T-Mobile (NASDAQ:TMUS) has struck a deal with YouTube (NASDAQ:GOOG,NASDAQ:GOOGL) that will serve consumers plenty of data.
The “Binge On” plan between the two companies allows T-Mobile customers to watch YouTube videos without using up their cellphone data. This follows the company’s decision to partner up with other video providers — such as Hulu and HBO — and offer the same perk.
YouTube was not happy about the fact that T-Mobile phones didn’t offer video in HD quality—they could only be watched in DVD quality. This move — known as throttling — offers customers the choice to opt out and stream higher quality video, using more data.
However, this move may go against the government’s net neutrality rules, causing YouTube to lash out at T-Mobile.
However, the company decided to change its service to appease YouTube, ensuring that loading videos through T-Mobile doesn’t take forever.
Customers can stream video at a higher quality, but doing so will cost them more data.
TMUS stock is down 0.1% Thursday. GOOG stock is up 0.2% and GOOGL stock is up 0.2%.
