Sprint defends its 5GB bandwidth cap

Posted May 28, 2008 at 06:40 AM by Mark Pascua

Section: Communications, Cellular Providers, Broadband Cards, Mobile, Computers, Wireless

After several cries and complaints, Sprint has finally explained its decision to cap its “unlimited” data usage plan to 5GB a month, plus 300MB a month of off-network roaming. According to Sprint, the new limit is plenty enough, since it only affects 0.5% of customers. Sprint also notes that the limit applies to both existing and current consumer and individual accounts, but not corporate, business, public sector, or government contracts. The company states that the Simply Unlimited plan is exempt from the new rule—as the limit only applies to data cards and phone-as-modem plans. Interestingly, Sprint is permitting customers to go over the limit only if they do not exceed the limit in two out of three consecutive months—otherwise, termination is possible. However, Sprint is being gracious enough to inform users of the new limits prior to termination, giving customers a chance to change their usage habits. To aid monitoring data usage, the company will allow customers to check their data usage via Sprint.com starting June 8.

If 99.5% of customers are not going over the 5GB limit, than why is Sprint enforcing it? Granted 5GB of bandwidth should be plenty for most users, is it really worth losing the 0.5% of its “hardcore” customer base? Wouldn’t keeping the 0.5% and removing the limit give Sprint the competitive edge its needs, by being the only wireless provider to offer a true “unlimited” data plan?

Via [MobileCrunch]