AT&T (T) Seeks To Lower Data Consumption

AT&T (NYSE: T) may unveil a new incentive plan which would reward customers for lowering their data usage. According to Mr. Ralph De La Vega, the Head of AT&T wireless and consumer businesses, the company might introduce such a plan next year.

AT&T has been forced to chart this plan due to the fact that the excessive data usage by iPhone customers has led to exponential growth in wireless traffic straining the existing infrastructure. According to Sanford Bernstein, an average iPhone user consumes five to seven times more data than a consumer with a simple phone. It further stated that, due to the investments that AT&T may have to make to support, the heavy iPhone data consumption may hurt company’s bottom line.

AT&T is currently weighing various options including usage-based pricing. However, it has ruled out instituting the monthly usage limits. AT&T was recently voted the least favorite among the four major national carriers, according to a recent consumer report.