Achtung, T-Mobile: if Project Dark is $50 unlimited, you're in trouble
By Chris Ziegler 
posted Oct 12th 2009 2:00AM
posted Oct 12th 2009 2:00AM
Rumors have been swirling the past few days about a "Project Dark" (or "Black," depending on who you believe) that revolves around a few key strategies designed to turn the entire industry upside down by rapidly pilfering market share from T-Mobile's competition -- possibly to the point of leapfrogging Sprint. The first element to this is allegedly a barrage of data-rich devices including two Nokia Nseries (the N900 being one of them) and a continued heavy push to stay the Android market leader through introductions like the Motorola CLIQ and Samsung Behold II. We're totally cool with that part -- T-Mobile's investing heavily in its 3G market lately, literally lighting up new markets every few days, and it only makes sense that they'd want devices ready and able to take advantage of those speeds. The next part says that Dark will see 21Mbps HSPA+ get rolled out at a breakneck pace, presumably designed to put pressure on AT&T which is still in the midst of a less sensational 7.2Mbps introduction. Neither the handset strategy nor the 21Mbps plans are really baseless rumors; with the exception of a single unnamed Nokia, all of the phones mentioned for Dark are very real, and T-Mobile's senior vice president of engineering operations has gone on record committing to a national HSPA+ rollout next year. It's all happening -- call it Dark, Black, Light, Blue, Magenta, whatever you want.
That brings us to the final tenet of Dark, which has T-Mobile planning a blockbuster $50 all-you-can-eat plan that would undercut its nearest national competitor -- Sprint, with its Simply Everything plan -- by a ridiculous $50 (AT&T's recently-announced unlimited prepaid plan comes in at $60, but it lacks data, the most critical element here). Sounds enticing, doesn't it? Too good to be true, even, but we don't doubt T-Mobile would do it just to shake things up, especially since they've always had a reputation for undercutting the competition.
Unfortunately, it's a fool's game -- and if it happens, we're pretty sure it's going to end in tears. Here's why:
- Boost Mobile -- operating on Nextel's historically robust network -- had bouts of trouble with the influx of subscriber adds brought about by its own $50 unlimited plan, and that was on a totally different scale: the phones aren't nearly as interesting and 3G data simply doesn't exist. When potential customers realize they can get, say, an N900 or a CLIQ and stream Pandora or last.fm until the cows come home for that same $50, there'll be a run on stores, riots in the streets, overturned cars, the whole nine yards. And that's before 10,000 new customers a day get home, turn on their phones, start downloading apps, make Skype calls, and cause cell sites to spontaneously combust.
- Capping your potential revenue per customer at $50 a month isn't a recipe for heavy capital reinvestment, which is exactly what T-Mobile will need a lot of to make good on Dark -- and fast. In fact, both Verizon and AT&T have total ARPUs (average revenue per user) above the $50 mark already, and T-Mobile's current postpaid ARPU is up there, too. Translation: excluding a subscriber influx, T-Mobile would be taking in less money per postpaid customer than it is now while offering considerably (infinitely?) more service. Including the inevitable influx, sure, revenue goes through the roof -- but profit is a huge question mark.
- One of T-Mobile's hallmarks has been stellar customer service. Historically, the carrier has never offered the biggest coverage footprint or the biggest handset selection, but you could basically always count on 'em to take care of you. Think they'll be able to keep that reputation intact with one-third again as many subscribers within a few months' time?
- We're not doubting that T-Mobile is planning its 3G network (whether it be HSPA or HSPA+) for increased capacity, but the magnitude of advanced planning and expense that would be required to accommodate the number of high data consumption adds brought about by a plan this cheap would be truly staggering. It's the perfect storm -- the carrier would be simultaneously adding the most powerful devices it's ever offered and dramatically undercutting its closest competition on plan pricing, and the resulting strain would be picked up by an untested network.
- Network build-outs are measured in months or years, not days. If markets start imploding because T-Mobile realizes it doesn't actually have the infrastructure to suddenly be the number two or three carrier, that's not a problem it can solve quickly -- or cheaply.
In a perfect world, we'd all have Cortex A9-powered phones running the mega-powerful operating system of your choice with 2GB of internal RAM and a 4.5-inch WVGA display hooked up to a network offering all-you-can-eat voice, data, and messaging in exchange for the pennies and lint in our pockets, but the cold, hard realities of spectrum allocation, technology, and the surly bonds of capitalism conspire to make it impossible. We beg of you, T-Mobile -- for the good of your network and your customers -- don't pull the trigger on this unless you're absolutely positive you've covered every contingency (and history suggests you've got some work to do there).
Would be a the best deal ever for me.
My dream phone (N900) + $50 unlimited plan + T-mobile.
Awesomeness.
Great article. Really interesting to ponder. We need a carrier shock.
Seriously. Cellphone rates are so high compared to other parts of the world. It was awesome when Sprint made some moves, this would be even crazier.
So based off of your extensive knowledge from Journalism school and knowing nothing of running a national telecommunications company and having ZERO internal information about T-mobiles ability to handle a massive increase in subscribers, you think this is a bad idea?
Good analysts have inside information and internal data from the company to which they are speculating on, you have neither.
There is a reason journalists are not CEO's. Do what you do best, copy and paste links to an article or product, find a picture, write a quick paragraph.
im w/ tmo now. this is epic if they did. sprint has it for 70. enough caps and just give us the goods!
@Leopoldstoch
You...just...burned...the...shit...out...of...Ziegler
+1
But I wish it had been Topolsky... then it would have been a
+∞
T-Mobile? Stellar customer service? HAHAHAHA! That's always been one of the worst things I've found about them. I used to call in when I'd have data problems and get the exact same lines - yes, we see a problem, yes we have a technician on it, yes we can text you when it's fixed, which never happened. Somehow I have the feeling that's what they said no matter what.
@ Leopoldstotch - Rock on brother Leo. They should call them Jermalists!
@ Leopoldstotch -You took the words right out of my mouth. I found the article immature and lacking any form of insight.
Was Engadget actually suggesting T-Mobile not to offer a $50 unlimited plan? C'mon ! That is like saying "Please don't invent an AIDS cure or vaccine"
T-Mobile is backed-up by its European counterpart. There had been rumors that the German boss wants to buy Sprint (Sprint, even though it has been seen as the ugly step-sister, is pretty much a quiet influential carrier in the US. Sprint = Sprint, Nextel, Boost, and I think now Virgin. It has a huge customer footprint)
T-Mobile, do it ! do it ! Dare to try ! Dare to risk ! For the sake of competition. For the sake of change. For the sake of shake that thing,
Shake that thing miss Nokia-ana
Shake that thing miss Androibella.
Shake that thing wit ya donut donnut
LG and Samsunbeca
Stop busting Chris's Ballz! His speculation / supposition is close to spot on. And I actually happen to know a thing or two about the mobile telecom industry. There was only one slight (all be it glaring) omission in his analysis, and that is the new mobile operator's "golden goose" called FEMTO CELLS! They are cheap and fast to produce (relative to full cell site builds).
There is also a strong incentives to offer them for free (via rebates) since they afford the ability for the mobile operator to off-load MASSIVE amounts of network bandwidth to the users ISP. The Internet back bone (via the customer's own Fiber, Ts, DS3/4+, CAT or WiFi) is the "missing Black link" here folks. Add that to the equation and T-Mobile's supposed plan no longer looks so far fetch!
PS The Big Tell will be when they introduce a new Femto Cell that includes HSPA+. WATCH FOR IT ;^/...
Great article. Speculation or not, it at least got folks thinking about why the much rumored $50 all you can eat plan may not happen. If that part is missing during the project black announcement, now you can at least see why it was possibly left out.
@Leopoldstotch
While you have a point, History does tend to repeat itself. The Boost Mobile problem seems like something that will make this project fail.
But hey, I am ALL FOR $50 / Month for unlimited data. You have to remember Tmo was charging $30 a month for unlimited data and text for its prepaid sidekick plan (and 15c/min).
+1 Tiki
@Leopoldstotch/Brendan
but but but... i love ziegler :(
N900 + $50 unlimited data? Hyperventilating....holding chair...passing out....omg
At least they've got Catherine Zeta Jones on their side...
Well, actually as part of the new "Project Dark".
They are replacing her with Beyonce.
Yo Catherine, I'm really happy for you and Imma let you finish, but Beyonce is going to make the best T-Mobile ads of all time! OF ALL TIME!!
N900 you stay on my mind
Fulfill my fantasies
I think about you all the time
I see you in my dreams
With T-Mo my pay doesn't go by
Without my fantasies
I can text, surf and talk all the time
Like I do in my dreams
Aah oh my baby's fly baby oh
***booty shake ***
everyone will be running snapdragons.
In the future, everyone will be RIDING snapdragons
How are you supposed to ride a flower?
"but profit is a huge question mark."
Lets go t-mobile, deliver on it!! I having this phone shipped to me soon! you cover every contingency!!
well if tmobile does pull the trigger i know i will be dodging the bullet
...then I will catch it, with my bare hands.
I'm ready for that plan, and even more for the HSPA/HSPA+ rollouts
my only question is *when* should I expect this?
thx TMO
I...I am both amazed and frightened.
The idea of 50 bucks a month for all, but not being able to do anything with it because of the ridiculous number of people....Damn that would be frustrating.
Well, if you have AT&T.
Switching won't really matter to you, as you're likely used to slow speeds.
@joa But there is a map for that!
Sounds like early broadband internet access to me. Pay $50.00 and not be able to use it once schools got out!
Kinda strange that the US version is supposed to offer "stellar customer service" when the customer service T-Mobile´s German home branch offers isn´t worth shit.
Less competition... AT&T bill... inevitably rising.
Where's the newest tmobile tower i can jump off of and destroy in the process to ironically set in motion a chain of events that will sustain T-mobile's existence and maintain competition?
Holy sheezt. So I was right all along. Cell phone company's sell there service as a high premium. $100 for everything a month cmon thats bs. Its not like ur cell phone company is doing actual work for that extra 200 txt or 300 minutes. All they have to do is put up towers and maintain them( rarely ) and also of course other business expenses. I look at cell phone service pricing like this.... Normally when you buy a car and want that extra GPS option you have to pay for it. Of course cause its something extra cause its an actual physical object that cost money to build. Make sense..Ok. For cell phone company's its like your buying a car with a gps unit in it but you cant use it unless you buy the option for them to turn on. Haha terrible comparison but what the eff you know. If T-Mobile gets better coverage in my area im definitely switching over. Then I could buy the HD2 and actually use it. By by Verizon :'( im gonna miss you
Are you serious? Those extra "200 txt or 300 minutes" add up over a huge base of customers to be a SUBSTANTIAL strain on their network. They may be charging a (sometimes ridiculous) premium, but it's not as if there is a flat cost for every phone and they are laughing all the way to the bank past that.
@Angel
sorry, but text messages will never strain a network. the fact that they charge so much for going over a limit is absolute ludicrous. when you keep a text under 160 characters, that blip adds up to nothing, even considering all the other members of the network doing the same thing. It's the pandora/last.fm streaming that will destroy reliability of the network much sooner. These services don't make sense on a large network right now, it's something that should have been introduced in 3-4 years, when that data would be relatively less as compared to the capacity of the network.
boohoo.
the arpu seems ridiculous.
anyhow, back here in finland, 10e/month for unlimited (torrent as much as you'd like) data is the norm. fifty bucks for something that wouldn't even include that would be an absolute joke.
rolling out 21mbps would imply them to do a lot of tower upgrades too, to handle the load. and most handsets can't do anything with data they get in at those speeds anyways.
and as to the discussions. 200-300 txt really doesn't add ANY FRIGGIN STRAIN WHATSOEVER when you compare it to viewing even one youtube video. the arpu levels in usa seem like a joke by the way, you guys are getting really screwed over.
Txt messages actually ride along the control channel. No strain whatsoever on their networks. Its a massive cash cow for them.
first things first, N900 = w00tness of happiness :)
second.. if this actually rolls out... I'm buying a lot of T-mobile stock
@dep3che
The stock you would be referring to is Deutsche Telekom (NYSE: DT) because they are the parent company of t-mobile usa. However, T-mobile usa is only approximately 1/3 of their revenue, so yes, it might be a nice little purchase but won't have the effect that it would if T-mobile usa was it's very own publicly traded company.
And I'll buy Sprint stock, since I predict most of the T-Mobile customers will sign with the next lowest priced plan when T-Mobile goes under. I'll sure as hell use T-Mobile on an N900 until then, though.
That should be easy to do, because it this happens, there will be alot of people selling T-Mobile stock. Did you not read the article? Seriously, there's no way T-Mobile can prepare to sustain that data load in even two years time.
@all things considered
yes I read the article... and the sore thumb sticking out in my comment is 'IF', because like you said, there is no way Tmo could handle it... heh heh.. handle it.
again ... IF it does and everything flows right, would you jump in? (in general)
I see what you're saying. I mean, yeah, IF they can pull this off, I think it will be legitimate threat to other carriers, and if nothing else, hopefully get them to try and match, or even outprice! And ultimately, I'd spend my money at T-Mobile again. I used to have them, and I agree with the article that their customer service was great; especially now that I have AT&T.
Making the HTC Touch Pro 2 some more cheaper would be nice. Getting some WinMo 6.5 phones would also help.
Touch Pro 2 was free on contract last week with Bluetooth car kit and $50 bill credit. Can't get much cheaper than that bro.
Noooooooo, the people wants windows mobile 7 !!!
Give us 7 or give us techno-death (iPhone)
I would grab a N900 and the $50.00 plan for sure, problem is they dont cover my area , I wish they would expand coverage =(
Comparing T-Mobile to Boost is unfair. Boost always had a worthless network, even before the influx of customers. T-Mobile has worse coverage because they use higher frequencies, but actually has a pretty decent network. To compensate for the reduced footprint of their towers, again, because of the higher frequencies they use, they already have a large number of towers up. So they probably actually have pretty good bandwidth even if the coverage is poor.
21mbps HSPDA+ with roaming for postpaid customers whose prices drop somewhat but not to $50, native network no roaming unlimited for TMo to go prepaid at $50.
Keeps the high end happy, preserves high end revenue and gives them the best network at least temporarily if the build out completes mid 2010 as rumored while at the same time giving them a greatly competitive product for the low end.
FML, i just signed a 2-year contract w/Sprint to get the HERO...we'll see if it's true...but I still don't think T-Mobile can handle that sudden influx of customers...
Pretty sure you have 30 days to walk away from a new contract, so just hope this happens fast.
just do it and deal with the issues later, works all the time
My family plan last month was $276. Why wouldn't the four of us just get the $50 a month plan each instead?
I think you answered your own question.
I don't think the traffic matters. They're working constantly to make it better and they see that despite everyone complaining about iPhone service on AT&T, they still switch and stay on AT&T. You don't have to make people 100% happy to be the winner, and they probably realize that. Sure, their network will slow down, but people will get what they pay for and if a slow network with a selling point (AT&T+iPhone) works for one then why can't it work for another?
The real issue here is my own. If they do this I'll be pissed because I'm about to leave AT&T for Sprint + Samsung Moment on $59.99 Everything Plus, but I'd much prefer a Moto Cliq on T-Mobile for $49 "Everything."
exactly how I feel. I do agree, that customers don't have to be 100% happy with the service, look at the iPhone, At&t's prices (as well as Verizon's) are ridiculous. The CLIQ & the Moment are supposed to go head-to-head with one another, but with a $50 plan vs. a $60 plan, T-mobile and the Cliq will have the upperhand.
Especially since T-mobile would have unlimited minutes and the $59 Everything Plus is only 500...throw in that the Moment is stock Android and the Cliq has blur and it's more than a 10 dollar difference.
Announce it now or never, T-mo.
true....but iPhone case is different....the stupid hype because of the lame apple fan boys (whom i prefer to call iSheep)
unless of course, T-mobile's $50 unlimited "everything" plan doesn't include GPS use as Sprint's does. If that's the case, I'll gladly stay with Sprint, since it's around $10/month I believe (I'm also on the referral plan)...but yea, I'm assuming that unlimited any mobile on Sprint = unlimited minutes...well at least for me, I barely call to landlines anyway, but still can't beat the T-Mo's price point...
another thing to add is that a 21mbps network slowing down is def better than a 7.2 mbps network slowing down. But I also feel with all these contracts that T-mobile wont get that large of a number to join right away that would slow the network down. Not until people can get off their contracts to make the switch.
DAE think that "all-you-can-eat" is annoying looking/sounding phrase. Pisses me off to no end to see it used so often.
"If markets start imploding because T-Mobile realizes it doesn't actually have the infrastructure to suddenly be the number two or three carrier, that's not a problem it can solve quickly -- or cheaply."
Lack of infrastructure didn't stop AT&T.
AT&T is dying slowly from the inside out.
They waited too long for 3G and now it may be too late. Which would be too bad.
this is awesome....all you can eat for $50.....sweet!!
but as Chris Ziegler says, if T-mobile is not prepared for the extra load....then things will get ugly.....
here's what I am gonna do....I will not rush....I would wait for at least for a couple of months after T-mobile rolls out these plans....keep track of the network....and if things are well...then I will buy the awesome N900 and $50.....and live happily ever after :)
oh ya...i might change my mind if there is a HD2 and the gorgeous X3 on T-mobile...
Just do what we do in the UK - Fair Usage Policy - anyone abusing the plan big time get's kicked off so the majority can benefit.
I dint know that UK has these policies...
T-Mo USA already uses a similar policy in regards to the G1's "all you can eat" data plan. It was originally a 3GB/mo limit until users complained about it even before the G1 launched. Then T-Mo revised it to "unlimited," but reserved the right to boot from the network or throttle the usage, of anyone who abused the network.
Exactly what constitutes "abuse" on an all you can eat data plan is beyond me.
So based off of your extensive knowledge from Journalism school and knowing nothing of running a national telecommunications company and having ZERO internal information about T-mobiles ability to handle a massive increase in subscribers, you think this is a bad idea?
Good analysts have inside information and internal data from the company to which they are speculating on, you have neither.
There is a reason journalists are not CEO's. Do what you do best, copy and paste links to an article or product, find a picture, write a quick paragraph.
As difficult as it may be to believe, I'm Engadget's Mobile Editor because I have some sense of what's going on in the wireless industry. Combine that with my almost inexplicable ability to think, use logic, and editorialize, and... well, here we are.
@Chris Ziegler
I'm sorry Chris, but I have to agree with Leopoldstotch on this one.
Although you may have a great understanding of the mobile industry, as many of us college degree nerds do as well.
You don't really know all of the aspects because it's not like companies spill everything to the public.
I like Engadget
@joarobdel
A journalist doesn't need to know everything about the industry to write about it. There are some basics, and the biggest one is ARPU. I'd like to see T-Mob get this together, but only if they're completely ready to support it - not out of desperation. The bad PR would tarnish them forever.
Discouraging T-Mobile from going $50 unlimited is a douche move on Engadget's part. I am stuck with shitty phones on Sprint's grandfathered plan and can't upgrade to Android or Pre because that requires "upgrading" to an expensive Everything plan. If T-Mobile goes down to $50, the rest will have to come up with even better features. So quit your bitching, Engadget. Let T-Mobile do what's good for everyone.
This article has shown that you lack any basic business skills or knowledge and have absolutely zero information as to the ability for T-mobile to be successful executing a RUMORED business move.
Having Consumer level knowledge of a company and an industry and having the ability to "think, use logic, and editorialize" is impressive, and I can see why you are at the top of the journalism world blogging for Engadget Mobile.
Article should be submitted for a Pulitzer, I will send you the 50 dollar application fee.
@ Leopoldstotch's "Discouraging T-Mobile from going $50 unlimited is a douche move on Engadget's part. I am stuck with shitty phones on Sprint's grandfathered plan and can't upgrade to Android or Pre because that requires "upgrading" to an expensive Everything plan. If T-Mobile goes down to $50, the rest will have to come up with even better features. So quit your bitching, Engadget. Let T-Mobile do what's good for everyone."
Agree here. The US customers are getting a pretty weak deal when it comes down to carrier prices and restrictions that customers in other countries don't have to deal with. I'd like to see a bit more competition in the market and some sort of incentive for the carriers in this country to upgrade their infrastructure and get realistic with data pricing and plans.
Engadget, you should be promoting this kind of thing, not mounting a FUD campaign against it.
Since when did bloggers go to journalism school???
T-Mobile, don't listen to Engadget.
Go all out. Double or nothing.
This is America.
The $50 plan will shake the industry completely.
Plus, I'm pretty sure 21Mbps will satisfy me and most Americans for quite a while.
Engadget; Why are you doubting T-Mobile when you haven't even given it the chance to prove itself?
Prediction: T-Mobile and Sprint are about to have a cat fight.
It seems as if T-Mobile and Sprint are working twice as hard as AT&T or Verizon at this moment.
It's only time before the subscribers shift.
21Mbps? That's faster than my internet at home.
How is it too late to roll out a 21mbps data network? 99 percent of americans dont have 1/5 of that bandwidth in there homes....how woulda having that on a cell network be too little too late? Stop and think about what your typing before you post it or your just gonna end up sounding like every other sheep in the heard...
@Leopoldstotch
EXACTLY, how can a journalist make any kind of assumptions on how much t-mobiles network can handle...for all you know they could be operating at 10 percent capacity. Just report on the news and leave the rollout to the engineers who make hundreds of thousands of dollars to make sure they are prepared for such a huge influx....
The entire point of Project Dark is to generate a HUGE surge of new customers....so why wouldnt they build their infrastructure for exactly that? That would be business suicide to do it any other way.
A blogger is not necessarily a journalist, and usually isn't.
Good article! Hopefully the next phase of Project Black is simply a re-branding of T-Mobile - though that may be odd considering they'd probably want to re-brand in other countries, too.
I'd love to have $50 unlimited plan for T-Mobile, but the first thing that comes to mind if that happens is... AT&T Wireless-style network reliability. And we know how well that strategy works out.
First, you're falling into the same trap that everyone commenting on the wireless industry seems to be falling into lately: you believe what AT&T says.
The reality is that a well-deployed, well managed HSPA network does not have the issues that AT&T's network has. The fact is that AT&T has too many HSPA subscribers on too few sites with too little spectrum and too little backhaul.
T-Mobile has more UMTS/HSPA spectrum than AT&T in large markets, largely because they waited for AWS rather than trying to deploy in the same spectrum as their GSM/GPRS/EDGE service. T-Mobile has a full 30MHz of AWS spectrum in markets like New York, Chicago, and LA. This is in addition to the PCS spectrum they have for GSM/GPRS/EDGE.
T-Mobile has about as many metro base stations as AT&T, but with half as many subscribers. This has saved them from resorting to tricks like AMR-HR (on GSM) that AT&T uses to save spectrum. This also eases demand on the backhaul.
T-Mobile already has 32M subscribers. It's foolish to believe that they could absorb another 40M subscribers overnight, but it's also foolish to believe that they couldn't grow substantially as-is.
The idea that T-Mobile would be offering "infinitely" more service with an unlimited plan is also absurd. The reality is that text messaging and voice are not significant bandwidth hogs, and data is already unlimited. Someone with a 4-year-old RAZR is not suddenly going to start using tons of data just because you introduced a $50 unlimited plan.
The $50 is aggressive, it's smart, and it's exactly what we need. Wireless is a fantastically profitable venture; despite what AT&T will tell you, the money that they are spending on infrastructure is peanuts compared to the profit made on items like voice service, text messaging, and data.
Shut up. Shut up, you had me at HSPA.
You know Detsche Telekom is the largest telecommunications company in Europe, it's not like they don't have money.
T-Mobile USA may be a subsidiary, but I doubt the mothership would allow it to fail on any level and lose their only foothold in the US market.
Be careful what you wish for American friends. Us Aussies had something similar. Do a search for Optus and iPhone. Plans were half the cost of others available and people flocked to the network. Let me tell you, lots (or unlimited data) aint fun if you cant use it. Constant dropped calls, data speeds of 2G on a 3G network and thats when you could get a good connection.
Many have now started going back to the much dearer, but reliable and superfast Telstra network! It costs, but its worth it.
Be careful what you wish for....
we're cheap
I work for T-mobile in illinois and I can definitely say that this is a huge step for the company. Like other people said, this is what a journalist speculated about this launch. T-Mobile has opened up 3 new stores over the last 2 months in my district, and they have big papa in germany to fund a HSPA network, and they have been launching new towers all the time recently. Its not run by a bunch of monkeys, I sincerly doubt they would launch a whole new company redesign if they didn't have the predicted network strain already calculated. The whole project dark thing is supposed to be the biggest thing at t-mobile in ages, all stores (not just the playground stores with the white t's that say 'hey') are ditching the collared shirts for a dark t-shirt and grey pants too, we just got an email about it.
Scott, is there any talk of T-Mobile officially getting the iPhone when AT&T exclusivity ends? That's the only thing that might ever make me jump ship. I'm tired of playing cat-and-mouse with my 2G iPhone on T-Mobile according to the iPhone Dev Team's good graces. I'd like to have a legit 3GS, but I'm a loyal T-Mobile Customer.
Hah, just makes me remember when Halo 3 launched and xbox live was useless for a month or so.
I feel like if they did pull the trigger for $50/mo plans, the other carriers would follow VERY quickly. Didn't we not even have unlimited plans until very recently? I don't remember who launched the $100 unlimited voice plan first, but if I recall correctly the other 3 carriers quickly followed suit. Honestly I think if t-mo decides to offer such an awesome plan they'd be prepared for it. And the quality of their customer service is not likely to go down. You might spend more time on hold when you call because of the excess users, but the people you talk to once you're there will be the same people, always willing to help.
Also, pretty douchy to point out that lower priced plan = more subscribers, and then assume that T-mobile hasn't thought about that an prepare for it. Here in the US our mobile phone companies have been ripping us off for years, an you want to discourage competition that's going to bring us better service while keeping our wallets in-tact? What the hell is wrong with you?
T-mo is the biggest provider in Germany and you think they're going to overhaul their entire American subsidiary without expecting an increase in useage? Honestly, Engadget should stick to posting news and keep their opinions out of it. This article and most of the "switched on" articles just have me facepalming.
This article has shown that you lack any basic business skills or knowledge and have absolutely zero information as to the ability for T-mobile to be successful executing a RUMORED business move.
Having Consumer level knowledge of a company and an industry and having the ability to "think, use logic, and editorialize" is impressive, and I can see why you are at the top of the journalism world blogging for Engadget Mobile.
Article should be submitted for a Pulitzer, I will send you the 50 dollar application fee.
Why the fuck do you repost so much?? You just like hearing yourself talk?
You may have a point but the way you are going about it makes you look like a total tool.
I have to agree with Scott. I am living in Germany and have used T-Mobile here for many years. They have the best net coverage you can get and are serving the most crowded parts of Europe (e.g. the area around Cologne) with UMTS without any problems. So introducing UMTS to the states is a matter of applying the knowledge of T-Mobile Germany to T-Mobile USA. So actually they already have all they need to know regarding the sizing of their network etc. It's not like they are reinventing the wheel here because T-Mo has experience with handling an UMTS network with high customer density in contrast to let's say AT&T.
All this talk of not being able to handle such an influx of subscribers... is this any different than ATT getting the iPhone exclusive? I read there are 6.4 million active iPhones in the U.S. - I don't know if that's an old figure or not. ATT didn't collapse from that "huge influx of subscribers."
I find it extremely hard to believe that TMO would go for a $50 all you can eat everything; that's even lower than my plan with TMO for $65 for 1500 anytime minutes and unlimited data.
However, if TMO did do this, I would obviously immediately switch to that everything unlimited plan, and gloat to my family and friends on AT&T (wait, I already do that). The thought of unlimited access of a high-speed 21 Mbps network by the end of 2010 for the price of $50, just when I'd be able to upgrade from my G1, is making me drool.
They already offer $50 for unlimited voice to current subscribers.
It must be possible to do this for 50$, I mean in Taiwan (where I live) its all you can eat for 20$ (US) and as far as I know there is not cap. I have tested well beyond 15Gigs a month over 3.5G.
The only thing the US has against it is its size, and amount of hardware infrastructure needed to support your Geography. I also wonder if you guys are being screwed over by a monopoly system, which ensures high cost data rates. Taiwan maybe much smaller but I am sure our population density is as high as yours and evenly spread.
Based on the greater Taipei area having about 5-6 million poeple, of which many are 3.5G subscribers, I have never had any dropout either Data or Call. It is common for Taxi drivers to have laptops in-car to surf and download (albeit not whilst driving).
I also suppose that city users end up subsidising fairly low usage rates in more rural areas, is that an issue in the US?
Reading engadget over the years, it really seems to me that you get a rough deal in the US.
The key difference is that Taiwan is dramatically smaller than the US, so carriers can blanket the country with coverage without the need to build, upgrade, and maintain thousands of cell towers.