Wireless companies are boosting monthly fees and increasing the cost of mostly older cellphone plans

Yep. Seven percent increase on cell plan which had been steady for years. It is for work and a necessity.

This summer will test whether Americans already absorbing surging costs for fuel and food can also shoulder the burden of costlier cellphone service.

Wireless companies have spent the past month boosting fees and raising the cost of some midrange wireless plans. Industry executives say that consumers already numbed to surging prices for other necessities might absorb slightly higher rates instead of switching providers or dropping service.

AT&T Inc., T 1.84%▲ starting in June, raised the cost of its older wireless plans by up to $6 for single lines and $12 for family plans, encouraging subscribers to adopt newer unlimited data plans.

Verizon Communications Inc. VZ -2.17%▼ later matched AT&T with a $6 or $12 monthly price increase on its metered-data plans. It also raised some monthly fees on consumer wireless plans by $1.35 and levied a monthly per-smartphone fee of up to $2.20 on many business plans.



Verizon consumer VZ -2.17%▼ group chief Manon Brouillette said that consumers are worried about the economic environment but the cellphone carrier remained confident in its prices because its customers value its reliable network.

T-Mobile US Inc. TMUS 0.84%▲ has seized on its rivals’ price increases to burnish its lower-cost reputation, calling the decisions insensitive to overburdened consumers. Many T-Mobile TMUS 0.84%▲rates are frozen anyway under a regulatory agreement tied to its 2020 takeover of Sprint Corp., though the company can still revise fees. The company in February raised monthly fees on some older plans by up to 31 cents.


AT&T is among those wireless companies that raised the cost of older service plans in June.


T-Mobile said its fees will affect a smaller share of its customers. The company is meanwhile adding new perks to its most expensive consumer and business plans to convince customers to upgrade their service. New offerings include high-speed data service in more than 200 countries and free Wi-Fi on Alaska, American and Delta flights.

“What we’re doing is dramatically different,” T-Mobile marketing chief Mike Katz said in a recent interview.

Verizon is so far the only wireless carrier to raise fees on a plan advertised today. Most other rate increases have hit cheaper plans no longer offered to new customers.

“We didn’t do a broad stroke across the entire customer base,” AT&T Chief Operating Officer Jeff McElfresh said at a recent investor conference. “We looked at a cohort of customers that were on the oldest rate plans that didn’t have access to 5G or some of the best features and benefits.”



The top three U.S. carriers declined to detail how much the rate increases will benefit their revenue. Media and telecom research firm LightShed Partners estimates Verizon’s three price increases will add another $2.4 billion to Verizon’s annual revenue over time. It expects AT&T and T-Mobile’s increases to add $700 million and $100 million, respectively, to annual revenue.

Cellphone carriers have reinvested their revenue into their networks, which cost billions of dollars each year to maintain and billions more to reach fifth-generation standards capable of serving high-speed internet to customers on the go. AT&T and Verizon are also under pressure to boost revenue while still paying their investors a reliable dividend.

The price change dismayed Jim Polder, a retired law-enforcement officer from Lake Havasu City, Ariz., whose 97-year-old father learned of the $6 monthly increase by email.

“Financially, it’s not going to really bother him,” Mr. Polder said. “It’s really the principle of the thing. They want to add $6 for a network that’s already in place. The way gas is going, it will bother a lot of people who can’t afford the jump.”
Mr. Polder said his father doesn’t need a smartphone but will probably buy one to keep using Verizon, which will decommission its older 3G network later this year. He said neither he nor his father plan to pay for more expensive unlimited-data plans. T-Mobile is also shutting down its 3G networks this year. AT&T started shutting down its 3G systems earlier this year.

Customers on older wireless plans have so far borne the brunt of this year’s rate increases. Telecom executives have avoided touching the advertised price of their top-tier mobile-phone plans to avoid losing their most profitable customers. Cheaper prepaid wireless plans from Verizon’s Tracfone, T-Mobile’s Metro and AT&T’s Cricket brands have also kept their prices in check.

Higher prices for midrange wireless services could still prompt customers to pick a cheaper plan. They could also choose new cellphone plans that cable companies like Comcast Corp. CMCSA 1.18%▲ bundle with their home internet services. But market analysts say higher prices aren’t likely to drive phone users to drop service altogether, even if they already have more than one line.

“This is the most important consumer product in people’s life,” said Walt Piecyk, an analyst for LightShed Partners. “Beyond your basic utilities, like food and electricity, it’s the last bill you’re going to cut.”


link: https://www.wsj.com/articles/a...781?mod=hp_lead_pos3

I got the email notice from Verizon last week. $12 and change monthly increase (cost of doing business fee) on top of the $95 monthly cost starting in July.
An old legacy plan, 3GB data, shared by two phones.

I am now a Spectrum Mobile customer, $29.99 per line for unlimited data. And I'm still using Verizon towers and infrastructure. Spectrum Mobile buys wholesale bandwidth from Verizon.
So Verizon can go fuck themselves!

Consumer Cellular. No increase.

Thanks. I have much more than my work cell with ATT. Will be having some negotiations.

Interesting. My Verizon bill hasn't changed in 2 years. Still $65/month for 5G with unlimited everything (and that's including all the surcharges and taxes).

Another thing I found out about Spectrum Mobile. They have a web page where you can input your present phone's IMEI number and determine if it is compatible with the Spectrum system.
Our old phones showed as incompatible on that web page.
We got a pair of new phones and one of the new units was defective.
Since I need an operational cell phone, out of desperation I popped the new SIM card into my old phone. Surprise, it works perfectly.

Well they had to buy CNN, so...

It’s been my experience that both AT&T and Verizon suck. I’m mystified as to why anyone puts up with their shit service and excessive prices.

quote:

Originally posted by arfmel:
It’s been my experience that both AT&T and Verizon suck. I’m mystified as to why anyone puts up with their shit service and excessive prices.

Because out, away from the cities they are the only ones with towers.

So the factories making cell signal must have increased production costs...?

quote:

So the factories making cell signal must have increased production costs...?

It's the supply chain.

Not surprised. Everyone I see in society at work, the gym, the grocery store, driving, are all on smartphones. Addicted to it like crack addicts, and on it all the fucking time. Sucking bandwidth 24/7. Get off the thing more and get on a discounted plan that is cheaper for less use.

quote:

Originally posted by eyrich:

quote:

Originally posted by arfmel:
It’s been my experience that both AT&T and Verizon suck. I’m mystified as to why anyone puts up with their shit service and excessive prices.

Because out, away from the cities they are the only ones with towers.

Maybe ten years ago, but not today. I drive truck. I used to carry two phones, and not because I had a girlfriend. I have dropped Verizon and use T-Mobile now exclusively. It’s coverage is just as good nowadays, and it’s half the cost of Verizon.

quote:

Originally posted by Prefontaine:
Not surprised. Everyone I see in society at work, the gym, the grocery store, driving, are all on smartphones. Addicted to it like crack addicts, and on it all the fucking time. Sucking bandwidth 24/7. Get off the thing more and get on a discounted plan that is cheaper for less use.

Cheaper plans with limited data can be good to help you only use the phone when you need it. We pay $34/mo for three lines with US Mobile on Verizon's 5G network and a shared data pool.

quote:

Originally posted by V-Tail:

quote:

So the factories making cell signal must have increased production costs...?

It's the supply chain.

Nope. Putin.

quote:

Originally posted by eyrich:

quote:

Originally posted by arfmel:
It’s been my experience that both AT&T and Verizon suck. I’m mystified as to why anyone puts up with their shit service and excessive prices.

Because out, away from the cities they are the only ones with towers.

My home is in a little town that’s an hour drive from the nearest Walmart and two hours from the nearest “city”. Straight Talk and Tracphone both have worked fine there for several years.