Verizon doubles data plans for increased cost savings (USA)
Verizon Wireless, a leading mobile phone operator in America, is reportedly planning to double the size of its smartphones in an attempt to compete for customers as well as save on its capital expenditure for older wireless technology. According to reports, Verizon has increased the data amount offered with its smartphones, from 2GB to 4GB for $30 a month.
As per sources, Fran Shammo, CFO, Verizon Communications Inc., has said that the offer is more beneficial from a financial point of view as it help draw customers to the company’s latest LTE network, thereby reducing capital investments in the previous 3G technology.
Company reports suggest that Verizon’s double data plan is effectively a price cut, and the first the company has attempted since it dropped its unlimited data offer earlier this year. Further, the operator has reportedly said that the new data offers are a limited time promotion and the new users will keep the higher data allotments for the life of their contracts.