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AT&T grabs dictionary, turns to 'unlimited', scribbles it out, writes: '22GB a month'

You chuckle, but wait until you see what Comcast is doing

AT&T has posted guidelines for users on how it will now be handling its "unlimited" data plans for smartphones.

The US mobile giant now says it will give users on unlimited plans a 22GB soft cap, after which they will still be able to receive wireless data, but only at dramatically reduced speeds.

"Unlimited Data Plan smartphone customers will still have the comfort of knowing that, no matter how much data they use in a billing cycle, they will continue to pay a single monthly flat rate. That is the essential promise of the Unlimited Data Plan, and we are pleased to continue honoring that promise," AT&T said.

"Further, speed reductions will occur only when the customer is using his or her device at times and in areas where there is network congestion."

The new policy comes after AT&T spent the summer fighting with the US Federal Communications Commission (FCC) over its policies on handling "unlimited" data plans. The FCC, contending that putting limits on unlimited data plans without telling customers is illegal, had fined AT&T $100m.

When the fine was issued, the FCC charged that AT&T had not told customers they would have their speeds throttled when they reached a certain data limit – in some cases alleged to be as low as 3–5GB.

AT&T has challenged the fine, arguing it should only have to pay $16,000.

AT&T, along with other US telcos, has contended that it needs to put the caps in place in order to keep network speeds high for all users, the argument being that without having their traffic throttled, a handful of heavy users would bring network speeds down to a crawl for everyone.

Elsewhere in the world of giant telcos squeezing cash from customers, Comcast is reportedly planning to raise its prices nationwide. The Albuquerque Journal cited a local Comcast spokesperson in claiming the cable giant was looking to raise monthly bills in Albuquerque by up to 7.6 per cent, and nationally by an average of 3.4 per cent.

Comcast did not respond to a request for comment on the report. ®

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