Home

Share this Story

Verizon CFO: Unlimited Data Plans Going Away, All Users Pushed Onto Shared Data

verizon logo

During the JP Morgan Media and Telecom conference, Verizon’s CFO Fran “ShamWow” Shammo dropped a bomb that most of you are not going to be a fan of. During his talk, he mentioned that unlimited data plans will go away completely when the company introduces shared data plans this summer. He talked about everyone’s next upgrade cycle and how at that time, users will be forced into shared data tiers and off of the unlimited plans that you have come to love. He mentioned specifically that 3G users on unlimited data will indeed have to go into a shared plan once they upgrade to a 4G phone, but in the quote we have below, it sounds like it is going beyond that.

Here is the quote from the conference:

LTE is our anchor point for data share. So as you come through an upgrade cycle and you upgrade in the future, you will have to go onto a data share plan. And moving away from, if you will, the unlimited world and moving everyone into a tiered structure/data share type plan.

So when you think about our 3G base, a lot of our 3G base is unlimited. As they start migrating to 4G they will have to come off of unlimited and go into the data share plan. And that’s beneficial for us for many reason, obviously.

Audio clip: Adobe Flash Player (version 9 or above) is required to play this audio clip. Download the latest version here. You also need to have JavaScript enabled in your browser.

Many of you are currently “grandfathered” into unlimited data and cherish that status as if it were your own child, so this move is going to be one that won’t be taken kindly. In the quote above, Shammo does mention that eventually, “everyone” will be on a share, but for now, it seems like just 3G customers who are forced into upgrading to 4G phones. The scariest part is the mention of your next upgrade cycle, which for many of you, isn’t all that far off.

Update:  This whole conversation with Shammo at the JP Morgan conference is fascinating. He really opened up and talked about their plans to make more and more money off of tiered data plans. They have set them up so that as consumers realize the power of LTE and use it more, that they will have to keep buying up in tiers. Also, as families add more devices over time, they will again have to buy up in tiers. While I understand this is a business and Verizon needs to continue to find ways to increase revenues, this is like a slap in the face to its customers. As if we all aren’t paying enough already, the way shared data plans are set up (according to Shammo), is to get you to continue to spend more and more money on data. Welcome to the future, folks.

Here is the audio:

Audio clip: Adobe Flash Player (version 9 or above) is required to play this audio clip. Download the latest version here. You also need to have JavaScript enabled in your browser.

Update:  Shared some of my own thoughts here.

Thoughts?

Via:  Verizon | Fierce Wireless

Cheers Tyler, Mo, and Mike!

  • Bummed in Hawaii

    I wasted 2 hrs. at Verizon yesterday and I still didn’t even make it to the counter. But there was one Rep that walked around and ask me what I was planning to do today. He told me if I upgrade to the new iPhone I would automatically be switch to the new “Shared Plan”.

    So after I left I went home and looked at Verizon’s website for there new “shared Plan”. Has anyone else seen the prices they going to dump on you. If you have a smart phone you will now pay $40 per month instead of the $30. If you have a basic phone you will have to pay $30 per month instead of $9.99. On top of having to pay for each phone then you have to pay monthly for the “Shared Plan” starting at $50 for 1GB shared, $60 2GB, $70 4GB, $80 6GB, $90 8GB and $100 10GB.

    Verizon claims this will be cheaper for the customer but that is a total lie. It is projected that if every Verizon customer was to stay and be switched to the new “Shared Plan” Verizon would make billions more per month in profit. So if Verizon is going to make billions how is the customer going to save. I plan to leave verizon when the time comes.

  • http://www.facebook.com/nancymwillis Nancy M. Willis

    I just tried to get my “free” upgrade …wanted to move from my current blackberry to a droid razr maxx, as if the 300.00 subsidized wasn’t enough money for them to make, i was told that to keep my unlimited data i would have to buy the phone at retail price, close to 700.00!!! in this economy Verizon will LOSE customers. the store which was always packed had few customers that night and now i see why. i know several people who have left Verizon already and i’m not far behind if my old blackberry dies. this is GREED to the maxx! Verizon is giving it’s customers the hacksaw nevermind a razr.! Disgusted, was even considering Fios..silly me. Got a can and a string?

  • Z

    Looks like I’ll take my business elsewhere. I’ve never heard of a mobile provider not allowing customers to retain their old plans, that’s just bad PR and custome service. Even if the competition has similar offerings I’ll migrate out of principle.

  • JudeLawGuardian

    One more reason not to sign up w/Verizon…

  • FUverizon

    lol hmmm guess I’m going to download ALL my torrents through my phone until they switch me over…I’ll get serious use out of my grandfather’d unlimited plan :)

  • Adam

    I currently have a 3G Samsung Fascinate with unlimited data but I’m do for an upgrade in a couple days. So if I get a 4G phone, can I keep my unlimited?

  • http://twitter.com/BrilStackz ShopWorkBril

    if they do that im leaving verizon

  • Dave Rieke

    So you now pay to upgrade….. and now pay for data…. so pay alot to be on verizon?

  • dt1214

    I am currently on a 3g unlimited data plan with a 2 year upgrade date in july….please correct me if I am wrong, but I should probably:

    1. upgrade to a 4g lte phone prior to verizon’s switch to the new shared data plan, thereby keeping my unlimited data
    2. if they announce that the shared data plan is going to go in effect prior to my 2 year upgrade date, pay $30 early upgrade fee and lose my $30 customer loyalty discount. but in this case, i can keep my unlimited data

    thanks..

  • http://www.facebook.com/people/Juan-C-Moreno/606146395 Juan C. Moreno

    never thought i’d leave Verizon….guess im gonna be pushed to Tmobile/ATT

  • zmonster

    Its funny to me that everyone threatens to leave if they loose unlim data where are u going to go exaxtly? Just about every one had tiered systems and son everyone will so instead of making idle threata why not do something productive like write vzw not call and complain cuz that does nothing written word way more powerful

  • http://www.facebook.com/profile.php?id=716789798 Lonnie Kerchief

    Verizon just pulled a Motorola.

  • Mikeeea

    Help a Nob Out :), Can i get some Clarification from the community on this.
    Ive been Grandfather into the Unlimited since ive had the unlimited data plan starting around 4 years ago.
    Does this mean -I will be capped? I will have to pay for going over a certain data limit?
    And when will this take effect?

    Thnx

  • http://pulse.yahoo.com/_XEJHDZTG277WQQGUMA6EJU4FFQ El Gringo Gigante

    Does any provider offer Unlimited anymore?

  • Red_Baran

    Join the FaceBook Group
    https://www.facebook.com/SaveV… Tell Verizon not to take our unlimited data!

  • Verizon Customer

    I just spoke with a Verizon West District Manager and explain Verizon will give the customer a heads up of any changes and the options for the better of their service. As of now no changes will be made.

  • http://twitter.com/DonJohn2012 Donovan Johnson

    If you have wifi you don’t need unlimited data

  • iceman

    Exactley, I’m contacting someone and announce the movement to othe service companies…

  • http://twitter.com/DCBenson7 David Benson

    So here is my question. My wife has a 4G LTE phone and has unlimited data, I have a 3G phone with unlimited data and have the upgrade feature now. Should I upgrade to 4G LTE now to get the unlimited data and lock that in or will that not matter? I just dont want to get an 4G LTE phone in the fall and not have the unlimited data grandfather plan. Should I upgrade before this goes into effect this summer or will that not matter? Thanks!

  • Ryan

    sorry if this was already addressed below…

    what if i already have unlimited 4G LTE? I bought into VZW’s first LTE phone the HTC Thunderbolt primarily for the reason of being grand fathered into unlimited LTE. At the time, I remember they mentioned that the unlimited LTE would be for the lifetime I am a customer of VZW. This totally goes against this previous understanding.

    clarification please!

  • 19jrs700

    My Verizon bill is already $333 a month with four phones on a 2000 minute family share plan and only one line is Grandfathered! How much more does Verizon want me to pay? I’m considering going with a Walmart prepaid phone that only makes and receives calls, I love my phone, but having a phone bill that’s more than my car payment is where I draw the line!