BillShrink CEO: New AT&T Data Plans Can Save Users Hundreds Of Dollars
AT&T had recently announced a revamped data plans for smartphones which replaced the popular unlimited data plans with a tiered usage driven pricing structure.
A lot of long time AT&T subscribers have opposed the change since it tends to disincentivize data consumption.
However, according to BillShrink CEO Schwark Satyavolu, the new AT&T data policy may actually help subscribers save hundreds of dollars over their two year contract period. BillShrink is a free online tool that helps users save money on everyday expenses.
Speaking to Dan Frommer from the Silicon Alley Insider, Satyavolu backs AT&T's claims that the new pricing structure is good for the average consumer and negatively affects only small minority of iPhone users.
Satyavolu notes that the average iPhone user consumes close to 400MB of data every month. A significant number of these users could potentially consume less data by changing their usage pattern. That would imply that AT&T's 2GB data cap may actually suffice for a predominant majority of iPhone users.
However, the BillShrink CEO is quick to point out that the data usage levels are expected to steadily rise over the long term. He reveals that the average data usage has increased by over 3.5 times in the past year and a half. The new data pricing announcement comes at a time when bandwidth heavy applications like Skype and Netflix may find increased usage due to new functionalities like multitasking. So the average data consumption is expected to rise even further.
While Satyavolu agrees that the new pricing may help consumers save money in the short term, he however points out that tethering at an additional monthly cost of $20 may not appeal to a lot of subscribers. He notes that the carrier will require a more "rational plan" to encourage tethering among iPhone users.
You can watch Satyavolu's interview below:
Are you happy with AT&T's new pricing policy? Will you be moving to the tiered data plan to save money? Tell us your thoughts in the comments below.
[via Business Insider]
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