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Tuesday, 28 February 2012 22:32

Verizon's "shared data plans" on track for summer 2012

Written by Jon Worrel

verizon logo

Verizon's way of alleviating 3G network costs

A new report published by The Wall Street Journal claims that Verizon is still on track to launch "shared data plans" sometime this summer, following competition from AT&T's leaked plans to do the same later this year.

Verizon's reasoning to launch shared family data plans stems from its desire to get more users transitioned to its newer, less-congested 4G LTE network, which only 5-percent of its customers have switched to since its initial nationwide launch in December 2010.

verizon 4g lte specs

“It is very critical for us, and we’re playing a very delicate balancing act here that I don’t want to spend any more money on my 3G network,” said Verizon CFO Fran Shammo at an investor conference Monday. In other words, the company seeks to reduce congestion on its CDMA 3G network by bundling together multiple family members on a single data plan, while at the same time handing out promotions to current 4G LTE customers by offering them 2x their current data allowances at half price.

In response to a question about the timeframe for shared data plans on Verizon, Shammo answered "you'll see something launched midyear this year from us."

In perspective, Verizon's top executives insist that the company doesn’t want to spend any more money on its 3G network, however, and it will instead focus solely on 4G LTE. Shared family data plans are one way to alleviate 3G spending costs.

Last modified on Tuesday, 28 February 2012 22:50

Jon Worrel

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