Roger Entner, analyst and founder of Recon Analytics
“Sprint’s decision to apply the Premium Data add-on charge to activations of smartphones going forward recognizes the enhanced user experience that today’s smartphones deliver, which, in turn, drives substantially higher data usage and cost.”
Sprint will increase its postpaid rates by applying a $10 per month Premium Data add-on charge to activations of smartphones beginning Jan. 30. You can obtain more details about these changes here: Smartphones Drive Wireless Data Explosion
The charge will assist Sprint in offering simple and affordable unlimited plans for its customers while maintaining a wireless network able to meet the growing appetite for a richer mobile experience. Subscribers with smartphones still will receive the best value in wireless, including the Any Mobile, Anytime feature offered nationwide only by Sprint.
We understand that an increase in our rates won’t necessarily be welcomed. But we hope Sprint customers still understand and appreciate the value and high-quality service they receive. Plus, it’s important to understand the explosion in mobile data usage and what it means for Sprint as we strive to continue providing a great wireless experience for our customers.
Roger Entner is an analyst who has taken a closer look at these changes and the relevant wireless industry trends.
“Building, maintaining and expanding wireless data networks isn’t free – there are real costs involved,” said Entner, analyst and founder of Recon Analytics. “In effect, Sprint has chosen to increase the price of its unlimited Everything Data plans, which is still below that of its major competitors, for the segment of customers – smartphone users – who are using wireless data the most and are driving up costs. Consumers have many choices. They can choose unlimited, worry-free data plans on the Sprint network or they can have tiered, metered plans and overage charges with other wireless carriers.”
One thing that doesn’t change is that Sprint continues to be the carrier for people who want to do more than just talk with their wireless devices, said Bob H. Johnson, president of Sprint’s consumer business.
“Customer growth on our 3G and 4G networks, exponential increases in the use of mobile data applications, and the growing use of smartphones is proof that consumers are getting the message,” Johnson said. “Sprint’s unlimited data plans, with or without the $10 charge, continue to beat the offerings of our top national competitors, who cap users’ data, charge data overages, and do not offer the unique functionality of Any Mobile, Anytime, which gives subscribers on the Sprint network unlimited calling to any other wireless user in America regardless of carrier.“