Verizon will phase out its unlimited data plans this summer in favor of tiered plans, according to widely reported comments from Verizon Communications CFO Fran Shammo at an investor conference yesterday.
Speaking at the Morgan Stanley Technology, Media & Telecom Conference on Tuesday, Shammo said Verizon Wireless’ unlimited data plans were “never a long-term strategy” and the company planned to shift to tiered pricing in the months to come.
Shammo’s comments came three weeks after Verizon Wireless began selling the data-intensive iPhone 4. Verizon’s planned move towards tiered pricing could help mitigate unchecked data consumption by its smartphone users.
The company has previously said it would move toward tiered pricing to rein in the data consumption of its smartphone customers, but had not given a timetable on the shift to new pricing plans.
Verizon currently offers a $30 unlimited data plan for its feature phone and smartphone customers, including its iPhone users. AT&T axed its unlimited data plans for the iPhone last summer in favor of a 2GB, $25 plan and a 200 MB, $15 plan.