Verizon data tier

Need more before you believe rumors of data plan and rate changes coming to Verizon?  We don't blame you, confirmation is always a good thing, and we just got some.  Some Verizon employees have received a message from South Area VP of Marketing and Sales Lee Williams that confirms changes are coming.  Of course Mr. Williams puts a positive spin on it all, and for most consumers, it probably will save some money.  Unfortunately, many of us aren't the average consumer, so we don't see the changes in quite the same happy view that others will.

Hit the break to read the transcript of the message that went out earlier today.

Thanks, Nerdy Desi!

The Next Generation of Data Pricing – Our Evolution Amidst an Industry
June 20, 2011Comments (0)
Greetings team, it’s Lee, your Area Vice President of Marketing and Sales
Operations. As we approach the summer solstice, I wanted to reach out to the
team and overview what I believe represents a significant and exciting
evolution around how we package data solutions to our customers and the

The Revolution is Upon Us…
In what has been a year of amazing performance by the South Area including
company leading year-over-year churn improvement, successful introduction of
the iPhone 4, strong post paid gross and net adds and industry leadership in
launching our 4G LTE network; we find ourselves entering into a period of
transformational innovation within Verizon Wireless and the wireless industry
as a whole.

Our ability to out execute and deliver upon the promise of The Credo everyday
has allowed us to maintain the industry leadership. At the same time,
accelerated market expectations coupled with the introduction of many
emerging solution categories has created new opportunities for us to meet and
exceed the needs of our customers.

Data Pricing Evolution…The Present
Our legacy data pricing structure was designed to address a somewhat
different customer need profile than what we are seeing and can expect in the

Consider this. Data usage has more than doubled over the last three years.
Consumers and business users alike are doing more and more with their mobile
devices. The notion of “send and end” has migrated to “managing
multiple aspects of one’s lifestyle through mobility.” Whether it’s
social media (85%+ of Smartphone users), mobile internet (88%+ of Smartphone users), or email/applications (71%+ of Smartphone users), this usage has one thing in common—dramatically increased demand for data and media consumption.

As a result, we are evolving our approach around how we package our data
solutions and pricing to our customers. Coming soon, Verizon Wireless will
move from our existing pricing format to a structure designed to allow
customers to choose the right data solution that best aligns with their

The Value Benefit Equation...
With the new usage based pricing plans, the vast majority of our customers
will be able to enjoy their typical level of data consumption for the same
value that they outlay today. Additionally, for those who have greater
requirements for data, we will have solutions that they can tailor to their
unique needs.

Perhaps more importantly, given our strong desire to continue to provide
enhanced capability and value to our customers, the new data pricing will
apply to both our 3G AND 4G LTE networks. So in essence, for those customers in our ever and rapidly expanding 4G LTE network coverage footprint, users will gain the benefit of the fastest and most advanced 4G LTE network in the U.S. all for the same usage based value. More speed. More functionality. Same value.

Let’s Do What WE Do…
Our expectation to extend our market leadership will be largely dependent on
our demonstrated ability to “operationalize” in the face of an
ever-changing environment. The successful launch of our new data pricing
solutions represents a key milestone in our continued march to excellence.
Over the next few weeks, you will be receiving much more insight,
information, and learning opportunities around this significant evolution in
how we provide our industry leading best solutions, to the right customer,
that best satisfies their needs.

I have every confidence in our ability to execute this flawlessly because it
is the Verizon Wireless and South Area way. Our customers expect and deserve
nothing less.

To paraphrase a quote from a favorite cinematic masterpiece of mine from the
80’s, Top Gun, “Verizon Wireless is engaged. The South Area has the
lead…” Let’s do what we do.


Reader comments

Verizon employees get tipped off of changes to data pricing


I've been a memeber of this forum for over a year and this is by far the funniest post I've ever read! LOL

ooh and this whole tiered pricing scheme. I understand it, but the price points need to be different, or they need to drop the price of the phone plan. I spend a small fortune with verizon(400+ a month) for my cell/home/internet service, and while I'm happy with the service, the price really hurts.

Jerry how will it save ANYONE money if the 2GB plan is $30????

Sounds more like it will increase EVERYONE but the lowest data users' bills significantly. Either you or I are missing something?

Exactly. At least when AT&T went to tiered pricing, they offered a (ridiculous but cheaper) 200MB plan for $15 and 2GB for $25, the latter of which probably saved most people $5/month. But if Droid Life's numbers are correct, the minimum smartphone data plan on VZW will still be $30.

Glad I switched to Sprint last week.

yea i noticed this instantly as well. the tiered pricing leaked so far doesnt make things any cheaper for anyone since the minimum is still 30$. The price only get's higher for those consuming 2GB+

I think the key phrase is "With the new usage based pricing plans, the vast majority of our customers will be able to enjoy their typical level of data consumption for the same value that they outlay today." Translation: Most people use less than 2Gb, and so they'll continue to pay $30/month for that. So where is the possible savings? I don't see the upside for the customer.

Sprint's plan is so much simpler (and less expensive, in the long run). And with them, unlimited means unlimited. And their customer service, over the past 7 years that I've been with them, is excellent.

Where in the world are you getting pricing for these data plans?!? Good job on making up your own pricing and running with it.

Lets see, I pay $30 a month for "Unlimited" data now. After I upgrade (November of 2012) I will pay the same for less or I pay even more for less. How is that saving me money?

Unless, of course, they're on Verizon, where all of their money will promptly be sucked up. posted this hours ago, it seems like you guys wait to get your own source so you don't have to give droid-life any credit.

you guys do this quite often too.

droid-life also post a lot of things prematurely without any sources. Android Central tends to wait so that they know the source is legitimate rather than telling us something that may or may not be true and pissing people off for no reason...

How is it that people are going to afford this???? Doesnt 4G LTE cosume data like crazy? Also, a lot of android apps use data in the background and even though im on WIFI almost everywhere I go, i end up using 5GB in my unlimited plan. I cant afford this crap!!!! Are the asking me to leave to cricket or something like that? If even a quarter of VZW clientile left for a carrier like them then cricket could afford better coverage and offer greater phones. Tiered data might need to happen but current pricing is not gonna work. they should have better options.

How would 4G LTE use more data than 3G? If you're running the same apps and services on your device, you'll use the same amount of data.

I've had my Droid since the day after it was released, and I haven't used 5GB of data in total. How the F do you use 5GB of data in one month if you're on Wifi almost everywhere you go?

It seems you fall into the use group they are targeting with tiered data plans. Maybe you're right - you CAN'T afford it; which means a change is in order - either your job (get one that pays better), your carrier (get one that costs less), or your behavior (put your phone down once in a while).

its really simple and it does happen. example you dl a file on 3g you wait 4g u dl say 4 files while 3g is still dl that first file. with faster speeds comes more usage which means your using more data. my DroidX I use about 7GB a month my new 4g mifi is on 10GB data plan and I use 9gb atleast a month

you are an idiot if you think you have not used 5GB of data in 2 years unless you never leave your house (probably the case). You obviously do not even know what a GB is.

Don't be so arrogant.

You're an idiot if you think you can authoritatively say how much data a perfect stranger uses in a given period of time. 5 Gigs over 2 years is 200 megs a month. I almost always come in way under that because there's a wifi connection almost everywhere I go - home, work, friend's houses, restaurants, etc. Some months, I use as little as 30 megs.

I too wonder how people can possibly consume multiple gigabytes per month on a phone. People who do are totally naive if they didn't see this coming. Carriers could get away offering "unlimited" data when usage was generally limited to e-mail and browsing the web. But when people are essentially replacing their home internet connection with their phone's data plan, it's really abusing the service.

While you wonder how, millions of people do. Eliminate your ready access to WiFi and you're in my world, along with many others. We don't all have access points every time we turn around and if we do, we're more likely to be on a laptop instead of our phones.

I didn't get my smart phone to use it only where WiFi exists. I got it for everywhere else.

then why pay 80.00-90.00 paying for service? Just get a dumb phone and carry a WiFi device everywhere you go hoping for connection. And for you travelers, better pick up a standalone GPS, no more Google navigation for you, well you can, just pay up!

The thing is, the MINIMUM 4G LTE data plan, use it a little or a lot, is till gonna be 50.00/mo.. So you think you have to give up your unlimited 3G 30 dollar plan when 4G comes to your area, no, just dont sign up for a 4G plan. You will still pay 30 dollars minimum, and take the lowest tier. There will be no such thing as unlimited data at any price.

Ok, first off, I don't have 4G in my area, I was making a guess that it uses more data since it is faster than 3G and the battery dies quicker on 4G. How I decide to spend my data usage, money (which I do get paid well enough for me thank you) and which carrier I want to stick with or go with is all very much my own personal matter. I don't need your rude advice buddy.
(In response to @UncleMike)

Its not hard at all...last billing cycle I used 14 gb....streaming video and music. Anybody who uses either one of these just a few days a month will consume well over 2 gb. Btw why do u have to be such a D-bag just because some (like every other comment) is complaining about this outrageous price hike, your gonna basically tell him to get a job? If these prices are accurate then they are extremely non-customer friendly. We will complain about this BS so get over it. Also I WILL NOT BE RENEWING MY CONTRACT WITH THESE MONEY HUNGRY PRICKS. CAN U HEAR ME NOW?

Could there be a lawsuit coming Verizon's way that pertains to those apps that consume data that we can not fully disable or delete? If they want to enact data caps and tiered plans on us then thats their choice and we can take our business elsewhere but, we as the consumers, have the right to manage what apps use that data and NOT Verizon.

Good observation. Verizon would probably mitigate the issue by removing the apps in future updates, thus negating the problem. But who knows, VZW just might twiddle their thumbs and see who's not paying attention just so they can rack in a few extra bucks...(ie: majority of consumers)

So this is long speak for saying- "We're eliminating any trace of unlimited data plans. Like our competitors at AT&T, who specialize in raping wallets, we're moving to a capped and tiered pricing structure that will allow us to more fully rape our customer's wallets, more so than we're doing now. This is a really exciting change for us that should increase our profits and drain your wallets faster than ever before, especially with our new high speed data sucking LTE network." Have fun with your capped data plans, VZ customers. That thar LTE network of yours should suck down more data and put you into overages real quick-like. LOL!!!

I'm grandfathered into my unlimited data and ATT is awesome in South Florida for me so I don't see myself moving any time soon. I just need ATT to get better Android phones. As for others on this thread claiming low usage I regularly pull down 12GB of data a month just running Pandora a lot and (my) regular web browsing, emails, etc. no tethering. The death of unlimited plans is a bad thing overall, imho.

Sprint has too many commercials out indicating that they aren't even considering it right now. But when that new LTE network they are working on comes online, we will see. HOPEFULLY, AT&T won't get T-Mobile. SPRINT. UNLIMIT YOURSELF!!!

Oh yea. Especially those Verizon iPhone users who fled AT&T like the plague. Let us pray the iPhone doesn't come to Sprint, because that will be "THE END OF DAYS". LOL!!!

Time to start uninstalling all of your web sucking apps. Facebook, Twitter, Maps. What else? The party is over, Verizon Customers.

This guy sounds like a high school coach pumping his team before they face the #1 team in the world. Telling them go go go.......don't think about how bad we are going to lose but how you are going to win......

Good luck big red..... hehehe

He does, doesn't he? Had that whole "Pep Rally" feel to it. Rah Rah sis poom bah. I don't think so. Way to break that story Androidcentral. LOL!!!!

Been looking up alternatives since story broke. Tmobile seems to have decent service in my area NC 28160, anybody from there that can confirm?

Not sure where 28160 is, but I know tmobile generally sucks OUTSIDE of the city limits (all of Research Triangle Park) here in the triangle. On the other hand, Sprint has been nothing but flawless from Raleigh to Greenville, to Emerald Isle and everywhere in between. Did have some issues in the mountains, but I think that would have been with any carrier since I was deep in a valley.

Maybe they do, but what will you do if AT&T gets hold of them? Any hope of good customer service and great network performance will be blown to bits. That's what happened when AT&T acquired Cingular. Dropped calls. Customer service reps who were clueless. And no more unlimited data.

Everyone knows verizon wireless is trying to screw people over and make more money. Does this really surprise any of you?

Only thing to do now is to never upgrade and buy phones without a contract.

just remember not to buy it full retail directly from verizon. otherwise you;re just pumping their wallets anyway. How does the whole commission tree work?

does the retailer get any profit (i.e. LetsTalk/WireFly/Amazon) if we buy the phone direct from them at full retail? or are they merely redistributors of the handsets and only make money off commissioned service sales & accessories.

I started doing this when they did away with 1 year contracts. If I am forced into 2 year contracts, might as well get the phone at the cheapest price. If I have to pay full retail for a phone, I will also do it at another place such as amazon. Buying them at verizon is just feeding the monster.

I just got that email less than an hour ago in my inbox, I work as tech support at a VZW call center, have emailed it to AC, Engadget and Droid-Life. Nobody here at the center is happy about these changes as well. Some are planning to buy a 4G phone now to hopefully get locked in or if not, some are talking about going to Sprint, lol.

Did you read that confidentiality statement under the guy's picture? I hope you have never signed into AC, Engadget, or Droid-Life from your work PC.

Good luck in the job market....

I was going to say something along those lines. But a smart guy would not use his work PC for anything that could come back to bite him in the can. I don't. I use my personal laptop and my personal cell phone at work for personal stuff.

How does their plan save me money? I am on the the 3gb/$30 mo plan (no contract) and they want to lower the data to 2gb which will cost me money(I use 2-3 gb a month on my Xoom). At my normal usage i will have to pay a $10/gb overage.

Guess I will have to root my phone and use it as a hotspot.

It's no surprise that this was coming. $30 for 2GB? How are people saving money? You can do better than that, VZW. I hate to say it, but I wouldn't be surprised if some of the other carriers followed the top two carriers on tiered data someday.

And that's the kicker....NO ONE now is saving money! They are scaling back on services...we are already paying $30/unlimited is going to a $30/2GB save? It won't. They only ones who are saving money are new Verizon customers after July 7th...they better grandfather us in or the next go round, I will look into new services somewhere else.

AT&T started it. A carrier who wants a flood of new customers from VZW and AT&T won't follow that. Welcome to Sprint. UNLIMIT YOURSELF!!

These new data plans will force me out of wireless. I used 30gb this month. I'm fearful of the future of American wireless.

Are you surprised?? This is how Verizon does things. Let's see, here's a new high speed data network for you that can handle millions of users at one time with no problem, now we are going to stick it in your ass! Verizon for almost 10 years now with sprint and couldn't be happier.

They're screwing customers over and making it look like they're doing us a favor by offering us "choice". I don't want choices. I want my unlimited Internet!

People seem to have forgotten what the purpose of verizon wireless is. The purpose of the company is to make money. They are not going to give the service away for free. Does it suck? Yes. If you dont like it, change carriers. If not, pay the fee and suck it up. Its not going away.

They are making money hand over fist at $29.99/unlimited. What they are going to charge 7/7 is sexual assault(rape).
Sounds like you are a fanboy.

Yes, it's a business, but that doesn't mean it's okay to rape customer's wallets. You like overpaying for services rendered, enjoy yourself on VZW. Some don't agree with VZW's approach and have a right to express their opinion here. You don't agree, don't read it. Let's see how many people jump on board with this and support it? Don't be too shocked to find yourself standing alone with big red.

Maybe that was the plan all along. Do something to get customers to pay full price for phones without contract to get more up front money. So that new unlocked 16GB iPhone will cost you $649 and the 32GB will be $749.

I myself want a family data plan. I have 5 droids on my plan and all 5 lines together don't even use 8gig of data a month. I would be happy to spend 100 a month on a shared 10gig plan vs my 150 I pay now.

I'm just glad I got the Droid Charge NOW so I am locked into an unlimited 4G data plan.

It seems as though the "average" consumer under uses their smartphones!

To anyone who doesn't understand why 4G uses more data. It's because you can be more confident that video will actually play without stopping, unlike 3G, it
stops constantly to load
video. What I'm saying is
when a person is more confident news videos and YouTube will actually load and keep playing without stopping to load they will watch more videos. Cause it won't take 5-7 minutes to play a 2-minute long video. And of course video uses more data. And no I don't feel guilty for uses more than 2/5 GB's/mo because I am well aware that the LTE network can handle it WITH EASE!

How will this save people money if the least expensive option is the same as what people currently get "unlimited" data for? If Verizon goes the same route as AT&T and adds a $15 plan then there is the option of saving people money.

Sure, that $15 play saves money until you start going over your cap. How many apps stay connected with Android. Twitter? Facebook? Google maps is on with Gingerbread, when I'm not even using it. Other apps stay connected too. And with 4G LTE, you're going to hit that data cap quicker than you think if you use ANY social networking apps. I know women who are on twitter and Facebook all day on their phones and if they didn't have unlimited, they'd be getting huge overages.

Time Warner tried to switch to tiered pricing and capped plans awhile back. There was such a mass exodus to other providers that TW pulled the plug on that horses#*t real quick. Maybe the same could happen here if we are lucky....but then again Time Warner does not lock you in for two years.


People are already looking at jumping to Sprint. If AT&T doesn't get T-Mobile, they will still have unlimited until they change that, but it really is a good idea to have two unlimited networks and two where folks like to pay more for less. The iPhone users will be happy with that. The rest of us will continue to "unlimit ourselves".

Hey Jerry...mind explaining how ANYONE saves money with this? Are you going to be covering our bills?

Don't most people know they can stop there apps from using internet in the background. I have nothing using internet in the background and I'm on the unlimited plan at sprint.screw big red.

Wow, a little piece of my soul died when I read that advertisement. Gotta love corporate America.

Oh and btw Lee, let me fix that for you:

"Coming soon, Verizon Wireless will move from our existing pricing format to a structure designed to allow customers to choose the right data solution that best aligns OUR POCKETS."

Verizon FTW!

I laugh at the guy who claims to not have used 5gb in data with a smartphone. If you have not used atleast 5gb of data with a smartphone is 2 years I think you may need to downgrade your phone cause that right there is a waste of a smartphone. It's very easy to use kill 5gb in a month, shoot I just killed over 200mb just typing this while downloading a ROM at the same time from my phone. It's that easy. :-)

We all knew this was coming. I've been on Sprint now for 2 years and I'm pretty happy. The pricing is great and the coverage is solid. It took a hit with the Alltel buyout but I don't visit those areas so it did not affect me. I just like knowing I can go anywhere and I will get a signal.

I'm a business man and have worked for corporations before and I understand how it works but when will they learn to stop sending out this load of crap to employees and even consumers? Did this guy sit down after he or is secretary wrote this and said "YEA, I knocked it out of the park with this letter. They will eat this up." It is disgusting that he has so little respect for his employees to insult them like this. I'm almost as irritated with the letter as I am about the pricing. Corporate BS has to go.

I have VZW. Girlfriend has Sprint. We have identical plans. She pays somewhere in the neighborhood of $30 less a month. Now with the tiered data on the horizon, I'm jumping ship from VZW to Sprint when my contract expires in Feb.

if you change my "data" plan by increasing the price and decreasing GB's then you better include unlimited texting in this too... $50 a month for 5k text and "unlimited/but really limited" data usage, then ill gladly switch back to one of those dumbphones and you'll lose out on all my money

I don't know how the new plans could save any money. I have 2 smart phones Out of 4 on my family share plan. I already pay $60.00 a month for unlimited for those 2 phones. The $29.99 each. How would charging. $59.99 and up for shared MB save money? Sence I use more than the other phone and have a 4G phone and don't have wifi access only at home, and I'm rarely at home. I would end up paying overages all the time or a larger monthly amount. Also I tested shutting down data services on my T bolt stock and there where still 8 apks. Still connected, running in the back ground that were phone Apks, not ones installed by me. How can we shut down all data being used? The only way I way I have found is turn phone completely off. Then why have a smartphone let alone a 4G. Guess I will be heading back to dumb phones or pre paid just talk and text phones. Damn where did I put my motor Razor!!!

Uh, yeah, so this Guy is telling his employees that they need to convince customers that paying, say, $80 per month for, say, 10gb is a better value than paying $30 per month for unlimited data? Who is gonna actually believe that bulls*#t? Wow...and this guy is an executive ! ?!

Don't worry he'll be fired in six months, he was the only one stupid enough to deliver this message, I'm sure they are all laughing at him, "ha... can you believe he actually fell for it"
You don't see the people that designed the plans saying they found Lee to do it....nice work Verizon!!

Im taking my plan to my grave...this douche isn't getting another red cent out of me. If they insist on changing me...ill just be done with cell service I guess. It's getting ridiculous. One could easily pay more for their mobile phone account than their car payment!

I have actually talked to people who pay more in cellular bills then they do for their student housing rent! Given those people have a smartphone, a cellular tablet and a mifi-like device, it makes sense, but still... (they also pay for the max data limits one those lines that don't have 'unlimited' options)

Of course data usage on V's network is increasing. What do you expect when 95% of the devices you offer are smartphones/tablets? Your network services are good, but they aren't golden. Get your head outta your a$$!

I love the way these big companies use and manipulate their employees. This guy is one of your typical kiss ass boneheads, OK you want me to say what...there all going to save money...Oh put that stupid constipated look on your face so we can snap your picture,only to be fired or layed off six months later after they get him to do their dirty work....

I hope the FCC is paying attention to what verizon has been doing for the last year, doing nothing but taking away and now charging more. The FCC should never have approved the alltel buy out for verizon, nor should they approve any more buyouts that verizon wants to do. They should take note here and not approve the at&t buyout of T-Mobile. AT&T and Verizon are getting to big and monopolizing the industry. Neither one should be allowed to buy any more companies. This is what happens when competition goes away, Verizon is living proof of that.

I urge everyone to contact FCC and have them look at what verizon has been doing to the customers and please block the purchase of T-Mobile from AT&T, or this is just the tip of the ice berg for us.

Its this kind of Accounting that makes me worry that the recent economic collapse is going to be a reoccurring theme every decade or so from now on...

The ONLY type of person this does NOT affect are those people who use < 2GB a month, and even they aren't seeing any cheaper cell phone bills...

If Verizon had made 2GB/month $15 and 5GB/month $30, they could justify saying they are saving people money... I believe that the majority of smart phone users use well under 2GB. Heck, everyone in my family that has a Smartphone uses less than that but myself.

I see Sprint putting up big numbers over the next few years. Especially if they keep doing the $125 credit (per line) for porting your number over.