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AT&T will let T-Mobile keep their pricing structure

Posted: , by Ken N.

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AT&T will let T-Mobile keep their pricing structure
If T-Mobile is known for one thing, it would be value. Their competitive pricing and flexible plans allow customers to tailor their plans for what they need, and what they can afford. But with AT&T, which is one of the higher-priced carriers, T-Mobile risks losing their value-based identity.

According to IntoMobile, that might not happen. At CTIA 2011, AT&T Mobility's president and CEO, Ralph de la Vega, told IntoMobile that T-Mobile will keep their pricing structure. But how will that work?

If AT&T brings T-Mobile into the fold, they will either have to change the rates of T-Mobile or AT&T customers. On the other hand, they could leave T-Mobile as a separate arm, much like Sprint does with Boost Mobile.

What he may have meant is that existing T-Mobile customers will be able to keep their rates, even after T-Mobile is absorbed into AT&T. But new customers will be subject to AT&T's existing pricing structure. It's anybody's guess at this point, but with the level of controversy this deal has generated, we doubt AT&T will want to further aggravate their customer base.

source: IntoMobile

23 Comments
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posted on 22 Mar 2011, 21:38 3

1. Tre-Nitty (Posts: 460; Member since: 16 Nov 2010)


Sounds like ex customers will keep their current price plan. Seems fair.

posted on 23 Mar 2011, 11:24 2

18. tragichero (Posts: 163; Member since: 07 Jan 2011)


just stop talking....

posted on 23 Mar 2011, 14:58

19. XxVerbalxX (unregistered)


prob make em change it when they upgrade though. its gsm for now, so its not an end of the world thing

posted on 22 Mar 2011, 21:40 2

2. Daryl209 (Posts: 18; Member since: 27 Jul 2010)


"but with the level of controversy this deal has generated, we doubt AT&T will want to further aggravate their customer base."

Ummm...AT&T loves aggravating their customers. Mr. De LaVega is loving the fact that unlimited data plans may finally come to an end for GSM carriers.

posted on 22 Mar 2011, 22:53 2

9. wholuvsyababe (unregistered)


if the unlimited data plans that current and LOYAL tmobile customers have are done away with then att MUST eliminate them from their own grandfathered customers. tmobile has millions of customers many of which are not pleased with the announcement. If att wants to bust tmobile customers balls then get ready att FOR A MASS EXODUS. people are tired of corporate america. tired of the monopolies ( Wal-Mart, Microsoft(i believe way back when) COMMON SENSE TELLS YOU THAT COMPETITION IS GOOD FOR THE PEOPLE. Wait.......... we live in a senseless world. i see the deal not going through because of the fight against monopolies. COMPETITION IS GOOD . C'mon....... the cost of everything is increasing except the majority of mankinds income.

posted on 24 Mar 2011, 00:23 1

23. donpeppino9 (Posts: 67; Member since: 24 Jan 2010)


I actually think this deal is gona provide more competition... i know it sounds crazy but hear me out.

before the merger there is only one premium priced major cell phone carrier... Verizon. Verizon has the coverage, phones, and customer satisfaction.

Att has network "problems" supposedly and doesn't have the rural 3g coverage provided by verizon. Nor do they boast customer service. lets face it, att is what it is cause of the iphone and eventually theyre gonna have to start competing as a more value based.. somewhere between verizon and sprint/tmobile.

and of course tmobile and sprint are the value based of the major carriers.

with att now acquring tmobile they will have the spectrum and other resources to provide coverage that is comparable to verizon. combine that with their best in market phone selection and improve their customer service with the tmobile reputation and now you have a real competitor to verizon.

Finally, this deal can be great for sprint as now they will be the only value based major carrier. all of the people that want a major cell carrier with latest and great from cell phone technology at a great monthly price has to chose between tmobile and sprint. tmobile was hurting sprint cause as a gsm carrier they inhereted a lot of the good stuff. with tmobile out of the way sprint can really make good of this situation. I can definitely see at least 10% of customers from this civil union to switch to sprint. especially if they maintain a strong android lineup and $125 service credit when porting in your #.

posted on 22 Mar 2011, 21:41

3. Damion (unregistered)


Any which way you look at it, I think this is a good idea and hope all goes well. Too bad I don't have more of a play in this.. How's stock these days?

posted on 22 Mar 2011, 21:42 2

4. Galen20K (Posts: 511; Member since: 26 Dec 2008)


they have to be very VERY careful with how they handle this... = /

posted on 22 Mar 2011, 21:55 3

5. BaiGanyo (Posts: 308; Member since: 07 Feb 2011)


They will say anything to get it approved. They are basically saying there won't be ONE pricing structure right off the bat, but that obviously doesn't mean prices aren't going up for tmo customers. This is no different than existing att customers staying on a rate plan they currently have. But we saw from the Cingular/att wireless merger they will essentially force people over onto att rate plans if they want to. These promises are worthless. The deal is bad for everyone.

Second point, even if EXISTING customers keep their rate plan, it takes one competitor out the picture for anyone looking to switch.

posted on 22 Mar 2011, 21:59 1

6. snowgator (Posts: 3188; Member since: 19 Jan 2011)


I am not usually a skeptical person, but does anything that is said BEFORE the actual purchase of T-Mobile is approved really mean anything? Give AT&T a couple of finical quarters to see how things go, and see how quick they come out with a politically correct say to say they were wrong, and former T-Mobile customers have to pony up. I can see them use the T-Mobile name and it's recognition for a no contract arm of the company such as what Sprint does with Boost, but keep the plans and pricing? If it sounds too good to be true......

posted on 22 Mar 2011, 22:00 2

7. ssjassassin (Posts: 108; Member since: 31 Aug 2009)


This will work how it has in the past with other buyouts, customers who not make changes will not be required to change a plan. When the majority of customers have made changes they will force those who have not on to a new plan. Time and again this happens yet people ask the same questions. The fact is if you want to have a better rate for the next couple years then buy into T-Mobile now because sooner or later your going to have an At&t plan.

posted on 22 Mar 2011, 22:26

8. Xander297 (Posts: 9; Member since: 29 Apr 2010)


It will most likely work much like the same way it did when VZW took over Alltel. The current Alltel subscribers were grandfathered into the Alltel system and could keep their plans they already had and could even for a short time change to a different Alltel plan but eventually if they wanted to change to a different plan it would have to be a VZW one.

posted on 22 Mar 2011, 23:05 1

10. tm6248 (Posts: 12; Member since: 03 Feb 2011)


I mean that is the least that at&t can do....and the sad thing is i just switched from at&t like not even two months ago and then to hear this whole deal taking place was a shot in the face .I think that would be fair to let current t mobile customers keep their data plan pricing but knowing at&t they will eventually put an end to it because appearently they love dissapointing their customers That's why i left the first time.

posted on 23 Mar 2011, 09:45 1

16. iHateCrapple (Posts: 734; Member since: 12 Feb 2010)


So why even contemplate going back?

posted on 22 Mar 2011, 23:11 3

11. Daryl209 (Posts: 18; Member since: 27 Jul 2010)


I used to work for AT&T and I remember we had customers on the "Orange" Network which is the AT&T we all know and love (hate), then there's the "Blue" network, customers on older plans from the old AT&T Wireless network before Cingular bought them and assumed the name.

The "blue" customers have to switch to "orange" plans if either they want to get a new phone. Most times their sales reps will lie to customers and tell them they could stay on their old plans and upgrade their phones, then a month later customer gets a bill with a brand new plan that costs much more and has much less.

Same thing happened with another regional carrier that was taken over by AT&T, I forget their name, I think Dobson. They were referred to as the "red" network. Same rules applied to them.

I bet T-Mobile plans and phones will be considered something like "purple" network in the future. And slowly but surely, the great plans and prices Tmobile had will be long gone.

posted on 23 Mar 2011, 01:59 1

15. BaiGanyo (Posts: 308; Member since: 07 Feb 2011)


My parents were on Cellular One and they got a "surprise and accidental" rate plan switch to a new ATT plan and were not told att was sorry about the "accident" and weren't sure how it happened, but there was no way to get back on an old plan. They went to Sprint since it was still within the 30 days and have no problems.

posted on 23 Mar 2011, 20:53 2

22. MesEyes (Posts: 18; Member since: 05 Jan 2011)


I love how you totally stepped outside of your work professionalisim..... I bet you got fired..... You all need to understand that these are businesses, they need to think of how to keep their business in the best standing on both a customer and business level. You may not see why cost are so high or why certain policies are in affect or any explaination to your complaints but remember you have choice! Thats the bottom line, choose the company that best fits you and stop complaining about the companies you secretly want to be with because of their phones or something but wont due to some stupid cost. You sign your 2 year contract, read the terms before you stop bad mouthing.

posted on 01 Apr 2011, 11:25

25. elandrumiii (Posts: 109; Member since: 20 Mar 2010)


I chose the old AT&T Wireless over Cingular before the got bought and the prices rose and before then I had Bellsouth.I had Nextel before Sprint got them and plans dried up and disappeared. SO if my choices keep getting killed of I really dont have a choice and there isnt a real value left. If approved the Tmo customers will be forced to change plans or leave in 12 months or less. AT&T made it clear that the 1700 spectrum will be switched off from Tmo's 3g/4g HSPA+ and be used for AT&T's LTE network. so Tmo customers are screwed royaly with no lube first. Thats just the customers after they start shutting down stores we will begin the job loses. But hey this is a great thing as people keep saying. The coverage thing is a joke the maps virtually match due to roaming agreements and believe that AT&T has a bunch of them also.

posted on 23 Mar 2011, 00:26 1

12. Droid_X_Doug (Posts: 5534; Member since: 22 Dec 2010)


Based on what I have seen AT&T do for my SO's plan (they have both an iPhone 4 and iPad 1 with the unlimited data option), the current T-Mo customers can keep their current plans if the T-Mo acquisition is approved (the T-Mo customer plans would be grand-fathered). The former T-Mo customers may also be able to upgrade hardware and keep their grandfathered plans. My SO got an iPad 2 with the 3G option and swapped the iPad 2 for the iPad 1's unlimited data plan. They were also told that they could swap their iPhone 4 for an iPhone 5 when the iPhone 5 became available and keep their current unlimited data plan on the iPhone 5.

The real question occurs when the T-Mo customers want to upgrade to say, LTE from HSPA+ (or whatever they call the pseudo-4G data service). Will they be able to keep the unlimited data plan? I don't know and AT&T customer service did not have any information in that regard for the iPhone, either.

posted on 23 Mar 2011, 00:45 1

13. belovedson (Posts: 830; Member since: 30 Nov 2010)


why dont you check the history of att. hahahah. especially to former cingular customers.

posted on 23 Mar 2011, 01:12

14. Droid_X_Doug (Posts: 5534; Member since: 22 Dec 2010)


Maybe they learned from their Cingular experience?

posted on 23 Mar 2011, 15:20

21. tmoney83 (Posts: 37; Member since: 08 May 2009)


well i was down with cingular and got extra min. when i got on the att/cinglar plan. i had no problem at all. the tmobile people should be happy cause as of right now all it can do is make they service better then when they contract up if you hate at&t that bad leave

posted on 24 Mar 2011, 15:39

24. voyager529 (unregistered)


@tmoney83:

Oh trust me, the day I see a death star on my bill instead of a magenta "T" is the day I head for Sprint.

I'd be extremely interested to hear exactly how AT&T could make T-Mobile service better. A bit better reception in some places? I guess. But try this on for size: back in the day, I had an original iPhone - got a good deal on one second hand. T-Mobile was all "we don't officially support the iPhone...but if you want to do MMS all you have to do is go to Cydia, get this app, and enter these settings to get it to work on our network and you're golden." While admittedly I had to add a line for a couple months to do it, I got an HTC Touch Pro2 the week it came out on a one year contract without a data plan at the same price as a new subscriber for a two year voice/data contract, despite being an incumbent. I finally buckled down and bought a data plan after they gave me one for a month for free, so now I get unlimited data and never pay an overage; after the 5GB soft cap I simply get throttled back down to EDGE, and they don't charge me a dime for tethering.

AT&T? Apparently they won't let me have a smartphone on their network at all without a data plan, even if they don't subsidize a dime of it:
http://www.zdnet.com/blog/bott/can-at-t-really-add-a-pricey-data-plan-onto-your-wireless-bill/2667?t ag=content;search-results-rivers
And don't even try tethering without their extortion fee (yes, that's EXACTLY what it is; data should be data regardless of its destination)
http://www.zdnet.com/blog/hardware/busted-at-t-begins-crackdown-on-iphone-jailbreakers-using-mywi-te thering/11928

So yes, I don't care what kind of promises they make, I don't trust the overlords at AT&T to keep those promises, and I don't have time to argue with their billing procedures. I'll keep T-Mobile as long as I can...but once the death star takes over, I'm headed to Sprint - the company that's still small enough to worry about whether or not they have my business...and even if they get bought out by Verizon next year, I'd rather end up on Verizon than AT&T.

Joey

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