Comments on: Unlimited Plans Could Create Unlimited Trouble http://gigaom.com/2008/04/08/unlimited-plans-could-create-unlimited-trouble/ The Business of Technology Sun, 23 Nov 2008 10:03:25 +0000 http://wordpress.org/?v=MU hourly 1 By: kilroy http://gigaom.com/2008/04/08/unlimited-plans-could-create-unlimited-trouble/#comment-870793 kilroy Fri, 11 Apr 2008 20:42:31 +0000 http://gigaom.com/?p=12091#comment-870793 <p>Dan Hesse was also CEO of ATT Worldnet when it became the first ISP to go unlimited with their dial-up service</p> Dan Hesse was also CEO of ATT Worldnet when it became the first ISP to go unlimited with their dial-up service

]]> By: Kilroy http://gigaom.com/2008/04/08/unlimited-plans-could-create-unlimited-trouble/#comment-870792 Kilroy Fri, 11 Apr 2008 20:40:59 +0000 http://gigaom.com/?p=12091#comment-870792 <p>I am surprised no one has mentioned 4g technology. Granted, it will be a year or so before we see heavy 4g integration on any network, Sprint being the front runner, 4g is supposed to incorporate VOIP Technology that will increase bandwidth to the point that tower capacity issues will be a thing of the past. Just because people are using the services more does not mean there will not be any network growth. On the contrary, the unlimited plans will drive competition to the level that we should plan to see exponential growth in prices and technology, so that customers will be able to use the services as much as they want, not as much as they are limited. In no way could this have a long term negative effect on the industry. Were we really worried about losing bandwidth when dial up ISP's went unlimited? (It might even be said that Sprint CEO Dan Hesse is responsible for the quick release of the unlimited plans. What a lot of people don't realize is that Sprint has been testing an unlimited plan in select markets for a couple of years. Sprint had posted on their site for 1 day that they were going unlimited until Engadget.com posted, then pulled it from their website so that Engadget had to post a retraction. 1 Week later all of the major carriers launched an unlimited plan, which Sprint conveniently undercut by including unlimited data and text.)</p> I am surprised no one has mentioned 4g technology. Granted, it will be a year or so before we see heavy 4g integration on any network, Sprint being the front runner, 4g is supposed to incorporate VOIP Technology that will increase bandwidth to the point that tower capacity issues will be a thing of the past. Just because people are using the services more does not mean there will not be any network growth. On the contrary, the unlimited plans will drive competition to the level that we should plan to see exponential growth in prices and technology, so that customers will be able to use the services as much as they want, not as much as they are limited. In no way could this have a long term negative effect on the industry. Were we really worried about losing bandwidth when dial up ISP’s went unlimited? (It might even be said that
Sprint CEO Dan Hesse is responsible for the quick release of the unlimited plans. What a lot of people don’t realize is that Sprint has been testing an unlimited plan in select markets for a couple of years. Sprint had posted on their site for 1 day that they were going unlimited until Engadget.com posted, then pulled it from their website so that Engadget had to post a retraction. 1 Week later all of the major carriers launched an unlimited plan, which Sprint conveniently undercut by including unlimited data and text.)

]]> By: Tech Verdict » Blog Archive » Stating The Obvious: Unlimited Data Plans Increase Usage http://gigaom.com/2008/04/08/unlimited-plans-could-create-unlimited-trouble/#comment-870736 Tech Verdict » Blog Archive » Stating The Obvious: Unlimited Data Plans Increase Usage Fri, 11 Apr 2008 14:18:13 +0000 http://gigaom.com/?p=12091#comment-870736 <p>[...] has put out a report supposedly warning all these wireless firms hyping up "unlimited" plans that unlimited plans tend to increase usage. You think? Really? One would have hoped, given the long history of unlimited usage plans in other [...]</p> [...] has put out a report supposedly warning all these wireless firms hyping up “unlimited” plans that unlimited plans tend to increase usage. You think? Really? One would have hoped, given the long history of unlimited usage plans in other [...]

]]> By: gps program » Blog Archive » Stating The Obvious: Unlimted Data Plans Increase Usage http://gigaom.com/2008/04/08/unlimited-plans-could-create-unlimited-trouble/#comment-870687 gps program » Blog Archive » Stating The Obvious: Unlimted Data Plans Increase Usage Fri, 11 Apr 2008 07:52:39 +0000 http://gigaom.com/?p=12091#comment-870687 <p>[...] has put out a report supposedly warning all these wireless firms hyping up "unlimited" plans that unlimited plans tend to increase usage. You think? Really? One would have hoped, given the long history of unlimited usage plans in other [...]</p> [...] has put out a report supposedly warning all these wireless firms hyping up “unlimited” plans that unlimited plans tend to increase usage. You think? Really? One would have hoped, given the long history of unlimited usage plans in other [...]

]]> By: The Hidden Cost Of Unlimited Plans - GigaOM http://gigaom.com/2008/04/08/unlimited-plans-could-create-unlimited-trouble/#comment-870681 The Hidden Cost Of Unlimited Plans - GigaOM Fri, 11 Apr 2008 07:05:46 +0000 http://gigaom.com/?p=12091#comment-870681 <p>[...] Malik, Friday, April 11, 2008 at 12:05 AM PT Comments (0) To say that unlimited wireless plans lead to increased usage of voice minutes and data is obvious, our friends at Techdirt remind us. They argue that the real [...]</p> [...] Malik, Friday, April 11, 2008 at 12:05 AM PT Comments (0) To say that unlimited wireless plans lead to increased usage of voice minutes and data is obvious, our friends at Techdirt remind us. They argue that the real [...]

]]> By: tc1uscg http://gigaom.com/2008/04/08/unlimited-plans-could-create-unlimited-trouble/#comment-870511 tc1uscg Thu, 10 Apr 2008 07:57:58 +0000 http://gigaom.com/?p=12091#comment-870511 <p>Gee, didn't see anyone jump and say that when VZ deployed FIOS, all that "extra" bandwidth would be sucked up by late night porn watchers, streaming video freaks or gammers hogging the system. Nope.. didn't see a thing.. Didn't see or hear of any issues when wireline providers started selling "unlimited" local/ld calling. If I was gigaom, I would go back to ABI and ask for a refund on the doom and gloom report they tried to pass off as fact.</p> Gee, didn’t see anyone jump and say that when VZ deployed FIOS, all that “extra” bandwidth would be sucked up by late night porn watchers, streaming video freaks or gammers hogging the system. Nope.. didn’t see a thing.. Didn’t see or hear of any issues when wireline providers started selling “unlimited” local/ld calling. If I was gigaom, I would go back to ABI and ask for a refund on the doom and gloom report they tried to pass off as fact.

]]> By: Sampath http://gigaom.com/2008/04/08/unlimited-plans-could-create-unlimited-trouble/#comment-870489 Sampath Thu, 10 Apr 2008 04:53:20 +0000 http://gigaom.com/?p=12091#comment-870489 <p>This is total BS. 3g networks are all running at 20-25% capacity (except in some high traffic areas like airports, etc). On the voice side its probably 70%. Unlimited will have some impact, but most of the adds has to be on the backhaul side and some "carriers" . The big issues here is backhaul esp since in the US its all T1 based and not very scalable..There are sites with 12+ T1s..Totally kills the cost base...</p> This is total BS. 3g networks are all running at 20-25% capacity (except in some high traffic areas like airports, etc). On the voice side its probably 70%. Unlimited will have some impact, but most of the adds has to be on the backhaul side and some “carriers” . The big issues here is backhaul esp since in the US its all T1 based and not very scalable..There are sites with 12+ T1s..Totally kills the cost base…

]]> By: Stacey Higginbotham http://gigaom.com/2008/04/08/unlimited-plans-could-create-unlimited-trouble/#comment-870406 Stacey Higginbotham Wed, 09 Apr 2008 20:13:07 +0000 http://gigaom.com/?p=12091#comment-870406 <p>Curtis, you are right, but what about the people who see $99 unlimited plan and have never really bothered with data before? I have no idea how many people would fall into that camp. I suppose we should also add the increase in smart phones to the calculation. That, more than unlimited plans will drive data use.</p> Curtis, you are right, but what about the people who see $99 unlimited plan and have never really bothered with data before? I have no idea how many people would fall into that camp. I suppose we should also add the increase in smart phones to the calculation. That, more than unlimited plans will drive data use.

]]> By: Curtis Carmack http://gigaom.com/2008/04/08/unlimited-plans-could-create-unlimited-trouble/#comment-870357 Curtis Carmack Wed, 09 Apr 2008 18:41:23 +0000 http://gigaom.com/?p=12091#comment-870357 <p>Sprint's data plans in fact can be much lower than $30. In many grandfathered plans it's a free add on, or costs $10. Plans at this level have been available at least since 2002 when I first signed on for it. Based on Sprint's ARPU, I think promotion of the $99 plan may actually increase ARPU, while not putting a lot of additional strain on the data network. I guess we'll see over the next few quarters.</p> Sprint’s data plans in fact can be much lower than $30. In many grandfathered plans it’s a free add on, or costs $10. Plans at this level have been available at least since 2002 when I first signed on for it. Based on Sprint’s ARPU, I think promotion of the $99 plan may actually increase ARPU, while not putting a lot of additional strain on the data network. I guess we’ll see over the next few quarters.

]]> By: Vid-Biz: Fyreball, Mobile, Lip Dub « NewTeeVee http://gigaom.com/2008/04/08/unlimited-plans-could-create-unlimited-trouble/#comment-870327 Vid-Biz: Fyreball, Mobile, Lip Dub « NewTeeVee Wed, 09 Apr 2008 16:56:39 +0000 http://gigaom.com/?p=12091#comment-870327 <p>[...] YouTube a Headache for Unlimited Mobile Plans? All-you-can-watch video could tax mobile data networks. (GigaOM) [...]</p> [...] YouTube a Headache for Unlimited Mobile Plans? All-you-can-watch video could tax mobile data networks. (GigaOM) [...]

]]> By: Anonymous Coward http://gigaom.com/2008/04/08/unlimited-plans-could-create-unlimited-trouble/#comment-870313 Anonymous Coward Wed, 09 Apr 2008 15:07:55 +0000 http://gigaom.com/?p=12091#comment-870313 <p>Curtis's comment is on point. Sprint has been offering unlimited data in plans starting at $30/mo for almost two years now. Just about anyone who could read a forum post could get one of these plans.</p> <p>The difference is that along with unlimited data, $99 now gets you unlimited voice instead of 2500 minutes, but since there are only ~15,500 minutes that <em>could</em> be billable in a month (fewer if you exempt mobile-to-mobile calls) I don't think users will be able to abuse unlimited voice to the point where it collapses the network.</p> <p>If anything, Sprint should avoid a host of customer service calls related to billing that have been it's achilles' heel in the past.</p> Curtis’s comment is on point. Sprint has been offering unlimited data in plans starting at $30/mo for almost two years now. Just about anyone who could read a forum post could get one of these plans.

The difference is that along with unlimited data, $99 now gets you unlimited voice instead of 2500 minutes, but since there are only ~15,500 minutes that could be billable in a month (fewer if you exempt mobile-to-mobile calls) I don’t think users will be able to abuse unlimited voice to the point where it collapses the network.

If anything, Sprint should avoid a host of customer service calls related to billing that have been it’s achilles’ heel in the past.

]]> By: chris http://gigaom.com/2008/04/08/unlimited-plans-could-create-unlimited-trouble/#comment-870298 chris Wed, 09 Apr 2008 12:44:30 +0000 http://gigaom.com/?p=12091#comment-870298 <p>What they are saying about Sprint is now that they are giving away unlimited everything for 100 bux, more people are likely to go for that plan and due to that increase of overall usage, the network will get bogged down. Yes, they have unlimited plans now (as do most carriers) but didnt until recently have that for a low fee. Thus more people will join and cause in higher network usage thus causing an issue for everyone else. Think of it like cable DSL where the more people are on your node, the less speed and performance you get.</p> What they are saying about Sprint is now that they are giving away unlimited everything for 100 bux, more people are likely to go for that plan and due to that increase of overall usage, the network will get bogged down. Yes, they have unlimited plans now (as do most carriers) but didnt until recently have that for a low fee. Thus more people will join and cause in higher network usage thus causing an issue for everyone else. Think of it like cable DSL where the more people are on your node, the less speed and performance you get.

]]> By: Curtis Carmack http://gigaom.com/2008/04/08/unlimited-plans-could-create-unlimited-trouble/#comment-870248 Curtis Carmack Wed, 09 Apr 2008 06:15:46 +0000 http://gigaom.com/?p=12091#comment-870248 <p>The comment on Sprint does not make much sense. Almost all of Sprint's data plans for phones have always been unlimited. I don't see how rolling that into the voice package is going to lead to any usage beyond what Sprint sees now. Sprint's data offering structure is so different from that of the other carriers that I don't believe it will provide any insight at all for them. If anything, Sprint is likely to come off much better for the comparison. One man's opinion (and I am most certainly NOT a Sprint fanboy) YMMV.</p> The comment on Sprint does not make much sense. Almost all of Sprint’s data plans for phones have always been unlimited. I don’t see how rolling that into the voice package is going to lead to any usage beyond what Sprint sees now. Sprint’s data offering structure is so different from that of the other carriers that I don’t believe it will provide any insight at all for them. If anything, Sprint is likely to come off much better for the comparison. One man’s opinion (and I am most certainly NOT a Sprint fanboy) YMMV.

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