Mobility Week in Review

Report Type: 
Week In Review
Overview

Cricket jumps on the 5G bandwagon

AT&T’s prepaid arm, Cricket Wireless, unveiled new data-only plans with access to AT&T’s 5G network as well as its first 5G-capable smartphone, the Samsung Galaxy S20+ 5G. The new data-only plans cap at a $90/month 100 GB option that supports access to AT&T’s sub-6 MHz and mmWave 5G networks. The prepaid carrier offers a 5G plan that is priced at $60/month ($55/month with Auto Pay discount) for mobile phones, and is offering the Galaxy S20+ 5G at $1,200. Incidentally, Cricket has also begun offering new and existing customers a 30-day free trial of HBO Max.

The NPD Take:

  • Cricket is not the first brand to offer 5G phones and services to prepaid customers. Rival Metro by T-Mobile has been offering 5G phones since December 2019, but as we noted back then, these are necessary but marginally impactful marketing statements made by prepaid carriers that primarily cater to price-sensitive customers seeking discounts. Cricket’s single 5G phone option (priced at $1,200) is out of reach for most prepaid customers, and even if the carrier brings in more affordable options like the Samsung Galaxy A51 5G (which is a part of Metro’s 5G lineup), we do not expect to see masses of prepaid customers jumping the 5G bandwagon any time soon.

Verizon tweaks unlimited data plans

Verizon Wireless has reconstructed of its unlimited service plan options, which now include additional content access or extended data limits. As of August 20, Verizon customers on select Unlimited plans get free access to Apple Music, in addition to an extended Disney bundle, which includes Disney+, ESPN+ and Hulu. The basic “Start Unlimited” plan ($35/month) includes six months of Disney+ and six months of Apple Music. The next tier “Play More Unlimited” plan ($45/month) adds 5G support alongside access to Disney+, Hulu, ESPN+ and six months of Apple Music. The “Do More Unlimited” plan ($45/month) offers the same package in addition to 600GB cloud storage and a 50% discount on an unlimited connected device plan (for tablets, laptop PCs or smartwatches). The top tier “Get More Unlimited” plan ($55/month), on the other hand, has the same perks enjoyed with the “Do More Unlimited” plan with the exception of the Apple Music service upgrade from the six month period to an ongoing subscription. Verizon also adjusted the data limits on the “Just Kids” plan, which now comes with unlimited data (speed capped at 5 Mbps, which is enough for video streaming) versus the previous 5GB/month data cap. Incidentally, the new plan does not mention any reference to Verizon’s infamous 5G access fee. The carrier has initially launched its 5G network with a $10 access fee in April 2019 but had since “temporarily” waived that fee. 

The NPD Take:

  • T-Mobile’s partnership with Netflix and AT&T’s Time Warner assets have been the center pieces of their marketing strategies in the past couple years. Verizon’s extended content partnership with Disney puts the carrier on par with rivals AT&T and T-Mobile.
  • The disappearance of the $10 5G access fee reference is not surprising considering Verizon’s challenging position with its 5G network marketing. The carrier’s limited 5G coverage (due to its mmWave network strategy) coupled with the lack of 5G services/use cases for consumer has made it exceedingly difficult for the carrier to charge extra for 5G access. To add to the woes, rival T-Mobile, which is in a relatively stronger position in terms of 5G network coverage, has previously committed to not to charge customers extra for 5G access.  

The return of the BlackBerry

A little-known (or should I say “unknown”) company named OnwardMobility last week announced that it has purchased the licensing rights to the BlackBerry brand, and that it will launch a 5G-powered BlackBerry smartphone boasting a physical keyboard in the first half of 2021. According to the company, the upcoming device will be manufactured by FIH Mobile, which is a subsidiary of Foxconn, the manufacturing giant who is responsible for the production of Apple iPhones as well as several other top mobile and computing brands.

The NPD Take:

  • Our title reads “The return of the BlackBerry”, but if the previous attempt in reviving the once-iconic brand is any indication, the end of the saga will not be as glorious for BlackBerry as it had been for Luke Skywalker in the “The Return of the Jedi” or King Aragorn in the “The Return of the King”. What made BlackBerry super popular among consumers back in the day was its physical keyboard designs that beat the competition, and this is probably what triggered TCL, which had hoped to build a compelling Android-powered BlackBerry that could stand out with a physical keyboard design. However, consumers (and business customers) has since moved on; the lure of the physical keyboard has completely diminished following the wide adoption of touchscreen typing and the increased popularity of voice dictation/assistance.

 

Report Sections