

It was big news when Sprint announced last week that it would offer a $69 package on cellphone service, including unlimited calling to any other cellphone, unlimited texting, some fun bells and whistles like GPS navigation, and most important: unlimited data. Lots of people were celebrating the move, with writers and readers pondering switching providers to Sprint. As a former Sprint customer, I'm not in any hurry to get back to the company with the worst customer support I've ever encountered (in any industry). But then I look at my iPhone plan with AT&T, which squeezes an extra $20 out of me for unlimited text messaging, and I wonder…
To keep people like me from jumping ship, the other big providers will inevitably respond with similar plans. This could be a great development for consumers — a good old price war! Taking it a step further, though, it could be a good thing for mobile/cellphone tech in general: Since data service is so cheap now, primitive phones will fall into the bin of obsolescence. Soon, pretty much every cellphone will be a smartphone.
As smartphones spread, though, Sprint's big move might have an unexpected consequence: Putting itself and its fellow providers in a weaker position. My reasoning after the jump.
The term smartphone is somewhat contested, but the general consensus is a mobile phone that does network communication other than phone calls and texts, namely Internet and e-mail. With their enhanced capabilities, they tend to tax the network of their carrier more than "dumbphones" (phones without those network capabilities), which leads to higher pricing for those plans. Or so it did.
With cheap pricing on plans for smartphones, it takes away the last excuse (other than technophobia) for a customer to skip out on buying one. As the price war wages, it's a certainty that more smartphones will be sold — especially since the hardware is borderline free now (the iPhone and Palm Pixi start at $99, for instance). More smartphones in the hands of more people is great news, for three reasons:
1. Cheap information for everyone. When I was one of the few people in my social group to have an iPhone, I was often the go-to guy at parties or nights out for sports scores or random bits of trivia. But as iPhones, BlackBerries, and others have multiplied, I'm not so alone anymore. Now everyone can get the information they want, when they want it, wherever they are — at a low cost. Welcome to the Collective. Um, the good Collective.
2. Faster networks will come… faster. With so much increased demand for data services, the pressure will be on carriers to expand their higher-speed data networks faster. Over the next year or two, 3G access will spread even faster than it would have before Sprint's move, with 4G close behind.
3. Weaker service providers. Lastly, Spint's price-slashing has a good chance of weakening phone providers' power overall. The move already has a whiff of desperation, undercutting the competition with a sudden grab. With fewer people counting their minutes (thanks to unlimited mobile-to-mobile calling) and more customers entering the smartphone space, a greater number of people will begin to realize the wonders of data plans — and start to ask some uncomfortable questions. Like: Why does my carrier limit my text messages but lets me send unlimited emails?
Smartphones encourage people to regard their service provider as a "dumb pipe" that simpy moves all those 1s and 0s to their handsets. The app model reinforces this perception as developers find ever-more innovative things to do with those bits. That paves the way for apps like Google Voice, which basically lets you do a bunch of things for free that providers typically charge you for, to take the power back from providers and put it back in the hands of customers.
This price drop is really the first move in power shift that will ultimately leave the U.S. cellphone providers in a weaker position than before. And as most will agree, that's long overdue.
By Kaled Ali at 7:00 PM ON 09/17/09
The $69 dollar deal sounds great. Now if only the iPhone could somehow switch over to Sprint. That probably will never happen but hey, can't hurt to dream.
By Tyler at 7:10 PM ON 09/17/09
I wish the iphone was on sprint too.
I just got rid of mine because of ATT's service.!!
But I did get a pre and so far I am not missing the iphone that much.
Sprints customer service actually gave me a lot more freebies since this new deal came out.
Right now, I would have to say the best customer service award goes to sprint, followed by verizon and then US cellular , T-mobile and lastly ATT.
By Mihos at 8:58 PM ON 09/17/09
I have a Pre and am on Sprint. I ditched the iPhone a while back and have never missed it... not even a little.
By iamthemovie at 9:01 PM ON 09/17/09
I would gladly switch to sprint if the customer service wasn't the world's absolute worst. I remember once the employee actually hung up on me because she didn't know how to fix the problem and didn't want to mess with it. And I worked for them. Imagine regular customers.
By boriqua07105 at 10:08 PM ON 09/17/09
I am a happy sprint customer and have been using them for over 10 years now. I have little reason to call customer service and find that THEY call me just to see if I like my service at least once a year.
By Dreamerzt at 10:40 PM ON 09/17/09
I have had sprint for going on, 10 years. I have a voice line and a Mobile Broadband line.
Like boriqua07105 i have had very few reasons too call customer support. Even when i did i have found them too be extremely helpful with no problems at all.
Maybe 9 years ago they were bad, but they did get better. I am very happy with my service.
By tiolawa at 3:08 AM ON 09/18/09
I am on sprint and altough they do no have the iPhone they do have the Palm Pre, HTC Hero (coming October 11th) the Samsung Instinct HD(coming at the end of the month) the HTC Touch Pro 2 not to mention the Palm PIXI (some time before X-mas) which is basically the Palm Pre with a few less features. On top of that although Sprint still has a long way to go on customer servicee there representitives have at least gotten a little bit more knowledgeable. Plus you can not beat the price on there plans!!!
Wow I sound like a sales rep. for Sprint, however I am just a very loyal customer I think the people that left for the iPhone need to do som checking into there monthly statements and see who really is the best provider.
By richpit at 7:39 AM ON 09/18/09
I would love a $69 unlimited everything plan...but there's NO WAY I'd ever go back to Sprint. Well, never's a long time...but back in the 90's (yep, that far back) I gave Sprint 2 separate chances at my business and they failed miserably both times, with, as some have mentioned, the absolute worst customer service ever!
The actual cell service wasn't that good back then either...like you could hardly ever take a call inside any building. that might be better these days, but I'd never know.
By WIPaul at 11:18 AM ON 09/18/09
I have been with Sprint for over 10 years and never had a problem with their customer service. They have always went out of their way to make sure I was happy. Recently my wife's Centro died after 1 year and a month. The manufacturer's warranty had just expired. There customer service could help me get it to stop trying to sync, so they sent me a new Centro at no charge. No insurance plan, and I got a new phone with no problem. Try that with ATT and an iPhone.
By Bob at 11:32 AM ON 09/18/09
Well, they ARE just a dumb pipe, so it's nice to see a dataplan that reflects that (even though I don't have smartphone and don't have much use for one).
It's sad to see that people now call a price war a "desperate move," though. Says something about the state of our industries over the past few years, especially high tech industries and telecom service providers. Price wars, undercutting, etc, are supposed to be the norm. When someone isn't trying to undercut their competition in any way possible everyone should be looking in the dark corners for the cartel meetings.
Now if only we could get ISPs into a pricing war before they all buddy up and decide to choke and limit our bandwidth and remove all the things that actually use a broadband connection to its fullest from the list of things expected of a broadband connection. I've got a feeling they'll succeed in killing (or at least castrating) the internet, however. Quite frankly I'd rather see everything other than a dumbphone plan cost five hundred dollars a month and the internet companies locked into a pricing war.
By Thomas at 11:35 AM ON 09/18/09
What a neat trick Sprint is pulling BUT with customer service like Sprint, I wouldn't jump on the deal even if it was free. Sprint continues to be the worst and will only get worst. The only reason Sprint are offering all these goodies is because there's barely any traffic on Sprints network.. Sprint's knock on AT&T's network is just pure jealousy and envy.
By RadioShack Employee at 11:48 AM ON 09/18/09
Dunno if anyones mentioned it, but the "unlimited mobile to mobile" is only unlimited if you are on a sprint tower. If you are roaming, the call counts against your minutes. And maybe this only sounds stupid to me, but calling your voice mail no matter what tower you are one will also cost you your minutes.....
By Petyr at 3:45 PM ON 09/18/09
My T-Mobile contract is only $65. With phones like the G1 and MyTouch, free voice and data roaming while you're on US soil and an easy to add international plan when you're not. It's pretty hard to get me to switch back to Sprint, which I left, and impossible to get me to switch to AT&T.
By Ethan at 8:33 PM ON 09/18/09
I don't know about you, but Sprint customer service has been nothing but good to me.
By Jake at 10:22 PM ON 09/18/09
To all of you who complain about Sprint customer service, how often do you actually NEED to call a CS rep? You realize that with these unlimited text, data and any M2M plans, you probably won't have any billing errors because you will NEVER go over on anything. That's the upside to Sprint plans, no need to worry about outrageous charges. I absolutely love Sprint and its super fast 3G network on my Touch Pro 2.
By dermot at 12:36 AM ON 09/19/09
isnt this just going to slow down the sprint network unbearably as it has the at&t network?
By mouwmo at 12:45 AM ON 09/19/09
i gotta say ive only had good experiences with sprint since ive had them. i really havent had much to call them about though in the last 3 or 4 years since i switched over. I used to have tmobile and they were bad for me.
By Frank Lee at 7:03 PM ON 09/19/09
Sprint? Meh.
The best network is Verizon and I have it with Straight Talk. Unlimited talk and text for $45 a monthly.
Prepaid, so no bills. FTW!
By JadedZen at 9:28 AM ON 09/24/09
I've had Sprint for 3 years and have had nothing but problems with them...From the unvoluntary extending of a contract to constant dropped calls. I have gone thru 9 (yes 9 different) phones with them and every single one of them had a problem. When I lived in New York City (where you should have cell service everywhere) I would have to go 2 blocks from my house, just to use the phone. I have been with Verizon (crazy high bills), Nextel (Notell, no telling when it will work), Sprint (more like a limp), T-mobile (used minutes even when I did not), Cricket (great, but limited useage areas) & AT&T (limited useage areas back then). I would have to say that coming on my 3rd year with Sprint, that I would never use them again. Cust. Service w/sprint sucks! Numerous hang-ups, transfering 6 times to get someone willing to actually do their job, poor service and worse tech support. I will be leaving Sprint next month and will be going back to AT&T (iPhone or not). Sprint might be lowering their prices, but not worth compromising for very poor service and the worst customer service, I have ever dealt with. They are also in the middle of a Class action lawsuit for the very reasons I mentioned above. Over-seas, you would never deal with this BS that our corporations pull here. No thanks, you can keep your sprint service, I am on to better stuff....
By Sigs at 9:45 AM ON 09/24/09
I made the switch to sprint a year ago and was very concerned about the customer service. Surprisingly after a year they have the best service I have ever encountered now. I applaud them of recognizing their weakness and working really hard to turn it in to what is now a strength of theirs. I have never been hung up on and never waited more than 30 secs to get an operator(live person). I recommend giving them the 30 day trial and if you don't like it cancel and switch services.
By maxwasatch at 12:37 PM ON 09/24/09
the thing they don't mention is that it does NOT including roaming. since most Sprint customers are roaming most of the time, it will only end up biting those foolish enough to go with Sprint in the butt.
By Sick of Verizon at 2:12 PM ON 09/24/09
Spriont can't be worse than the people's arch enemy Verizon! I have never had good customer service with them -- we have been with them since Verizon took over our pst phone service (about 10 years) and not once have they ever solved a problem satisfatorily for us and we have $500.00 a month worth of phones with them.
By Corey at 10:04 AM ON 10/07/09
Just wanted to let everyone know that I was a loyal Verizon customer for 10 years and switched to the iPhone on AT&T because I really wanted it - I took it back at the 28 day mark because I did not get service at my house. I then decided to switch to Sprint because I was tired of being "nickel and dimed to death" and was welcomed on that day with the Anytime Anymobile plan - that was confirmation enough! Luckily, my switch was not a whim, but rather due to having a Sprint Blackberry from work, I had a chance to "test the waters" - and it seemed to work everywhere I had Verizon.
I now plan on using my 30 day phone return to get the HTC Hero, which looks brilliant! I have 4 lines and everyone can have GPS, unlimited text, TV, unlimited data, and they can all call other phones for around 150/month! And I just found out that I can now finally make calls in Robbins, TN (where no other carrier works) without help of a femtocell! GO SPRINT!
Corey:
Just wanted to let everyone know that I was a loyal Verizon customer for 10 years and switched to the iPhone on AT&...More »