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  1. 2009.02.21 Ditch Your iPhone by CEOinIRVINE
  2. 2008.11.05 AT&T to try limits on monthly Internet traffic by CEOinIRVINE

Ditch Your iPhone

Business 2009. 2. 21. 03:04

With the first wave of iPhone contracts expiring in June, consumers have plenty of other options.

Imagine a smart phone that worked on only one carrier's network. Now add in the cost of a wallet-draining $20 monthly data plan. The thing has no keyboard, and you can't even swap out the battery if you're on the road and want to keep on talking without stopping to charge up.

You don't have to imagine it--it's been here since 2007, and it's called the iPhone. In fact, if you were among the first to buy the original iPhone in June 2007, your two-year contract is almost up. Sure, you could buy the upgraded version, the iPhone 3G, and sign up for a new two-year contract if you're willing to shell out $199 for the phone and another $30 a month for the data plan. But guess what? It's now "the future," and you've got options.

The iPhone 3G is one heck of a phone, to be sure. It's a first-rate digital media player; it can handle e-mail and light Web surfing--oh, and you can use it to talk to people, too. And, thanks to Apple's (nasdaq: AAPL - news - people ) App Store, it's almost infinitely customizable. Looking for a portable gaming device that also lets you control your desktop computer remotely? The iPhone can do that.

The iPhone, however, is no longer your only option if you want a touch-screen, multi-function smartphone. So if you're not comfortable with AT&T Wireless, for whatever reason, you've got plenty of options.

Verizon Wireless is now countering the iPhone with a raft of touch-screen phones from Samsung, Research In Motion (nasdaq: RIMM - news - people ), HTC and others. T-Mobile carries both the G1, which is powered by Google's (nasdaq: GOOG - news - people ) Android operating system, and the Sidekick, a Web-savvy smartphone with a slide-out keyboard and a cult following that predates the iPhone.

Sprint (nyse: S - news - people ) will soon be selling the Palm Pre (see "Palm Strikes Back"). And there's more on the way, with a host of iPhone-inspired smartphones introduced at the Mobile World Congress in Barcelona this week.

The so-called netbook represents another alternative that has broken into the mainstream since the iPhone's launch. The tiny, low-cost notebook computers are selling fast, driving down the average selling price of computers across the entire PC industry. With a broadband data plan, one of these will still cost you less than an iPhone each month, yet a good netbook includes a user-friendly keyboard and much of the functionality you'll find in a personal computer.

Posted by CEOinIRVINE
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AT&T Inc., the country's largest Internet service provider, is testing the idea of limiting the amount of data that subscribers can use each month.

AT&T will initially apply the limits in Reno, Nev., and see about extending the practice elsewhere.

Increasingly, Internet providers across the country are placing such limits on the amount of data users can upload and download each month, as a way to curb a small number of "bandwidth hogs" who use a lot of the network capacity. For instance, 5 percent of AT&T's subscribers take up 50 percent of the capacity, spokesman Michael Coe said Tuesday.

But the restrictions that Internet providers are setting are tentative. And the companies differ on what limits to set and whether to charge users for going beyond the caps.

Starting in November, AT&T will limit downloads to 20 gigabytes per month for users of their slowest DSL service, at 768 kilobits per second. The limit increases with the speed of the plan, up to 150 gigabytes per month at the 10 megabits-per-second level.

To exceed the limits, subscribers would need to download constantly at maximum speeds for more than 42 hours, depending on the tier. In practice, use of e-mail and the Web wouldn't take a subscriber anywhere near the limit, but streaming video services like the one Netflix Inc. offers could. For example, subscribers who get downloads of 3 megabits per second have a monthly cap of 60 gigabytes, which allows for the download of about 30 DVD-quality movies.

The limits will initially apply to new customers in the Reno area, AT&T said. Current users will be enrolled if they exceed 150 gigabytes in a month, regardless of their connection speed.

"This is a preliminary step to find the right model to address this trend," Coe said. The company may add another market to the test before the end of the year, he said.

Customers will be able to track their usage on an AT&T Web site. The company will also contact people who reach 80 percent of their limit. After a grace period to get subscribers acquainted with the system, those who exceed their allotment will pay $1 per gigabyte, Coe said.

Comcast Corp., the nation's second-largest Internet service provider and AT&T's competitor in Reno, last month officially began a nationwide traffic limit of 250 gigabytes per subscriber. Comcast doesn't charge people extra for going over the limit, but will cancel service after repeated warnings. Previously, it had a secret limit.

Two other ISPs, Time Warner Cable Inc. and FairPoint Communications Inc., are planning or testing traffic limits as low as 5 gigabytes per month, which is easily exceeded by watchers of DVD-quality online video.

Among the largest ISPs, Verizon Communications Inc. is a holdout, and has said it does not plan to limit downloads.

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