America's largest wireless telecommunications provider, Verizon Wireless, has reintroduced with immediate effect, cut-price promotional offerings which they had first introduced back in November of last year, as part of the company's "More Everything" shared data plans. The pricing brings down the cost of 10GB data from the prevailing $100 a month to $80 a month, while 15GB of data will now be available for $100 as part of the plan. The prices, however, are not all-inclusive. Steep monthly access charges for connecting smartphones, tablets, and other devices will continue to apply, even though some of those had been cut as well for Verizon Edge customers. For plans with 6GB data or more, the monthly access charge for each smartphone has been cut by as much as $25 from the existing $40, resulting in a $15 charge per phone, and for cheaper, lower denomination plans, the charges have been cut by $15. While Verizon says that this is just a temporary promotional offer and not a permanent pricing tier, they haven't given any exact deadline by when to sign up for these plans.
Verizon Wireless is also continuing on with the long-running promotion which offers two lines with 6GB of shared data for $100 per month. A plan that they had introduced to counter one of T-Mobile's more popular plans offering four lines for $100 per month and gives their users 10GB of shared data. Verizon is currently also offering a one-time $100 bill credit for anybody switching over from another carrier.
While these plans may be good news for end consumers, they have stirred the proverbial hornet's nest with analysts on Wall Street. Who now fear that this might trigger yet another round of price wars between the carriers for more price sensitive customers. Looking to dampen those fears regarding falling margins and shrinking ARPA (Average Revenue per Account) which might result due to these promotional offers, Verizon Communications CFO Fran Shammo clarified Verizon is not going to initiate what he called an irrational, unsustainable price war. It, however, remains to be seen as to how the reintroduction of these offers will impact the industry as a whole, in the weeks and months to come.