AT&T Mobility has lowered the price of its unlimited voice plans.  The new unlimited talk time price model is $69 for individual plans and $119 for family plans with up to two numbers.  Data plans are extra.

iPhone users can now get unlimited data and voice for $99 ($69 + $30 data plan) for individual lines.  Existing AT&T customers can alter their plan without penalty or contract extension.

This is seemingly a movie to better position the company against other wireless carriers going forward.  Rumor is Verizon Wireless may get 4th Gen iPhone later this year.

Learn more at AT&T’s wireless web site.

AT&T’s recent VoIP over 3G decision led some to believe that the company and their network were now ready for tethering and that the service allowing the use of an iPhone as a wireless data modem for a PC or Mac would begin any moment now.

Not so fast.

The Wall Street Journal’s Digits blog is reporting that AT&T is still noncommittal on the date when tethering will begin, though we do know the service is coming sooner or later.

An [sic] spokesman for [AT&T Mobility] said that tethering remains unavailable and stuck with the company’s prior statement: “Whenever we offer new features, we want to offer the best possible customer experience. For tethering, we need to do some additional fine tuning to our systems and networks so that we do deliver a great experience.”

Although we don’t have a firm (or even loose) date for AT&T’s activation of tethering support for the iPhone, we do know that the company had planned to support the service before the end of the year.

AT&T Mobility has lifted the restriction on VoIP calls over their 3G wireless data network for the iPhone 3G and 3GS. The decision was made, according to AT&T Mobility CEO Ralph de la Vega, due to “customers’ expectations.” The company has allowed other wireless devices to use VoIP applications over 3G, but never the iPhone, a decision which has placed the company in some critics’ crosshairs.  Add to that the FCC’s new push for net neutrality (the idea that all data moving along a network should be equal), and – voila VoIP-over-3G.

But is this development really good news?

We’re glad to see the 3G restriction lifted, but are also concerned about what effect frequent use of VoIP over AT&T’s already loaded 3G wireless network could do to data connectivity and network reliability, particularly in heavily populated areas.  iPhone users tend to use much more data than other smartphone owners, putting a disproportionate strain on the network. This strain was one of the reasons AT&T gave for delaying MMS support on the iPhone for months after the feature was added with the iPhone OS 3.0. 

As of this writing, the Skype iPhone app is still giving a message stating that VoIP calls require a Wi-Fi connection.  The AT&T press release regarding this policy change did not state when the change, in a real sense, would go into effect.  It is unclear whether unlocking VoIP over 3G will require a software update for each VoIP-enabled app or an iPhone system update of some type, though we would assume the former. 

We’ll keep you posted.

AT&T will officially launch MMS service for the iPhone tomorrow, Friday, September 25, sometime around noon CDT.  From AT&T’s Facebook page:

“We know you’ve been eager for this service so we wanted to offer a quick update on the launch plans for MMS on Friday, Sept. 25. Late morning, Pacific Time, on Friday, the new carrier settings update enabling MMS should be live and ready … We’ll provide the steps and all of the details you need right here at that time.”

A “carrier settings” software update will be required to begin using the service, which will be made available via iTunes.

AT&T will begin offering MMS service (text messaging with photos, video, etc.) to iPhone 3G and 3GS customers beginning September 25.  A software update will be required to use the service.

“We know many of our iPhone customers are eager for an update on our rollout schedule for Multimedia Messaging Service (MMS). We’ve been working for the past several months to prepare our systems and network to ensure the best possible experience with MMS when it launches – and that launch date is: September 25 for iPhone 3G and 3GS customers.”

Source: AT&T Mobility Press Release

According to Piper Jaffray analyst Gene Munster, Apple’s next iPhone could debut on wireless networks other than AT&T’s next year.  In the report (which was sent to clients today), Mr. Munster pegs the summer of 2010 as the possible end to AT&T’s exclusive iPhone carrier status in the U.S:

“We believe Apple is slowly transitioning each country … to a multi-carrier model. In other words, we expect Apple to add new iPhone carriers in the U.S. within the next year (likely with a new product launch next summer) … In France, the company now enjoys dramatically higher market share (in the 40% range vs. about 15% in ROW) than in countries with exclusive carrier agreements (such as AT&T in the U.S. where the iPhone has market share in the mid-teens).”

It has always been known that the iPhone would be available from other wireless carriers in the States sooner or later, but with complaints concerning AT&T’s service (or lack thereof) increasing with each passing months, Apple and perspective iPhone owners are surely looking forward to other service providers getting in on the iPhone game. 

Many have speculated that Verizon Wireless would be the most likely candidate in the U.S. to first add iPhone to its product line when AT&T’s exclusivity agreement ends.  The carrier is reportedly hurrying to deploy its 4G wireless data network in 30 markets by the end of next year, with projected nationwide 4G service to be completed by the end of 2013.

Having multiple carriers offer the iPhone here in the U.S. is a very good thing for consumers.  In addition to the obvious benefit of customers being able to get the iPhone from more than one carrier, competition among carriers will force service innovation, plan price competition and improving data options.

Source: Fortune Brainstorm Tech

A few days ago, we told you about Apple’s refusal to include the official Google Voice app in the iTunes App Store.  We were none too pleased by the decision, or the subsequent purging of related third-party apps. It would seem Apple’s move wasn’t as under-the-radar as the company may have hoped; yesterday the FCC sent letters to Apple (full text below) and AT&T requesting further details on the situation, and a third letter to Google seeking insight into the company’s experience during this and previous software submissions to Apple.

Specifically, the Federal Communications Commission wants to know why Apple rejected Google Voice and related, previously-approved apps, whether or not AT&T played a role in the rejections, any contractual or non-contractual agreements between Apple and AT&T that contributed to the decision, and clarification of Apple’s general standards for approving or rejecting applications.

In our free market economy (at least on paper), the Feds should stay out of the way as much as possible.  But the government does have constitutional authority to regulate interstate commerce and, by extension, a role in protecting competition, which has proven its benefit to quality, price and service for centuries.  One of the FCC’s goals is to foster competition in the communications market. 

What manner of control the FCC should (or does) have in this matter under current law is up for debate, and it’s unclear whether or not FCC action will have any direct impact.  But indirectly it may compel Apple to think twice before making a move like this in the future. 

If a platform provider (Microsoft, Apple, Google, etc.) can begin securing its operating system from competitors’ products, all consumers lose.  

Continue reading »

If you’re like many iPhone users, you don’t need an unlimited data plan.  With Wi-Fi access popping up in more and more places, the data that comes in over the EDGE or 3G network may not be something you use a lot of.  If a new rumor turns out to be true, AT&T Mobility may announce a new $20 limited plan alongside the new iPhone in June.

BusinessWeek is reporting that AT&T is considering such a move, and we think it’s a great idea.  In the current recession, anything Apple or AT&T can do to cut the costs of owning an iPhone would be a smart move, not only to earn good will from current users (assuming that’s a goal), but to attract new users who are put off by the ongoing costs of iPhone ownership.  Wireless industry consultant Chetan Sharma believes that cutting costs “could boost AT&T’s iPhone subscriber additions by 20% to 25%.”

There are also some indications that one of the new iPhone options slated for the summer could be a $99 or $150 model, with less storage or omitted features.  The up-front cost reduction, coupled with a lower monthly cost could increase the iPhone’s market share significantly.