From my perspective, the end of unlimited data access from our internet service providers is near. First, Apple announced that the iPad would have an optional, 250 MB cap data plan. Second, Gizmodo referenced recent statements from Verizon and AT&T executives that indicate they're already planning to roll out pay-per-use plans to everybody.
My first my response to these events was to wonder: "How much data do I use each month on my iPhone?" In what eerily seems like expectation of that question from a lot of customers, AT&T has created a section in their online account management called "Billing History". Using this data, which only goes back to November of last year, and manually reading the rest of my usage from my bills dating back to when I got my iPhone 3G (it didn't save my bills from my first-gen iPhone) I put together the following chart.
Ignoring my tethering during holiday travel last year, I averaged around the 250 MB level AT&T offers as the budget plan for iPad users. To me, this means when these plans are finally announced for smartphones, they'll start at much less than 250 MB/month, and I'll be one of the few forced to pay for either a higher cap or unlimited—likely more than the $30/month we all pay today.
So are bandwidth cap plans a terrible thing for consumers? There's still a lot of unknowns that will influence that answer. I was definitely encouraged while reading the details of the iPad service plan. Some of the points I liked:
- No contract
- Upgrade to a higher plan mid-cycle
- The unlimited option hasn't been eliminated
It feels like a departure from the days where the service providers based their profits on charging overage fees. Could the recent legislation targeted at ending similarly anti-consumer practices by credit card companies be having a larger effect in other verticals?
