it’s a bold stand in a market where pressure to make money is on, with Sprint being no stranger to shaky futures (Japanese wireless player
Softbank put up major bucks to buy up a majority of the company). Verizon believes that, too, with CEO Lowell McAdam restating his company’s stance on unlimited data — it’s not sustainable for long-term success.
What does he mean by that? Well, his thoughts are “if you allow unlimited usage, you’ll run out of gas.” He’s referring to Verizon’s reputation of being America’s largest and most reliable network, a claim that definitely has merit.
He believes offering unlimited data would negatively affect Verizon’s positioning as a premier carrier for those who value a large voice and data footprint with little to no downtime. McAdam cites the growing popularity of streaming video, bigger game and app downloads, and increased web browsing.
All of this mobile multimedia wasn’t nearly as popular 5 years ago as it is now, so there’s reason to consider his angle. It’s that reputation that has had Verizon sitting as America’s top carrier for a long time despite being one of the highest priced.
We never have and never will lead on price,” says McAdam, declaring that Sprint’s great value alone isn’t enough to put much competitive pressure on Verizon. Does McAdam speak truth? Is unlimited data worth more than a reliable network? Is it impossible to have both, or can you only achieve one without the other?
