T-Mobile Kicks Off 3 Days of News With $40 Simple Starter Plan
T-Mobile CEO John Legere says the carrier has three days of announcements planned, starting with its lowest rate yet, $40 a month.T-Mobile kicked off the first of three days of "un-carrier announcements" April 9, with the introduction of a new Simple Starter plan. Priced at $40 a month, with the promise of no overage fees ever, it's designed for "value-conscious Americans" who want "predictability and affordability." The plan will be available April 12 and includes unlimited talking and texting and 500MB of data at 4G LTE speeds. (After 500MB, customers are pushed to a slower network.) To date, T-Mobile's lowest-cost Simple Choice plan starts at $50 (for unlimited talking and texting and 1GB of 4G LTE data.) T-Mobile CEO John Legere shared the news in a lengthy blog post in which he reviewed some of the changes T-Mobile has made over the last year and the responses those changes have prompted from competitors. ("I don't know whether to laugh or cringe as they try to present themselves as anything other than the merciless greedy utilities they are," he wrote.) He insisted that T-Mobile has only just begun. "Over the past year, my Un-carrier team and I have worked relentlessly, tearing up the old rules and restrictions and solving pain point after pain point, so that American consumers can finally enjoy all of the benefits that mobile technologies are capable of. Not just what the old school carriers decide for them," wrote Legere. "It's working! The movement has momentum ... I call it a revolution!"
In 2013, T-Mobile moved away from the industry-standard model of tying subsidized devices to two-year service contracts. It began offering monthly device financing plans; made it possible for customers to upgrade their devices more frequently; did away with international roaming fees for text messaging and data in more than 100 countries; and began offering 200MB of free data a month to anyone with a tablet that can access its network, encouraging people to use their tablets outside their homes.