AT&T's Potential Price Hikes and Extra Tolls Show Failure of Competition

WASHINGTON – On Wednesday, AT&T announced new data-sharing plans it will debut in August. The move follows a similar one by Verizon, which launched its own pricey shared-data plans in June.

Free Press Policy Director Matt Wood made the following statement:

“Unfortunately, new pricing plans like these lead to more expensive wireless bills for most consumers. These frequent price hikes, with the two largest carriers mirroring each other's every increase, underscore the need for real competition and choice in the wireless market.

“It’s worrisome to see how far these companies will go to pad their profits on the backs of consumers. AT&T's announcement on Tuesday followed on the heels of its CEO's acknowledgment that the company may consider an additional charge to use FaceTime. That type of application-specific charge would violate the FCC’s Open Internet rules and make consumers pay twice for the same data.”