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T-Mobile Rolls Out Two-Tier IoT Access Pricing

By Diana Goovaerts | January 3, 2017

T-Mobile is giving its Internet of Things access pricing a big old KISS overhaul – that is, they’re keeping it simple.

The Un-carrier on Tuesday announced a new wireless data pricing setup for IoT devices, and it includes just two options: a 5 MB per month plan at $20 for the first device and $6 per device thereafter and an unlimited data plan for $25 per month per device. The carrier noted it is currently offering $5 off per device for the first year for customers on the latter model, and said both access packs cover the cost of a Sequans Cat-1 module (around $16) via a bill credit.

According to T-Mobile, the plans cater to the different needs of IoT applications – namely that some use a lot of data while others use a very small amount – without getting bogged down in the minutiae.

“Like everything they do, the carriers over-complicate the Internet of Things, and that leads to more hassle and cost for customers,” T-Mobile Senior Vice President Doug Chartier said. “The wireless industry needs simpler options for IoT to take off, and that’s exactly what we’re delivering.”

For comparison, AT&T in October rolled out a set of three prepaid data plans for IoT developers, including a 1 GB and 500 SMS offering for $25 (with access expiring at 1 GB or 12 months, whichever comes first), a 3 GB and 1,000 SMS plan for $60, and a 5 GB and 1,500 SMS plan for $100 (with access expiring at the data limit or 24 months).

In addition to its data pack announcement, T-Mobile said it is continuing its work on bringing Category M and Narrowband IoT modules to market. The Un-carrier reported these modules will “help customers save money over time” and “provide another technology option to give customers choice in improved data speeds and a longer product lifecycle compared to 2G network technologies.” No word, though, on when it plans to make those modules available.

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