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Network World - AT&T announced Tuesday that it’s reducing DSL service pricing and eliminating the need to sign annual contracts, although users who do sign will get a break.
The service provider, which has 7.8 million DSL lines, is changing its consumer AT&T Yahoo High-Speed Internet DSL service rates to offer customers simple packages and four DSL speeds to choose from, AT&T says.
“The high-speed Internet marketplace is becoming more customer focused. Competing telephone and cable companies are trying to win 100% of the customer,” says Jeff Kagan, a telecom industry analyst. “We will start to see more creative pricing and marketing campaigns.”
The four packages that AT&T is now offering are Basic, Express, Pro and Elite. The Basic package offers 768Kbps downstream and 384Kbps upstream for $14.99 per month. This is the newest package choice from AT&T. The Express service offers up to 1.5Mbps downstream and 384Kbps upstream for $19.99 per month. Pro offers users up to 3Mbps downstream and 51bps upstream for $24.99 per month. And the Elite service offers up to 6Mbps downstream and 768Kbps upstream for $34.99 per month.
Customers that do select a 12-month service plan will be credited one month of free service, AT&T says. Those that want the freedom of no contract terms will simply pay the above monthly fees and can cancel at anytime.
“AT&T is refiguring their DSL pricing to be more competitive,” Kagan says. “They are doing away with early, temporary discounts, and lowering the permanent price on their Internet service, plus they are eliminating the long-term commitments.”
When new customers sign up for the service AT&T includes a $49.99 main-in rebate, which can be used toward the purchase of a wireless gateway or a high-speed modem that cost $79.99 and $49.99 respectively.
AT&T Yahoo! High Speed Internet service is available in legacy SBC’s 13-state LEC markets in Arkansas, Kansas, Missouri, Oklahoma, Texas, Illinois, Indiana, Michigan, Wisconsin, Ohio, California, Nevada and Connecticut.
Read more about service providers in Network World's Service Providers section.