Wireless Wednesday–"Unlimited vs. metered data: Which pricing strategy will win?"

weBoost | September 19, 2012

This week for “Wireless Wednesday” we’re discussing an article featured on Fierce Wireless about data usage. See the excerpt below and let us know what you think–

When it comes to mobile data pricing, it appears as if wireless operators have quickly aligned into one of two camps: Those that offer metered data  (AT&T (NYSE:T) and Verizon (NYSE:VZ)) and those that don’t (Sprint Nextel (NYSE:S) and T-Mobile). I believe that the challengers in the market (T-Mobile and Sprint) are using unlimited data to entice subscribers to their networks and then hoping they can hold onto them when they inevitably end up migrating to a metered data pricing scenario.

Some believe that there is no need for T-Mobile and Sprint to move to metered data pricing. NPD’s Connected Intelligence group released a reportindicating that most people use less than 2 GB of data per month with their smartphones and that unlimited data plans aren’t necessary. Specifically, the firm said that just 11 percent of T-Mobile customers use more than 3 GB of data per month vs. 4 percent for AT&T and Sprint and 3 percent for Verizon. NPD noted that T-Mobile’s users tend to be younger and more likely to view video and stream music.

Judging from NPD’s stats, T-Mobile and Sprint are playing it smart by offering customers unlimited data. Customers believe they are getting a deal, even if they aren’t.

What do you think of the unlimited/metered data battle? Which option would you rather have? How much data do you find yourself consuming at the end of a billing cycle? Let us know in the comments section below, or on Twitter/Facebook.

To read the rest of this article or to see it in it’s original format, click here.