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AT&T joins Verizon, T-Mobile and Sprint in cutting overage fees

In rolling out new plans, AT&T is set to join rivals Verizon, T-Mobile and Sprint by cutting network speeds instead of charging overage fees

AT&T Mobility is finally set to join the anti-overage movement, announcing planned changes to its Mobile Share plans that slice data speeds instead of taking on additional fees when customers go over their data bucket allotment. However, similar to plans recently installed by Verizon Wireless, customers will be charged more per month for the larger data buckets.
The carrier said the new plans will be dubbed Mobile Share Advantage when they become available Aug. 21. The plans will cap maximum data speeds at 128 kilobits per second for the remainder of a billing cycle once the rate plan’s data allotment is reached.
The size and cost of those data buckets also are set to change with the move, resulting in some cases with a lower per-gigabyte charge, though higher bucket price points.
The basic plan will move from 300 megabytes of shared data to 1 gigabyte, though the price will increase from $20 to $30. Midlevel tiers see their data allotments change, with either a small or no change in the per-GB price; while the larger allotments see significant price cuts, with the 25 GB plan slashed from $175 to $110 and the 30 GB plan cut from $225 to $130 per month.
All new plans will continue to offer unlimited domestic calling and text messaging, unlimited messaging to more than 120 countries and the ability to rollover unused data for one month. New plans beginning at $80 per month for 10 GB of shared data also will receive unlimited voice calls and text messages to Canada and Mexico and have access to their plan’s features when traveling in Mexico, which previously required customers to select at least a 15 GB plan for $100 per month.
AT&T Mobility also is altering the per-device access fee on the new plans, with all smartphones, messaging devices and basic phones not tied to a device subsidy now charged $20 per month instead of the previous charge of either $15 or $25 per month depending on data bucket size.
With the move, AT&T Mobility will discontinue offering the current Mobile Share Value plans to new customers, although customers currently on those plans can keep those plans.
The move comes just over a month after rival Verizon Wireless rolled out similar changes to its shared data plans. That move was not without some controversy as the carrier followed up the announcement with a statement attempting to clarify what it deemed were news reports “incorrectly reporting this as a ‘price hike,’ which couldn’t be further from the truth.”
T-Mobile US jumped on the moves by Verizon Wireless in comments filed with the Federal Communications Commission claiming the moves should not be construed as positive for consumers. In a filing with the FCC’s Wireless Telecommunications Bureau, Kathleen Ham, SVP for government affairs at T-Mobile US, cited Verizon Wireless’ plan changes as copying those of T-Mobile US, but without the same consumer benefits.
T-Mobile US and Sprint had both previously launched a feature that slowed network speeds for consumers who went beyond their data bucket allotments instead of charging overages.
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