Verizon’s New Rate Plans… Cruising for Bruising

Engadget reports that Verizon Wireless is introducing various types of unlimited calling plans, perhaps as soon as tomorrow. They are the second large phone company to contemplate such plans. Sprint is said to be toying with its own version of flat rate plans earlier.

Oops, looks like Verizon beat them to the punch. On surface it might seem that Verizon is trying to kick Sprint when its down, but in reality the move foretells a troublesome future for the entire industry. If Sprint and Verizon offer unlimited plans, it is only a matter of time before AT&T and T-Mobile counter with their own plans.

Bottomline: the US mobile industry growth is slowing much faster than previously thought and the only game left for carriers to play: steal business from competitors. Guest columnist and analyst Jason Kowal wrote about the coming slowdown earlier this month. Kowal outlined some of the moves carries are going to make to counter the slowdown. These unlimited plans are part of the prescription, just like selling 3G data services.