Don’t Worry About AT&T’s New Pricing, Says Mobile Exec

Sun, Jun 6, 2010

Industry, Mobile

If you were one of the many individuals that were miffed at AT&T dropping the unlimited data package from their phone plans, one executive thinks you should probably cool your jets. To him, it won’t matter.

Peter Yared, founder and CEO of mobile application infrastructure firm Transpond, wrote an editorial earlier in the week saying essentially prices will be falling and that companies that do not aggressively price will find themselves dead in the water.

“In the fiercely competitive world of Internet service providers, flat-rate pricing won out. Consumers loved it: They could budget against it. Here’s the good news: AT&T is mounting a last stand against a flat-rate wireless future. With new gadgets, and new wirelss technology, your phone bill will soon be a flat $60 a month, tops,” Yared writes.

He also cites competition from other sources, like Google Voice.

“The industry standard for a voice call is 64 kilobits per second. Compression cuts that in half. So 800 minutes of talk time amounts to less than 200 megabytes  of data. In that context, Apple’s rejection of a Google Voice app for the iPhone suddenly makes a lot of sense, since Google Voice gives you a phone number and the ability to send and receive text messages, all over a data connection.”

What do you think, dear readers? Do you think that wireless carriers will have to bow to the number of different competitive forces and offer better prices?

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Art is a Weekend Editor at Frisky Mongoose focusing on video games and the social media that surrounds them.

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  • RoBPrO

    How about getting the service back to were it was in the cingular days. Since ATT took it over my range has gotten smaller. Nation wide “Bull” I used to be able to get calls almost everywhere now My service has gotten worse. It all started with cingular changing their early plans, and something that made the range of the towers I can go through worse. I remember getting a letter about the change, but not sure what it meant. How can a company get supposably better and loose tower range. I don't get it. What ever happen. Once I find a phone like the iphone I like on U.S Cellular. I Probably move there, for the Better service they have.