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Verizon Wireless clarifies unlimited data plans; pay full price, keep your plan

Verizon Wireless looked to clarify its position, and perhaps calm fears, that recent remarks by an executive hinted at a forced migration of customers currently on unlimited data plans for their smartphones to shared, bucket plans.

Verizon Wireless spokeswoman Brenda Raney noted in a statement this afternoon that:

“As we have stated publicly, Verizon Wireless has been evaluating its pricing structure for some time. Customers have told us that they want to share data, similar to how they share minutes today. We are working on plans to provide customers with that option and will introduce new plans later this year.
When the new options are introduced, unlimited data will no longer be available to our customers purchasing handsets and signing a new contract. Customers who choose to purchase phones at full retail price and are currently on an unlimited smartphone data plan will be able to keep that plan. The same pricing and policies will apply to all 3G and 4G LTE smartphones.
We will share specific details of the plans well in advance of their introduction so customers will have time to evaluate the plans and make the best decisions for their wireless service. It is our goal and commitment to continue to provide customers with the same high value service they have come to expect from Verizon Wireless.”

The explanation seems to indicate that consumers taking advantage of the carrier’s subsidized device pricing, or new customers signing up or service will be required to choose a bucket of data, while current customers with the unlimited offering and willing to pay full price for a new device can keep those plans.

The hubbub followed comments this week by Verizon CFO Fran Shammo, who said during an analyst conference:

“So as you come through an upgrade cycle and you upgrade in the future, you will have to go onto the data share plan. And moving away from, if you will, the unlimited world and moving everybody into a tiered structure data share-type plan.”

This statement sent shockwaves through the always-on-edge wireless community fearing that Verizon Wireless would be forcing people to give up their current unlimited data plans. While some industry analysts seemed to applaud the move as a way to reconstruct how operators view their subscriber base.

“We applaud Verizon and encourage rivals large and small to follow its lead in leveraging shared plans to not only evolve how users consume data, but overhaul how operators run a business with data consumption and accounts rather than individuals at its core,” noted Yankee Group senior analyst Rich Karpinski in a research note.

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