For smartphone users, Monday’s news showed why some competition isn’t a bad thing. Less than a day after Verizon reintroduced unlimited data plans — the mobile provider stopped offering them in 2011 — T-Mobile CEO John Legere announced via Twitter that the carrier would update its pre existing unlimited data plan.
1/ No shock that @Verizon finally decided to show up. And I don’t blame them for caving. What choice did they have?
— John Legere (@JohnLegere) February 13, 2017
The counter from T-Mobile is the latest aggressive move from smaller carriers who want to take on competitors like AT&T and Verizon. But on the fine print, how do the two plans stack up?
Verizon’s New Unlimited Data Plan
Cost: $80/month for a single line, $140/month for two lines, $180 for four lines (without taxes)
Data Limits: Throttling after 22GB
Tethering: Additional 10GB included, throttles to 3G speeds beyond cap
Video Streaming: No throttle cap
T-Mobile’s Unlimited Data Plan
Cost: $70/month for a single line, $100/month for two lines, $160 for four lines under current promotion (with taxes)
$70/month for a single line, $120/month for two lines, $160 for four lines normally (with taxes)
Data Limits: Throttling after 28GB
Tethering: Additional 10GB included, throttles to 3G speeds beyond cap (new addition)
Video Streaming: No throttle cap (new addition)
On paper, Verizon’s unlimited deal is miles ahead of what the carrier used to exclusively offer through its capped data packages. With the generous data cap, it’s now far easier to social and streaming audio apps like Spotify without encountering throttling, since few general users will likely hit that 22GB limit. The secondary data pool for tethering is an added benefit if you’re frequently going to be working outside of your home.
Still, T-Mobile’s lower price tag will likely be the deciding factor for cost-conscious buyers. Even without the carrier’s current promotion, you’ll still be seeing significant savings if you’re setting up a single or multi-line account with T-Mobile. With its higher throttle cap and matching of Verizon’s own side features, the carrier narrowed the margin of difference even further.
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