Competition in the U.S. mobile carrier market is fierce, with the top four players in the space constantly coming up with new plans to one-up the others and draw in more customers. Text messaging, which remains one of the most prominent forms of modern communication for users, is one offering carriers are using to get an edge.
Sprint (News - Alert) is offering a new $60 a month unlimited data plan which puts it in a more competitive position when struggling against other U.S. carriers. That new plan includes unlimited voice, texts and data.
It is being seen as an alternative, especially to T-Mobile (News - Alert), which also offers unlimited data for $80 a month. AT&T and Verizon both dropped their unlimited data plans. The intense competition among the four major U.S. carriers to capture greater share of the consumer market has led to lower prices for services which include unlimited text messaging.
In this environment, the stiff competition among the carriers could be an unexpected boon for companies that use text messaging to interact with and reach out to customers. With both Sprint and T-Mobile offering unlimited data, and Verizon (News - Alert) and AT&T being forced to compete, if by no other way, by keeping prices lower and offering many plans with unlimited texting, more customers will be taking advantage of free text messaging. It is not likely that either Verizon or AT&T (News - Alert) will be offering their own unlimited data plans soon, but they focus instead on the value they provide their customers.
In response to Sprint, T-Mobile will give new customers unlimited data at no additional charge for one year, according to a report from CNET. The offering will be given to any current T-Mobile customers who refer new customers. The offering starts on Aug. 29, 2014, and is only being offered for a limited time period.
On the other hand, Sprint will not offer a two-year contract or subsidy for those who sign up for a new unlimited plan, CNET points out. “This means consumers either have to buy their device outright or they can finance it using Sprint's Easy Pay program, which allows for monthly payments for the device over 24 months,” CNET adds.
Sprint’s $60 unlimited plan costs $20 a month less than the carrier’s unlimited My Way plan, according to Computerworld. The other plan provides permanent unlimited data, talk and text.
Edited by Alisen Downey