AT&T explains its new 61 cent/month administrative fee policy

administrative-fee.
Thanks reader Kory for screenshot

AT&T started this month charging an administrative fee of $.61/month/user for its mobile customers in addition to its current fees. While the fee may be small, as the Verge notes it adds ‘up to hundreds of millions of dollars’ over 24 month contracts and millions of customers. What gives?  An AT&T spokesperson told us:

Consistent with similar fees charged by other carriers, the monthly fee of 61 cents per line will help cover certain expenses, such as interconnection and cell site rents and maintenance

The fee applies to consumer mobility lines as well as IRU lines –  the kind of business lines where the employee pays the bill directly.

AT&T isn’t alone in this endeavor. Verizon charges admin fees of $0.91 and Sprint charges $1.99.  (Plus more for regulatory fees.)  T-Mobile’s combined regulatory programs fee is $1.61.  On this basis, AT&T’s is still the lowest of all carriers.  It still sucks though. “expenses, such as interconnection and cell site rents and maintenance” seems like it should be part of the current fees and that fee is easier to raise because it isn’t part of the publicized rate plan.

Update: TheTechBlock notes that you may be able to cancel your plan because of this fee. A nice way to slip out of your subsidized plan? Read more

So it begins…AT&T starts sending out throttling warnings

Reddit user TheReverndZ shows the text he just got from AT&T.  He was over 11GB (!!) today for the month which is pretty hefty to say the least.  Next month, he’s probably going to get throttled as per the news we broke in June.

Starting October 1, smartphone customers with unlimited data plans may experience reduced speeds once their usage in a billing cycle reaches the level that puts them among the top 5 percent of heaviest data users.  These customers can still use unlimited data and their speeds will be restored with the start of the next billing cycle.  Before you are affected, we will provide multiple notices, including a grace period.

Don’t laugh Verizon users.  Yours is coming too.  Sprint, for the record, says it won’t throttle guys like Skelatwork, if they get the iphone
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