T-Mobile US (NASDAQ:TMUS) is launching a new, unlimited data plan.
The plan sounds nice and dandy on the surface, but it is not affordable and convenient as it seems once you read the fine print.
Here are five things to know about T-Mobile One:
- The plan eliminates data limits, and offers unlimited talk, text and data.
- Tethering will be unlimited as well, but only at 2G speeds, which is quite slow. In order to use LTE speed when tethering — 5GB of data — you’ll have to shell out an additional $15 a month.
- T-Mobile One has the capacity to view video on your device at the meager speed of 480p and in standard definition. Each line that wants HD video will be $25 more.
- A one-line plan is $70 a month, while two lines is a total of $120, and four lines will cost you a total of $160.
- The plan will be launched on Sept. 6 to current and new customers.
Sprint Corp (NYSE:S) has announced a similar plan that’s being rolled out tomorrow, with the first line at $60 and the second for $50. The Sprint Unlimited Freedom Plan will also offer unlimited text, talk and data, but it comes with similar caveats as the T-Mobile plan, including slowing down music streaming to 500 kbps and gaming to 2Mbps.
Yesterday, AT&T Inc. (NYSE:T) announced a move to get rid of overage fees by choosing to throttle down connection speeds once customers go over their allotted monthly data.
TMUS shares rose 0.7% Thursday, S stock is up 0.3% and T stock dipped 1.6%.
