Verizon Wireless continues to build on its domination in the wireless data space, adding a handful of new markets to its rapidly growing coverage area while at the same time cutting prices.
The carrier now offers its CDMA2000 1x EV-DO-based BroadbandAccess service in 61 markets covering 140 million potential customers across the country and 39 of the nation’s top 50 markets. Verizon Wireless has said it plans to cover more than half the country’s population by the end of the year.
Analysts noted the expansion will allow Verizon Wireless to begin marketing the service nationally, which should increase adoption rates. Verizon Wireless Chief Executive Officer Denny Strigl noted earlier this year that the carrier had signed up more than 500,000 customers to its EV-DO service.
“This is the point where Verizon Wireless has expanded their high-speed services to enough markets that they can switch from marketing on a city-by-city basis to a national basis,” said telecommunications industry analyst Jeff Kagan. “We can now expect to see national advertising and marketing for these services.”
Sprint Nextel Corp. launched EV-DO services last month in 34 markets and said it plans to cover 92 million pops by the end of the third quarter and 143 million pops by the end of the year. Local comparison testing in the Denver market by RCR Wireless News staff showed Verizon Wireless’ EV-DO network coverage to be much more extensive than Sprint Nextel’s EV-DO network.
In connection with its network expansion, Verizon Wireless also lowered the price of unlimited access to its BroadbandAccess EV-DO network using a PC Card for current voice customers by 25 percent to $60 per month. The price cut matches what Verizon charges for unlimited access to its slower-speed NationalAccess 1x network.
Customers not signed up for a Verizon Wireless voice plan are still charged $80 per month for unlimited access. Verizon Wireless’ handset-based Vcast service remains at $15 per month for unlimited access.
Sprint Nextel responded to Verizon Wireless’ price cut by lowering the price for unlimited access to its EV-DO network from $80 per month to $60 per month. Like Verizon Wireless, Sprint Nextel’s price cut requires customers to have a qualifying voice plan and is only available until Oct. 31.
Verizon Wireless and Sprint Nextel are not the only operators expanding their high-speed wireless networks. T-Mobile USA Inc. said it has launched EDGE services across 90 percent of its GPRS-enabled network and that the higher-speed wireless data service now is commercially available to customers with EDGE-enabled devices. The carrier was expected to launch EDGE earlier this year, but delayed the service due to a lack of compelling devices.
T-Mobile USA currently offers a pair of EDGE-enabled handsets from Motorola Inc. and Nokia Corp. A company spokesman said customers can continue to access the EDGE services for the same $30 per month for unlimited access as their current GPRS rate plans, but that the carrier would begin looking at possible EDGE-specific pricing plans sometime in the future.
Cingular Wireless L.L.C. currently offers EDGE services across most of its network and plans to offer higher-speed UMTS/HSDPA services in at least 15 markets by the end of the year. T-Mobile USA’s parent company, Deutsche Telekom AG, said it was waiting on additional spectrum before announcing additional network upgrades. RCR
