Verizon Chief Financial Officer Fran Shammo this week said subscribers to Verizon's grandfathered unlimited plans won't suffer slowdowns. Here are the details.

Dan Kobialka, Contributing writer

October 22, 2015

2 Min Read
Verizon Chief Financial Officer Fran Shammo
Verizon Chief Financial Officer Fran Shammo

Verizon (VZ) has no plans to “throttle,” or slow down the connection, for its unlimited data customers.

Fran Shammo, Verizon’s chief financial officer, this week told CNET that subscribers to Verizon’s grandfathered unlimited plans won’t suffer slowdowns.

However, Shammo also noted that unlimited data customers would see a $20 increase in their monthly bill starting Nov. 15.

“For a customer who signed up for unlimited, they’re going to get unlimited,” he said. “But we are increasing the price. These customers are consuming a lot of data. But we’re not in the habit of throttling customers.”

Verizon earlier this month instituted “network optimization” practices designed to slow down the connection of 4G LTE customers.

The Verge reported that subscribers who met the following criteria would be subject to these guidelines:

  • A customer is using a 4G LTE smartphone on an unlimited data plan.

  • A customer’s current data usage falls within the top 5 percent of all Verizon users.

  • A customer is billed on a month-to-month basis.

Although Verizon has no plans to throttle its unlimited data subscribers, other telecommunications providers recently have set guidelines to slow down the connection of heavy users.

For example, Sprint (S) last week announced a prioritization cap that would affect subscribers who exceed 23GB of data usage during a billing cycle. 

“We are introducing a new Quality of Service (QoS) practice that applies to customers who choose an unlimited data handset plan launched Oct. 16, 2015, or after, or customers who choose to upgrade their handset on or after Oct. 16 and remain on an existing unlimited data plan,” Sprint Chief Technology Officer Dr. John Saw wrote in a blog post. “For these customers, if they use more than 23GB of data during a billing cycle, they will be prioritized on the network below other customers for the remainder of their billing cycle, only in times and locations where the network is constrained.”

What are your thoughts on Verizon? Share your thoughts about this story in the Comments section below, via Twitter @dkobialka or email me at [email protected].

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About the Author(s)

Dan Kobialka

Contributing writer, Penton Technology

Dan Kobialka is a contributing writer for MSPmentor and Talkin' Cloud. In the past, he has produced content for numerous print and online publications, including the Boston Business Journal, Boston Herald and Patch.com. Dan holds a M.A. in Print and Multimedia Journalism from Emerson College and a B.A. in English from Bridgewater State College (now Bridgewater State University). In his free time, Kobialka enjoys jogging, traveling, playing sports, touring breweries and watching football (Go Patriots!).  

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