Verizon hints at tiered data plans by summer

Telecom giant Verizon has released a bit more information to company investors and market analysts about the end of its unlimited wireless data plans for smart phone users.

Verizon's chief financial officer, Fran Shammo, said tiered data plans—still being finalized—will be put into place by mid-summer. However, Shammo did not disclose if the currently offered $30 monthly unlimited plan will be grandfathered for existing Verizon customers.

As we've previously reported, most smart phone owners use a relatively low to modest amount of data per month, so the change to metered plans shouldn't have a huge impact. (For more information, see our cell phone buying advice and shopping tips.) But it remains to be seen how this switch to metered data plans will affect iPhone owners, who typically have above-average wireless data usage.

While Verizon has stated that sales of the iPhone were strong since its introduction last month, the company has not disclosed what other impact the Apple smart phone has had on the company or its wireless network. Still, Shammo remarked that unlimited data plans for iPhone users were "not a long-term solution." And if Verizon should also start selling the next iPhone—expected to be unveiled by Apple later this year? Shammo remarked to a conference of company investors and industry analysts:

There could be some (margin) lumpiness when you launch the [new Apple] phone. If there happens to be a new one that comes out, that quarter might not look so good (either).

While the move to end unlimited data plans may be to Verizon's financial benefit and well-timed for a new—and probably more data-hungry—iPhone, there could be a fly in the ointment: customer backlash.

From Reuters:

...investors may be worrying that customers who bought the first Verizon iPhone, which first went on sale only last month, would be upset if that phone becomes out of date in a matter of months.

What do you think? Weigh in below.

Verizon hints at new iPhone, eyes usage-based pricing [Reuters]
Verizon will introduce tiered data plans this summer [Washington Post]
Verizon Wireless Will End Unlimited Data Plans for IPhone [BusinessWeek]

—Paul Eng