Verizon's Latest Salvo In Carrier Price War: New Cheap Prepaid Plan


There is no sign that the ongoing rumble among carriers are winding down. Verizon underscored this after it announced a new cheaper prepaid plan bundled with its own data bucket, making it simpler for prepaid customers to avail of the Big Red's services.

New Verizon Prepaid Plan

The new Verizon prepaid plan costs $40 and comes with 2 GB data cap. This has increased the company's prepaid offerings to three. Previously, customers can only choose between the $50 and $70 plans, which feature 5 GB and 10 GB data, respectively.

"We're making it simpler for our prepaid customers to enjoy all of the benefits of a network that can keep up with their digital lifestyles," Ron Zanders, director of prepaid for Verizon, said. "Whether you use a little data or a lot of data, we've got a prepaid plan that fits your needs."

Aside from the bundled data, all prepaid plans, including the $40 option, will include unlimited international text messaging to over 200 countries. The carrier also allows customers to carry over their unused data to the following month with on-time payment.

Prepaid Consumer Value

However, save for the lower price point, the new prepaid plan holds less consumer value. Observers cite, for instance, that if you choose to pay $10 more, you will be able to enjoy more than double the data.

That being said, one could also say the Verizon merely wants to diversify its prepaid options for users with different needs. Based on Zanders' statement, it could be targeting users who are only after the unlimited voice and messaging features.

Still, the cheaper prepaid offering still cannot hold a candle to what the competition is offering. T-Mobile also has a $40 plan that comes with unlimited talk and text. However, it will let you consume 3 GB of data.

AT&T, on the other hand, is promising a bit more for $40 per month. The first 4 GB of data can be consumed at high speed, while succeeding consumption will only slow to 128 Kbps, which is still not too shabby at all. You will have to pay $45 in the first month, however.

The U.S. carriers are also slugging it out on another front, which is the area of unlimited data. Verizon has previously replaced it with a plan that has a 200 GB data cap only to bring it back due to intense competition with T-Mobile and other rivals. Sprint launched what is being touted as the cheapest unlimited plan, and AT&T followed with its own revamped unlimited data, offering it to all its postpaid wireless subscribers.

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