Verizon vs. T-Mobile One

Branded postpaid net additions were 1.2 million in Q4 2016. 13, "Big Red" - as most call it - will offer almost unlimited data plans starting at $80 before taxes.

John Legere, T-Mobile CEO, tweeted that Verizon Wireless's new unlimited plan might be "most expensive ever", once taxes and fees are included. The upgrades to the T-Mobile ONE plan and addition of the two lines for $100 per month - which includes monthly taxes and fees - will be available to new and existing T-Mobile customers starting on Friday, February 17th. T-Mobile's revenue hit $10.18 billion in the quarter, which grew 23% year over year, topping last year's mark of $8.25 billion and above consensus estimates of $9.86 billion. Clearly, its strategy of high-value plans is paying off.

Verizon now offers unlimited data, meaning consumers now have the option on all major carriers. In order to sign up for Verizon's new unlimited plan, you'll need to set up auto-pay using a debit card or a checking account. But with all the other major USA wireless services offering it, and Verizon's struggles to continue adding new subscribers, the move became increasingly necessary. The new plan is priced at an "introductory" $80 per month for a single line or $45 per line for four lines. And as I'm sure readers know, I've been using Google's awesome Project Fi for the past 15 months or so and would have switched to this network carrier offering if it weren't limited to such a small range of Android devices. After you eat up that 10GB of high-speed data, your connection will slow down to 3G, but you'll still be able to browse as much as you want on that slower connection. That family of four can now get unlimited data for $180 per month. With the changes, T-Mobile positioned uncompressed video streaming as a promotional feature rather than something we should take for granted. Still, that was a service Verizon charged for. T-Mobile streams video for One users at 480p, which is fine for smartphone screens. How the balance plays out will be something to focus on for Verizon investors. More data means more opportunity for marketers to experiment with new technology like virtual reality, and ramp up efforts in live streaming and 360 video. Verizon is quite costly when it comes to extending lines.

While still considered the leader in the wireless market, Verizon is only leading by a small margin. Verizon Communications expected to release earnings figures on January 24. The unlimited plan pricing starts at $100 for the first smartphone and $40 for additional smartphones, tablets or connected auto.

  • Zachary Reyes