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Verizon Droid Tethering Comes At a Hefty Price

Pickens writes "Tom Bradley reports in PC World that the new Motorola Droid smartphone will cost users $199.99 with a 2-year contract, with an additional $30 per month for the mandatory 'unlimited' data plan that has a monthly cap of 5Gb. Verizon will charge $50 for each additional gigabyte over the 5Gb limit on the unlimited data plan. Verizon has confirmed that tethering will cost another $30 per month for an additional unlimited data plan that is also limited to 5Gb. If you want tethering you will pay $60 above and beyond the monthly contract for service for an 'unlimited' 10Gb of data per month, and if you plan on connecting with an Microsoft Exchange email account you have to pay another $15 a month. 'Verizon seems to be doing everything it can to make the Droid as unappealing as possible by nickel and diming customers so that actually using it is not cost-effective,' writes Bradley. 'After all of the hype around Verizon's marketing efforts, and generally favorable reviews of the Motorola Droid, users that rush out to get the new device may be in for a shock.' Droid users will have to wait until sometime in 2010 for tethering. 'That service is on our schedule for next year,' says Verizon spokeswoman Brenda Raney. The delay is because 'the service has to be tested on the phone so until we know it works, we don't offer the service. It is not uncommon for us to introduce the phone and continue to test the service and offer it later.'"

11 of 555 comments (clear)

  1. Microsoft Exchange email account you ...$15 by wiredog · · Score: 5, Informative

    No. Not any Exchange account, only the one that is provided by Verizon. Connecting to your corporate account doesn't cost anything extra. Other than getting the data plan.

  2. Summary is dead wrong by ericrost · · Score: 5, Informative

    The data plan is, in fact, unlimited. I go over 5 GB a month on my current Verizon phone regularly. This is no different. Tethering specifically has a 5 GB limit which is stated in the contract for it. There are also readily available hacks to make tethering work on an Android phone.

  3. Re:MOD PARENT DOWN by asdf7890 · · Score: 4, Informative

    That was tried in the UK with ADSL providers advertising "unlimited" broadband. They got around it by reclassifying exactly what is unlimited - it is now "unlimited access" so at any time 24/7/365.25 you can have access, but it isn't unlimited bandwidth.

    Sue all you like - they'll find a loop-hole somewhere and the only people to really gain will be the lawyers.

    The only real way to fix the current advertising problems is to educate the general public to not fall for stupendously unrealistic claims in advertising - unfortunately the general public seem somewhat immune to the effects of such education probably because critical thinking doesn't appear to be fashionable.

  4. Wrong Information by noc007 · · Score: 5, Informative

    This crap has been circling the web and it's not completely accurate. With the $30 and $45 data plans for smartphones, you get unlimited data for the phone itself. If you want to tether, it's an additional $30 for the $30 plan or $15 for the $45 plan and will allow you 5GB of tethered data and unlimited on the phone. In any case, if you want to tether and be within their TOS, you need to pay $60. It's still possible to tether without the extra cost and their software, it's just not within their TOS

    The difference between the $30 and $45 data plan isn't documented well and leads to a lot of confusion. I fault VZW for not getting this strait. All the $45 gets you is access their WirelessSync service and supposedly allow you to do Exchange ActiveSync within the TOS. The $30 plan CAN DO Exchange ActiveSync, but it's supposedly not ok within their poorly documented TOS and every VZW employee will tell you that you need the $45 plan if you're going to do Exchange ActiveSync.

    If you do use a lot of data on your phone, VZW can cancel your data account according to their TOS. I've used >5GB/month without a peep from VZW and any additional charge on my bill. It has been said in HoFo, if the data usage is extreme by VZW opionion, they could consider that your must be doing something that's violating the TOS. If VZW was smart, they wouldn't do much canceling since they're launching a bunch of Android phones and saying streaming YouTube and music is ok, which obviously will soak up a lot of bandwidth.

    I suggest that Pickens and the article author do some fact checking before publishing assumptions and hearsay.

  5. Re:It'd be nice if they stopped lying. by obi1one · · Score: 5, Informative

    Strange, this indicates that verizon got in trouble for this exact practice back in 2007 and was supposed to stop.

  6. PC World Has it out for the Droid by limaxray · · Score: 5, Informative

    I'm convinced PC World has it out for the Droid and has only been carrying negative articles about it. This article is particularly misleading. First of all, the unlimited phone data plan IS unlimited - it's the tethering, WAN card, Mifi, etc plans that are limited to 5GB a month. Just head over to the Verizon website and check out the fine print. Now the catch is if they think you're tethering without a tether plan (which is really easy to do) they'll charge you for tethering. So if you use 10GB a month of phone data (which, lets be honest here, is not realistic using just your phone) they'll hit you for tethering.

    Next, the $15 a month for Exchange is if you're an enterprise customer. I'm not really sure what that means - if they host the account for you, or handle some extra securtity stuff, or what - but if you're just average Joe user with your own personal account, you won't need to pay it. There is no problem using Exchange with the regular personal data plan.

    These facts can easily be confirmed by checking out Verizon's website, but the boys over at PCWorld are too busy making out with their iPhones to do any fact checking.

  7. Re:Free market by Sponge+Bath · · Score: 5, Informative

    This is a highly deregulated industry...

    Which allows collusion, continued high prices and lackluster service.

  8. If its got Android, it can be tethered by B33RM17 · · Score: 4, Informative

    there are a couple apps out for Android that allow tethering, all free. PDAnet is the most accessible, as it allows ANYONE with an Android based phone to use it as a wireless modem over USB.

    Or if you're a bit more tech savvy, like me, you can root your phone (which is just plain beneficial anyway) and install the free Wifi tether for root users app. It works like a charm, kinda sucks battery tho :-P

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    My blood hurts...
  9. Re:Tethering by Andy+Dodd · · Score: 4, Informative

    Tell me how this is "taking a giant crap" over an iPhone killer?

    Extra charge for a provider-provisioned Exchange server? Yup, AT&T has that too. I'm 90% positive that non-provider-provisioned exchange servers aren't blocked by VZW (they aren't with AT&T).

    $60/month total for a 5GB tethering plan? Same as AT&T. (Note, last I checked, there was no official support whatsoever for iPhone tethering.)

    FYI I am an AT&T customer, and left VZW two years ago a very unhappy customer, but the summary is unjustly misworded to paint VZW extremely negatively when in reality their data pricing is no different than AT&T. (Which is an improvement, VZW's data pricing used to be AWFUL compared to AT&T.)

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    retrorocket.o not found, launch anyway?
  10. Re:Verizon = US, right? by Andy+Dodd · · Score: 4, Informative

    T-Mo and AT&T both use GSM and are pretty good about SIM-unlocking their phones. (In general both will provide a SIM unlock if you've been a customer in good standing, meaning bills paid, for 90 days.)

    That said, there are enough differences between the bands they use that I wish you luck in using a T-Mo phone on AT&T or an AT&T phone on T-Mo, unless you enjoy the pain and suffering of EDGE data. I do not know of a single phone on this planet that does UMTS in all three of the bands used for it in the USA.

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    retrorocket.o not found, launch anyway?
  11. Re:MOD PARENT DOWN by Achromatic1978 · · Score: 4, Informative

    that's where class action suits come in

    Oh goody, so instead of the stress of a lawsuit with a huge telco, I wait 3 years and get a coupon good for "$10 off my next Verizon phone purchase", while the law firm makes $50M in fees and contingency?

    Color me unexcited.