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AT&T to implement data throttling in early October, just in time for iPhone 5

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Update: AT&T has officially verified this information.

A new change for AT&T Wireless’ Unlimited Data subscribers will soon be taking place. Rumored to be starting in the first week of October, we’ve heard that AT&T will start throttling the data speeds of the network’s top data hogs.  As Verizon (PDF) and Virgin have recently done, AT&T will be adopting a similar plan to try to curb the problem of data congestion and overall network issues that have hurt its 3G network’s performance since the onset of the iPhone.

AT&T will also be releasing its first LTE devices later this year.

We’ve heard that AT&T will rejigger its insurance structure that week as well, which makes us think a certain high profile device may be launching on or around that time.

The throttling plan will work like the others’. The heaviest users will see significant speed decreases for one billing cycle once they go over a threshold of data (we’re guessing 2-4GB?).  These heavy users will still be able to access the network, but at a much slower speed.  At the start of the next billing cycle, their speeds will return to normal.  We don’t have numbers for AT&T’s throttle speeds but Virgin takes you down to 256Kb/s once you’ve reached their 2.5GB limit (not too bad actually – sometimes we’re happy to get 256kbs).  Interestingly, Virgin’s throttle also will also be implemented in the first week of October which may indicate that they’ll be carrying a certain high profile mobile device as well.

Frankly, throttling isn’t so bad if done fairly.  It is a good way to penalize heavy users but without them having to worry about overage charges.  For high end users, however, it wold make sense for AT&T to add the ability to buy more regular speed data like they do now…
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AAPL hits all-time high ahead of earnings tomorrow, approaches $350B market cap

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As Apple gears up to announce earnings tomorrow after the bell, the stock has hit an all time high each of the last two trading sessions.  Today AAPL is up about 2.5% to just north of $373. Market cap is now just shy of and incredible $350B. (Exxon is at $409B)  Great earnings are expected from AAPL as tech has found a footing following Google’s quarterly results last week that shot the stock up over 12%.

In addition to expected stellar earnings, news that Apple is close to inking a deal with China Mobile has given the iPhone maker a boost. This deal would potentially give Apple access to China Mobile’s 600m subscriber base. Stay tuned tomorrow for the exact earnings release.


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