After you do the complicated math, in multiple cases, these new plans are actually a price hike for consumers. – T-Mobile marketing executive Andrew Sherrard
As one would expect, Sherrard did not waste any time in bringing up that a family of four could save as much as $600 if they chose T-Mobile’s Simple Choice plan instead of AT&T’s no-contract plan.
Since the AT&T Mobile Share Value plans have been released with the goal of decreasing the cost of a person’s monthly plan, T-Mobile’s statements are quite harsh. The Share Value plans allow a customer to save as much as $15 per month if they are not paying for a subsidized phone.
Of course, no-contract plans such as the ones put out by AT&T have already become popular overseas but until recently, phone subsidies were a way for carriers to hike up prices in the United States and collect extra money from customers even if they were bringing their own phone and did not pay for a subsidized one.
T-Mobile has seen a massive increase in its customer base since its CEO got rid of contracts and lowered monthly rates. In the last quarter alone, the carrier saw 1 million new customers, which is a larger increase than many of its competitors are seeing.
Since AT&T’s new plans threaten T-Mobile it is not surprising that the carrier is fighting back and bashing the plans. The math does show that customers are not saving tons with AT&T’s new plans and that T-Mobile does cost less in most situations, however the service that someone receives with T-Mobile is far from being as good as what AT&T is capable of offering.
Photo Credit: IVN