They’re putting a cap on Data?

For the last two years, unlimited data plans have given app-hungry smartphone users an all-you-can-eat buffet. But will customers react to AT&T’s new, limited menu by simply eating less?

Some software developers fear they will, and if that happens, the caps on data use that AT&T has imposed could also make consumers lose their appetite for the latest innovations. Some developers worry that customers will be reluctant to download and use the most bandwidth-intensive apps and that developers will cut back on innovative new features that would push customers over the new limits.

“What created this lively app world we are in was the iPhone on one hand, and unlimited data plans on the other,” said Noam Bardin, chief executive of Waze, which offers turn-by-turn driving directions. “If people start thinking about how big a file is, or how fast an application is refreshing, that will be a huge inhibitor.”
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AT&T and some developers say that the new data plans could have the opposite effect and increase data usage by making it more affordable for most people.
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Applications that stream high-bandwidth video and route phone calls and face-to-face video chats over the Internet could be seriously affected. Applications that constantly send a phone owner’s location — continually uploading and downloading data from the network — could also face challenges.




  1. Glenn E. says:

    Well I’m sure glad there are no “caps” on the usage of “real” highways. Imagine you just paid your toll charge to gain access to a major interstate highway. And after driving only 11 miles, a cop pulls you over for exceeding your 10 mile cap. What to do? Pay a fine to go on a bit further? Or abandon your vehicle where it is, and walk home? Of course that’s a ridiculous situation to be put into. And the general population would never accept it. Plus, the major Auto makers would have lobbied like hell against it. Because it would have severely effect their sales of cars and trucks.

    But strange how we’ve accepted nearly an identical situation to occur with the Information Superhighway. And only now are some of the “vehicle” manufactures of that data highway, starting to realize and complain that caps could screw things up for them too. We (as their customers) won’t be buying as many SUVs, Minivans, and RVs of internet use. If there’s a caps on how far and how long we can actually “drive” them anywhere.

    But whose Internet is it really? The public’s, the world’s, or the ISPs bottle-necking it at either end? Seems to me, I remember it was once largely part of a taxpayer paid for network, between colleges, contractors and US defense departments, before being turned over to the general public for fun and profitable use. No one said anything about CAPS, at the time!

  2. Mr. Fusion says:

    #32, Glenn,

    But whose Internet is it really? The public’s, the world’s, or the ISPs bottle-necking it at either end? Seems to me, I remember it was once largely part of a taxpayer paid for network, between colleges, contractors and US defense departments, before being turned over to the general public for fun and profitable use. No one said anything about CAPS, at the time!

    The “internet” is both a public and private affair using both public and private infrastructure. For the most part though, access to the “internet” is done through private access points (ISPs). You aren’t paying to be on the “internet”, you are paying for the access.

    The same if I own a hotel with waterfront access. If you want to use my beach you have to pay me, but hey, the water is free.


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