dslreports logo
site
spacer

spacer
 
   
spc
story category
AT&T: 46% Sign up For 10 GB or Larger Data Buckets
by Karl Bode 06:14PM Wednesday Apr 23 2014
AT&T's first quarter 2014 earnings indicate that the telco giant posted a quarterly profit of $3.7 billion on revenues of $32.5 billion. That's obviously again thanks to wireless, with AT&T brushing off T-Mobile pesky "uncarrier" marketing push by adding 625,000 postpaid wireless subscribers -- many of which continue to be drawn by the better overall coverage of the larger two carriers. Wireless revenues jumped 7% over last year thanks largely to the company's shared data plans and their "Next" handset upgrade program. The company today stated that 46% of their wireless customers are now on plans of 10 GB or larger (whether they actually need those sized buckets isn't clear).

view:
topics flat nest 
openbox9
Premium
join:2004-01-26
Germany
kudos:2

And the churn remains relatively flat

Click for full size
Reinforcing that T-mobile's efforts aren't really having that much of an impact on AT&T.

Mr Guy

@charter.com

Re: And the churn remains relatively flat

Then why didn't at&t keep pricing and plans the same? Maybe the adjusting to t-mobile is what kept the churn flat?
openbox9
Premium
join:2004-01-26
Germany
kudos:2

Re: And the churn remains relatively flat

Did pricing decrease or just change? ARPU for wireless (and wireline) still increased YoY for the quarter
ptbarnett

join:2002-09-30
Lewisville, TX

We saved money by upgrading to 10GB/month

...because the per-device fee is reduced significantly at that level, if you are no-contract or on Edge (or is it Next?).

I'd have to reduce our data allowance per month to a very small amount in order to reduce our bill below our current level. Part of the reason is that my 19% corporate discount is applied to the data plan, but not not the device fees.

IPPlanMan
Holy Cable Modem Batman

join:2000-09-20
Washington, DC
kudos:1

2 edits

Unlimited didn't need to be removed/throttled...

46% on 10GB or larger "buckets"? This just shows that AT&T's removal of its unlimited data plan was under false pretense and how throttling at 3GB (3G)/5GB (LTE) is completely unnecessary.
openbox9
Premium
join:2004-01-26
Germany
kudos:2

Re: Unlimited didn't need to be removed/throttled...

I don't understand the connection. Buckets and caps are about monetizing data to replace the decreasing margins on traditional voice minutes and SMS.

IPPlanMan
Holy Cable Modem Batman

join:2000-09-20
Washington, DC
kudos:1

Re: Unlimited didn't need to be removed/throttled...

Oh... So they aren't about managing congestion?
openbox9
Premium
join:2004-01-26
Germany
kudos:2

Re: Unlimited didn't need to be removed/throttled...

Don't be silly. It never was and everybody knows that.

IPPlanMan
Holy Cable Modem Batman

join:2000-09-20
Washington, DC
kudos:1

Re: Unlimited didn't need to be removed/throttled...

They do?
openbox9
Premium
join:2004-01-26
Germany
kudos:2

Re: Unlimited didn't need to be removed/throttled...

Yes.

IPPlanMan
Holy Cable Modem Batman

join:2000-09-20
Washington, DC
kudos:1

Re: Unlimited didn't need to be removed/throttled...

Well, I've always thought caps were about price discrimination and nothing more.
openbox9
Premium
join:2004-01-26
Germany
kudos:2

Re: Unlimited didn't need to be removed/throttled...

So you didn't think they were about managing congestion, which was my point.

IPPlanMan
Holy Cable Modem Batman

join:2000-09-20
Washington, DC
kudos:1

Re: Unlimited didn't need to be removed/throttled...

I've always believed caps had nothing to do with congestion.

Mr Guy

@charter.com
said by IPPlanMan:

46% on 10GB or larger "buckets"? This just shows that AT&T's removal of its unlimited data plan was under false pretense and how throttling at 3GB (3G)/5GB (LTE) is completely unnecessary.

Actually unlimited data is NOT sustainable and there is ZERO debate on that. If you want to are current caps are too low or the price that is legit argument. But to argue 100% of at&t customers could use terabytes of data per month and not affect the network is beyond ridiculousness.

IPPlanMan
Holy Cable Modem Batman

join:2000-09-20
Washington, DC
kudos:1

Re: Unlimited didn't need to be removed/throttled...

I beg to differ...

Your example contains the very ridiculousness you abhor...

w0g
o.O

join:2001-08-30
Springfield, OR
terabytes? that's a lot, .. Like, I think most data users would never use that amount even on unlimited plans, because the connections are still limited to what you can do on your cellphone or hotspot. There are many situations where wireless data is unpreferrable because:

1. screen and interface on cellphone suck and prevent usage of high bandwidth apps.
2. cellphone tethering is clunky and high latency, and makes my phone hot as fuck.

I use the LTE connection on my phone to update my website a lot and I do plenty of AVC HD movie viewings. I still only use 50-70GB a month (I have T-Mobile unlimited 4G).

I tend to get upset with the 40Mbps down/16Mbps up experience when I tether and only use it for uploading to my webserver or downloading files en mass when I need to.

I prefer a good wired connection for gaming overall. I think that unmetered data usage of 100GB wireless would not put a strain on the network because that amount of usage amounts to mere hours out of an entire months uptime of the wireless network node overall, and they have dozens and dozens of network nodes around me and everyone else, each one separate, and given that is all I used I imagine hundreds of other users doing the exact same could be supported.

1 cellphone tower with this kind of bandwidth has this much capacity: 15 terabytes. Per month. If they're limiting usage to 2GB and while only a few hundred users actual get to use the tower a month, that's 400GB, a small fraction of the capacity.

Meaning they are not facing congestion issues except in cases of maybe mass gatherings of people.. and most of the capacity is going unused.
--
www.oregonstatehospital.net - CIA and state of Oregon set me up and targeted me with a microwave weapon, learn more.

Guyguy

@hvdata.net

Re: Unlimited didn't need to be removed/throttled...

dude you use 70 GB a month WTF? im constantly on my phone no netflix though and use about 8-10. And if you dont think that all these people using all this date wouldnt congest the wireless spectrums then youre crazy. why do you think ATT has faster LTE speeds than verizon in most areas now days? because they have less people using less data.
faberoptic6

join:2001-05-13
San Antonio, TX

Switched from Sprint to AT&T

Click for full size
...about 10 months ago. Was with them for years (Treo 800 -> Palm Pre -> Evo)

Thought I'd miss the unlimited, but I couldn't deal with their network that got worse year after year, even after moving to another market.

I just re-signed on AT&T last weekend. The Next program gave me a new Galaxy S5 and a 10GB bucket of data for $32 more per month, and I qualify for a new phone in 12 months.

Their LTE is fast. Peaked at 60/20 (screen attached)

I really hope Spark turns Sprint's fortunes, but having sat through WiMax, I'm a bit skeptical.
sonicmerlin

join:2009-05-24
Cleveland, OH
kudos:1

Re: Switched from Sprint to AT&T

Sprints network will be in great shape... Just about when your new contract ends.
openbox9
Premium
join:2004-01-26
Germany
kudos:2

Re: Switched from Sprint to AT&T

Or when enough subs leave for greener pastures.

atuarre
Here come the drums
Premium
join:2004-02-14
Conroe, TX
Sprints network is getting worse and the new devices (Spark enabled) miss incoming calls and texts half the time because for you to accept the call right now your phone has to step down to 3G off of LTE which they are not doing. It's like when they were designing this they did not think everything do or they did it so they could waste CAPEX money elsewhere or funnel it somewhere else.

Like I have said before, Sprint will not turn around until Masayoshi Son boots all the American executives out of the company and replaces them with his own people.
openbox9
Premium
join:2004-01-26
Germany
kudos:2

Re: Switched from Sprint to AT&T

There's nothing innovative about Softbank. Why do you think replacing current execs with Softbank execs will change Sprint's direction?

atuarre
Here come the drums
Premium
join:2004-02-14
Conroe, TX

Re: Switched from Sprint to AT&T

Anything is better than where Sprint currently is. The alternative is that Sprint fails, its gets broken up and split up among T and Verizon which wouldn't do much for competition because it would be just one less choice.
openbox9
Premium
join:2004-01-26
Germany
kudos:2

Re: Switched from Sprint to AT&T

Different isn't necessarily better. I'd like to have hope that Sprint can actually turn around, but as you allude to, it's been a long struggle that doesn't bode favorably for the company. My guess is that it will continue bleeding customers and fall to the number four wireless carrier position and eventually merge with a few smaller regional carriers. It will become further irrelevant as the big two continue dominating the market with T-mobile picking up enough scraps in metro areas to remain viable.

atuarre
Here come the drums
Premium
join:2004-02-14
Conroe, TX

Re: Switched from Sprint to AT&T

That is because management is not doing what is in the best interests of Sprint.
faberoptic6

join:2001-05-13
San Antonio, TX

Re: Switched from Sprint to AT&T

Correct me if I'm wrong, but their wholesaling (Boost, Virgin, everything else under the sun...) wasn't really helping postpaid subs get better speeds, in terms of overcrowding the network and undercutting their ability to reinvest.

Mr Guy

@charter.com

The $160 for 10 GB scam

I know many Verizon customers said they were dumping them because of at&t's promise of 4 phones and 10 GB for $160. They didn't get was that the price of the phones( which are required to be bough at full price ) weren't included. So they ended up paying as much if not more than they were at Verizon. Suckers.
wkm001

join:2009-12-14

Re: The $160 for 10 GB scam

Until VERY recently only AT&T was allowing you to bring your own phone. Truly giving you the opportunity to pay $160 a month.

It got me to switch. My wife and I moved from a Verizon S3 to an AT&T S4, bought used on swappa.com. After selling our S3s and the $100 bill credit for each line we broke even on the new phones.

I added my sister and niece on our AT&T family plan. Niece already had a unlocked Moto G and got a sweet deal on a Moto X for my sister. With my 25% corporate discount on the data portion, after taxes, we are paying about $41 per phone per month. So far the four of us are only using 5GB of data per month. If we added a few more lines we would only pay $30 something a month per phone.

Currently I'm saving $65 a month on wireless service. I now have MUCH faster data speeds, equal if not better coverage, and larger choice of phones (Nexus, OnePlus One, etc...). It was a no brainer for me!

rsmith7
Premium
join:2003-03-11
San Diego, CA
The way I see this is pay me no or pay me latter. If I can have lower month cost with no free upgrade, great. Or I can pay the same cost every month and get a supposed upgrade. The math works out the same over the month and nothing is free.
I figured the I would upgrade when I wanted too and not because I had an upgrade available. This plan saved me $60 per month for the same plan.

elitefx

join:2011-02-14
London, ON
kudos:2

Billions????????????

Billions in QUARTERLY profits.

The numbers in this story are living proof that the monthly fees/charges and resulting profits for these companies are OBSCENE.

"quarterly profit of $3.7 billion on revenues of $32.5 billion"

BILLION = thousand million x 3.7 of your hard earned cash every 3 months in profit.

If that don't want to make you puke every time you get the bill I don't know what does.

joako
Premium
join:2000-09-07
/dev/null
kudos:6

Re: Billions????????????

That's 11% or $18 of your $160 bill is profit, the reset is spent to actually provide the service. I think you're just jealous.
--
PRescott7-2097
jorcmg

join:2002-10-24
USA

Re: Billions????????????

Yea, a 10% profit margin I guess is crazy. BTW, Google's profit margins are more than twice that. But, AT&T...so greedy.
openbox9
Premium
join:2004-01-26
Germany
kudos:2
said by elitefx:

The numbers in this story are living proof that the monthly fees/charges and resulting profits for these companies are OBSCENE.

And the fact that you earn enough money to pay your required bills and still have money left over each month is living proof that you're pay/compensation is obscene
wkm001

join:2009-12-14

Happy AT&T Customer Here

Me and three of my family members made the switch from Verizon. I could not be happier with the price and service. AT&T data speeds dwarf Verizon's.

With my 25% discount on the data, plus taxes, we are paying about $41 per phone. Now I can buy a Nexus or the OnePlus One phone coming out soon. I'm pretty sure the OnePlus One will not be available on Verizon, ever.

AT&T does have some work to do in the stores though. Porting my numbers and getting service going was a freaking nightmare. I made the mistake of going to an authorized store the first time. Went to an actual AT&T store the second time and had the same experience. The agent working in the store had no idea where the SIM card was on a Moto G. Yea, they don't sell the Moto G, but come on...
en103

join:2011-05-02

I'll keep my 'larger' - unlimited data

I'll keep my 'larger' -unlimited data plan - thank you.
I wonder if I'm considered as part of the 46% though.
TWCcdman

join:2002-04-14
Kernersville, NC

Re: I'll keep my 'larger' - unlimited data

I always said that Id never give up my unlimted plan. But the 10gb(now 15gb) seems better for me now. My kids like to text. My wife and I both work at home and are always on wifi. The unlimited plan just wasnt the best choice for me anymore,

IPPlanMan
Holy Cable Modem Batman

join:2000-09-20
Washington, DC
kudos:1
Do you get throttled at 5GB? If not, when? What's your throttle speed?
alrandolph

join:2004-07-11
Jersey City, NJ
Reviews:
·Verizon Online DSL

The 10GB plan is cheap

I was on the $60 Gophone, my girl is on contract with an Iphone 5S, she was paying $30 for 3GB and $20 for unlimited talk/MSGing plus the 450 min plan.

I migrated her plan any my plan to the network share 10gb plan and with my 20% Corp discount, it does work out better for me. my line was non contract.

Note: last week i just got the HTC M8 with Next so that will increase my bill for a while.