sorry that you left AT&T and its unlimited plan. I've been with AT&T since 2008 and its unlimited plan. I pay $70/month, inclusive of everything.
Keep an eye on your data plan! (Score:2)
My phone is paid for by the company I work for, so data is Someone Else's Problem for now. My wife's phone is paid for by us, and she's been on the AT&T unlimited plan for ages. Every single time she's done equipment swaps, upgrades, any plan changes whatsoever, they very subtly try to sneak her out of the unlimited data plan. She's extremely savvy when it comes to this stuff, but it's amazing how slick they are when describing the change, and once you sign for the changes, you lose access to the old pl
Join Google Fi (Score:2)
Verizon wouldn't know the truth if it bit them... (Score:2)
...in the ass.
They claim that less than 1% of their customers still have unlimited data. As if nobody remembers this time last year when they were talking about throttling grandfathered LTE service. Let me see if I can find the info from then...There it is. In August of 2014, they claimed that 20% of their customers still had unlimited data and 95% of those customers use less than 5 gigs of data.
So I'm supposed to believe that they've managed to cull 95% of their grandfathered customers in the last year?
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Not when the contract has a clause that says they can do exactly that. If you don't like the change, the contract allows you to back out.
Re:hmm... (Score:5, Informative)
This is not a breach of contract (and likewise can't be used to get out of your contract without paying the ETF) because it doesn't go into effect until the contract ends for the folks that are still under contract. Now most folks who have unlimited data are not under contract but there still a number of them that use loop holes that allow you to continue with unlimited data and get subsidize phones but make you sign up for a contract. Generally the loopholes involve transferring the upgrade to a second line, doing the upgrade on that line, and transferring the new phone back.
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You have two options. 1) Agree with what they do and pay more 2) Say it is a breach of contract and drop out
With 1) the company gets what they want However with 2) the company gets what they want.
While it makes sense in situation you describe (the company you work for losing money every week) for them to cut their loses, I'm doubting that Verizon is in that desperate a situation -- which means that if you take option 2 and drop out, switching to another carrier, no, Verizon isn't exactly get what it wants. They've lost a customer and whatever their monthly profit was on that customer, plus they'll have to spend money trying to get that customer back (which may not succeed).
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They've lost a customer and whatever their monthly profit was on that customer, plus they'll have to spend money trying to get that customer back (which may not succeed).
Or they'll just get other subscribers to join that will start out on a higher-margin plan and thus Verizon wins. Why would they spend money to get a lower-profit customer over simply getting new customers that they'll extract more profit from?
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wouldn't this constitute a breach of contract?
You mean the 2 year contract that has long since expired?
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Most cell contracts say they can change the price anytime.
Some might but I haven't seen this but it doesn't really matter as most contracts are only good for 2 years and no judge is going to hold a company to a contract that expired 8 years ago. And yes, most contracts in any industry say they can adjust the price on renewal of the contract.
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> And yes, most contracts in any industry say they can adjust the price on renewal of the contract.
Uh, if the terms of the contract are changing, that's not a renewal, thats a new contract trying to be passed off as an existing one.
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IF it would ever get to trail since the contract states you agree to arbitration for everything.
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You can try to sue that the clause is illegal to invalidate the contract but you're facing very little success of winning that.
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What court? You agreed to forced arbitration which the Supreme Court upheld as legal.
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Once a person is on a plan, the "plan" cannot change without prior written consent of the customer.
Have fun with your class action lawsuit there Verizon., you're gonna end up giving all the grandfathered accounts free unlimited for life.
Does this still apply if the customers are on a month-by-month plan? There's no contract at that point, as the contracts only lasted two years and they have long since expired.
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there are no active "plans" that are unlimited, only fools think they can sue this one out.
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It never applied even for customers on a contract. GP apparently never read the contract they signed with Verizon.
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Actually it can. The contract people agreed to when signing up for service says that they can change the price at any time. However, if the price goes up you have the right to back out of the contract without paying the early termination fee.
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Have fun with your class action lawsuit there Verizon., you're gonna end up giving all the grandfathered accounts free unlimited for life.
Unless you can prove the contract illegal, have fun trying to get a class action lawsuit when you agreed to Supreme-Court-upheld [washingtonpost.com] forced arbitration.
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It only goes into effect on those who are "off-contract" and on month-to-month. If you are "on-contract" with unlimited data, it remains $29.99 until the end of your contract.
Their contract lawyers have thought of everything so don't worry.
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And the Supreme Court has upheld the forced arbitration clause which gives them even more leverage to fuck people over.
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The thing that Verizon doesn't realize is that the type of people that hung onto this plan for 3 years are not the type of people that will stay with Verizon if they get off of unlimited, its the type of people that hang out on slick deals.
And they are a microscopic minority of Verizon's 135 million subscribers. Verizon likely won't bat an eye if they leave.
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Except that these customers are far more expensive to support than the people on higher margin plans. So likely they'll offset the revenue loss with more profit do to fatter margins.
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Umm, no. The heavy users will pay the extra $20 and keep being heavy users since there is nowhere else they can go for the same price service, meanwhile the vast majority of grandfathered in users that I have talked to ( and I was one myself for many a year ) keep the unlimited data "in case of emergency" I.E. their internet at home goes down. Verizon will lose the people who didn't use an excessive amount of data, while STILL having to keep the big users.
It's lose / lose. The customers lose their "safety
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Umm, no. The heavy users will pay the extra $20 and keep being heavy users since there is nowhere else they can go for the same price service
You just contradicted yourself. The whole reason why Verizon is trying to get people off of their grandfathered plans is because the heavy data usage costs Verizon more money. If being a heavy data user was more profitable for Verizon they would have never gotten rid of the unlimited plans to begin with.
A happy long term customer is worth a LOT more than a new signed customer.
Only if the long-term customer isn't one that costs more to support than a new user. And Verizon has already stated that these data-heavy users are more costly.
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... wow, this is like... a nesting egg of awesome.
one guys tosses in islamophobia... for some unknowable reason.
the other guy assumes he's shilling for israel.
We shoulda just given all the jews a state... maybe part of utah or part of new mexico... look what the mormons did with utah, and I at least think the jews are less crazy than the mormons. :)
"You venture to call Ferdinand a wise ruler," he said to his courtiers — "he who has impoverished his own country and enriched mine!" Bayezid- ruler of ott
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nah, you don't need to shill for israel to be islamophobic.
i'm under the impression that demographic-shifting waves of muslim immigration into europe have people slightly worried there on that front too... and those europeans are anti-semitic too.
there's no reason he can't hate both muslims and jews, but had to choose one in this situation.