AT&T Slashes Prices For Family Wireless Plans

(RTTNews) - Telecom giant AT&T Inc. (T), the second largest mobile service provider in US, said Saturday that a family with four smartphones can now get unlimited talk and text, and 10GB of data for $160 per month. A similar package under AT&T's previous plan would cost $200. But, Verizon charges $260 monthly for the same plan.

AT&T said that the new plan will save the family between $40 and $100 per month, depending on their current plan. In addition, the family would get a $400 bill credit for the four smartphone lines of service added. The move is an escalation of competition in the mobile market.

AT&T noted that a family with four smartphones with unlimited talk and text, and a shared 10GB bucket of data, could switch to AT&T from Verizon and save $100 a month.

The company said that the "best-ever prices" on its network are available beginning today to any AT&T customer, including small businesses with up to 10 lines, and customers of Verizon, Sprint Corp. (S), T-Mobile US Inc. (TMUS) and other wireless carriers who switch to AT&T.

Both AT&T and Verizon, the two major service providers in US, are seeing increasing rivalry from T-Mobile US and Sprint Corp.

The company said that new Customers can get the prices on its network when they sign up for a 10GB or larger bucket of data and purchase a phone with AT&T Next or bring their own device or purchase a phone at full retail price. The offer requires no annual service contract.

All existing AT&T customers sharing 10-gigabytes or higher will automatically be placed on the new plan.

Also, for a limited time only, all new and existing AT&T customers will receive a $100 bill credit for each new line of service added - whether a smartphone, tablet, feature phone, mobile hotspot or AT&T Wireless Home Phone.

According to AT&T, a family with two smartphones with unlimited talk and text, and a shared 10GB of data can pay $130 per month, a family of three can pay $145, a family of four can pay $160 and any additional line after that will cost an extra $15.

On Tuesday Telecom giant AT&T reported a fourth-quarter profit of $6.9 billion or $1.31 per share, compared to a loss of $3.9 billion or $0.68 per share last year. AT&T recorded a non-cash, pre-tax gain of about $7.6 billion in the quarter, related to actuarial gains and losses on pension as well as post-employment benefit plans.

AT&T added 566 thousand wireless postpaid subscribers in the fourth-quarter, down from 780 thousand additions last year. Meanwhile, Verizon Wireless added 1.57 million postpaid subscriber and T-Mobile added 869,000 postpaid connections for the fourth quarter.