Why AT&T's new data plans means companies will ditch 3G cards
AT&T and Sprint capped data plans could hurt the new Sprint 4G Phone, too.
By Larry Chaffin on Wed, 06/09/10 - 1:24pm.As we all know I have been having issues with AT&T and the 3G data card I purchased. It works well at home but when I go to New York, Chicago, Las Vegas, Denver, Atlanta or other cities I cannot get on the Internet. If I happen to get on it will only work for a short time.
Also see: AT&T introduces new data plans ahead of iPhone 4G launch
Did iPhone apps, movies, music or web surfing kill AT&T's unlimited usage plan?
AT&T hasn't been able to fix it (but I have been accused of trying to get out of my contract). My experience with tech support is that everyone passes the buck. Sometimes they promise a specialist will call me back, but that has yet to have happened. and I have been disconnected so many times I stopped calling. My contract is up this month and I am done with AT&T.
But it seems they have more of of PR problem now than just me and my blog and that is the new data plans. If I was the CEO of AT&T I would fire every marketing person who came up with the new data plans for customers. They stopped the unlimited plans and I find the excuse bogus. People don’t use that much data? This will be better for customers and save money?
I suspect that AT&T was really trying to stop the flow of data from Netflix, Skype and be preemptive about it for the iPhone 4G. Netflix and Skype for the iPhone and iPad use al lot of data for streaming media and calls. Seems to me, AT&T wanted to put a cork in that flow and figure out how to make more money from everyone hooked on the iPhone and iPad.
But given the new AT&T data plans, who will buy a new iPad now?
AT&T is thinking that businesses will deal with the new data plans and pay for them, but 9 out of 10 of the CIO’s I talked to said they are looking to pull all 3G Cards, hotspots and modems. Instead, they will use the BlackBerry for e-mail and they won't pay for Web surfing. They will tell their people to find an Ethernet connection or WiFi if they want to use the web.
Updated: please see my posting to this blog.
To be fair, AT&T isn't alone in its thinking with these new plans for data. It's the same with Sprint and its new HTC EVO 4G phones. There is a feature in the phone to use it as a wireless hotspot; at first I was just about to buy one then got the bad news. It is only unlimited if you are on the Sprint network, so buyer beware.
So with all of these capped data plans, there is an opportunity for a wireless provider to step up and win from the Sprint and AT&T a lot of business. Will T-Mobile or Verizon step up? They have capped plans as well. I would love to see Verizon offer an unlimited plan for a reasonable low cost (how about $40/month) and start grabbing customers.
Here is a site that has a comparison on all carrier plans.
- About Putting Realism Into Your Network
Larry Chaffin Ph.D is the Chief Executive Officer/Chairman and founder of Pluto Networks, a Consulting and VAR partner specializing in WAN acceleration, VoIP, WLAN, telepresence and security.
Pluto Networks is a Riverbed reseller. Pluto was previously a Cisco reseller but in June, 2010, ended its reseller relationship with the company and is no longer a Cisco channel partner.
Pluto Networks specializes in the needs of small, large and enterprise companies by always giving them a great ROI on the products they sell. Pluto Networks has a presence in 23 countries around the world enabling all of its consultants to be virtual. Larry was a Judge at Interop for the Best of Interop Awards for 2009.
Larry has also co-authored all of the books listed below:
Managing Cisco Secure Networks, Skype Me, Practical VOIP Security, Configuring Check Point NGX VPN-1/Firewall-1,Configuring Juniper Networks NetScreen & SSG Firewalls,Essential Computer Security: Everyone's Guide to Email, Internet, and Wireless Security, How to Cheat at Microsoft Vista Administration, Microsoft Vista for IT Security Professionals, Asterisk Hacking, 2008 VoIP and Video Conferencing, Infosecurity 2008 Threat Analysis and author of Building a VOIP Network with Nortel's MS5100, along with co-authoring/ghost writing eleven other technology books for VIOP, WLAN, security and optical technologies. Larry is currently working on a follow up to Building a VoIP network with Nortel's MCS 5100 Book as well as new books on Cisco Telepresence Networks, Practical VoIP case studies and WAN Acceleration with Riverbed.
Larry also has more than 29 vendor certifications and has been working on many others. Larry has been a principal architect around the world in 22 countries for many Fortune 100 companies designing VoIP, security, wireless and optical networks. He has expanded over time also to include application acceleration. Larry is working with worldwide company now out of Asia as a Special Assistant to the CEO and CIO as they go through organizational and network changes, helping them with strategic advice from his years of experience.
Pluto Networks is a channel partner of, LifeSize, Riverbed, Call Copy, Fastsoft and Symantec.
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