NNSquad - Network Neutrality Squad
[ NNSquad ] Re: AT&T raising mobile data plan prices
Interesting that most of the chatter on AT&T's rate increase focuses solely on prices going up. There really is a bigger story there: First, the increases:
The lowest tier is $5 higher (33%) but comes with 300MB instead of 200MB (50% more). The net effect is a reduction in the cost per 100MB from $7.5 to $6.66. If my math is right, that's about an 11% decline The middle tier also rises $5 (20%) but comes with 3GB instead of 2GB (50% more). So the cost per gigabyte actually dropped $2.50. A net reduction of 20% per GB. At the high end, the rate has actually dropped by $5 from $55 to $50 (see this price chart from PCMag just a few months ago). That's a 9% decline. I suspect that's why nobody is commenting on the higher tier in most of the coverage. The price drop for heavier users, and the fact that you are paying less for the equivalent amount of bandwidth, is largely unreported. On Jan 18, 2012, at 8:55 PM, Lauren Weinstein wrote:
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