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For the nation’s largest carriers, offering unlimited data was never a long-term consideration. Verizon’s plans to offer tiered data plans sometime in the future haven’t necessarily been a secret, but up until recently it hasn’t been “confirmed” from Verizon as to when, exactly, the axe would come down on those unlimited plans currently offered. Now that we know that the end is this summer, we can also apparently expect to see some overage charges making their way to customers when the new, tiered data plans launch. But, is anyone really surprised that Verizon’s choosing this path, instead of something a bit different?

For most people, having unlimited data is something that many just expect at this point. That is, unless you’ve got yourself a tablet and that’s where you do most of your Internet escapades. But, unlimited data accessible through your smartphone is something that people need, or think they need, anyway. With our heavy application usage, especially when it comes to media streaming apps, it’s easy for someone to start consuming plenty of megabytes in their day-to-day usage. They use those unlimited plans, knowing they won’t get charged for the data they consume per day. But, those good old’ times are coming to an end, and sooner than some expected for Big Red’s network.

When Verizon kicks in those tiered data plans, they don’t want people to go crazy with their smartphones anymore. They need to be more measured, so that way the network doesn’t take such a big hit every day. Or whatever other reason(s) that Verizon has for turning on tiered data plans. In any event, most people would think that Verizon would use the standard tools to stop people from going over their data allowances, such as throttling their data consumption. Making sure that their data speeds are measured, and therefore not as fun to use, would make folks stop using it as much. Or, that’s the belief, anyway.

Another method would be to cap them, and stop them from using their data connection altogether. So someone pays for 5GB per month, but if they go above that, their data connection is severed for the remainder of their monthly bill. It may seem rough, but it’s one way to make sure that people don’t go over their allowance, and keeps them from accruing a huge bill.

That’s definitely not going to be the case. I think Verizon’s CFO Fran Shammo said it pretty clearly: “The user that wants to use a lot [of data] will pay for it.” In fact, it doesn’t get much clearer than that. Verizon has absolutely no qualms about making you pay for the data you use, especially if you go over your allowance. And that’s fine, for the most part. Verizon’s a company that has to make money to survive, and charging their subscribers is the way they make money. So, charging for overages is just another way for them to make money. But, let’s face it; it’s not the best route when it comes to customer satisfaction.

Given the options, I would much prefer to have my data throttled, or even capped, as opposed to having to face overage charges if I do go over my monthly allowance. Yes, it’s up to the customer to make sure that they are aware of their data consumption, and to make sure that they stay well in the bounds of their plans outline, but sometimes things happen. And, considering there’s no word on how much Verizon is going to charge for those overages, it’s anyone’s guess how much money a customer can be charged if they do go over. It will definitely be interesting this summer when Verizon pulls the curtain off of these new plans, and unveils them to new customers looking to sign up for a new contract with Big Red.

What do you think of Verizon’s latest move? Should the wireless carrier reconsider their idea of overage charges in favor of capping or throttling users? Or do you think this is the right move for Verizon? Let me know in the comments what you think.


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30 Reactions to this post

"Should Verizon charge for data overages with tiered data plans?"


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Eric Kroh
Eric Kroh thats how companies make money off of those who dont cover their "odds n ends"
Felipe Rodriguez
Felipe Rodriguez is this even a question clearly it would not be convenient for any customer to pay overage fees
Mike Cantwell
Mike Cantwell Nooooo!
Nick Kalman
Nick Kalman I have At&t and I almost used my 2Gb in 2 days. I hate it. Wanted to switch to Verizon and get unlimited data but looks like it won't make any sense cause Verizon is gonna follow At&t's path. :-(
Nick Kalman
Nick Kalman I have At&t and I almost used my 2Gb in 2 days. I hate it. Wanted to switch to Verizon and get unlimited data but looks like it won't make any sense cause Verizon is gonna follow At&t's path. :-(
Kenneth L. Jackson
Kenneth L. Jackson Hell no. Seeing as they already are the most expensive. But, I am sure they will...easy way to make more money!
Edgar Garcia
Edgar Garcia Any clue if I sign another 2 year with unlimited data will they let you ride out the 2 years with unlimited?
Parker Ray Hutto
Parker Ray Hutto I think that verizon's plans stand out allowing them to have unlimited data for an amazing price. To take that away just puts them where all the other carriers are and doesnt make them shine, I think they should keep there unlimited 30$ data plan
Eddie Velasquez
Eddie Velasquez No
Mike Mota
Mike Mota Everyone is doing this. Its who executes it best. People need to realize its a mobile device, not a PC where you should be browsing the web and downloading files all Fay everyday. Network overload?
Mike Mota
Mike Mota Everyone is doing this. Its who executes it best. People need to realize its a mobile device, not a PC where you should be browsing the web and downloading files all Fay everyday. Network overload?
Victor Perez
Victor Perez Noooooóòô
Tony Abiama
Tony Abiama Tiered plans will be the new norm... sad to say it
Pete Galluzzo
Pete Galluzzo No, i may have to switch to sprint.. good job verizon...does anyone know if verizon will let us ride out ur contract or not.
Brandon Worley
Brandon Worley Obviously u people have no idea how much it cost to run these networks and how the more data u pull the more it cost the company...and hate to disappoint but VZW is in the business to make money...its called supply and demand pretty simple really
Darryl Mouzone
Darryl Mouzone Sadly eventually all carriers are going to do this. Say goodbye to unlimited data forever.
Kevin Pizana
Kevin Pizana Why tier them...if people are happy paying 30 for unlimited per line..leave shit the fuck alone...we pay an extra 120 for data alone...ain't bitching...greedy ass fuckers
Jason Bradford
Jason Bradford No, but they're probably going to anyway.
Brandon Dane
Brandon Dane Someone explain to me what they are going to do? No more unlimited data?
Marcia Gagne Weiss
Marcia Gagne Weiss No way-they already charge too much!
Gregory Lawrence
Gregory Lawrence Hell no!!! Just throttle the data after the specific plan amount has been used.
Jarvis Deon Davis
Jarvis Deon Davis No. AT&T has already made this mistake and I pay for it dearly EVERY MONTH. What's the idea behind capping data usage anyway???
Robbie Piccione
Robbie Piccione It should be illegal to change to a tiered data plan. Verizon and Sprint, please don't follow the path of the competitors. LEAVE DATA PLANS ALONE!!!
Izgil Mardahayev
Izgil Mardahayev Who said they're suppose to be free?
Korban Hadley
Korban Hadley Sure if they offer $15 for up to 3gb
Leeann Causby
Leeann Causby I love my unlimited data
Shannon Guthridge
Shannon Guthridge Um no. Using all the data I want without having to worry is glorious. Screw tiered data plans. Close to the worst idea ever.
Hans Jaramillo
Hans Jaramillo No matter what we think, they'll do what they want.
Sharjeel Waris
Sharjeel Waris never!!!!!
Sharjeel Waris
Sharjeel Waris nooo




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