Thomas Gryta, writing in the Wall Street Journal on July 31, illustrated AT&T’s consumer pricing plans history, pointing out that a number of these plans are in true conflict with one another and that these conflicts are often the result of different product managers targeting specific marketplaces.
In the case of M2M, things are probably getting worse, this having much to do with precisely who is the customer of record. For example, the Kindle has a contract built-in between Amazon and the carrier, with the price of the service based on content cost - which is quite a good thing for anyone hoping to see the value of a connection associated to the value of the service. Some of the carriers, however, have had a rough time coming up with a pricing scenario that makes it easy for companies with distributed sensors to get a price consistent with the service.
As consumers accumulate more and more gateway services for their homes, appliances, electric cars, etc., it will be harder to define the best pricing model. Using Wi-Fi is the simple answer, but as with the Kindle ideal, this further alienates the carrier from service distinctions. In addition, the most likely rollout of these services (with the exception of home security services) will be to a service supplier such as a power company or to an appliance vendor. So the carrier has two choices: (1) be grateful for the offload that carries the data on Wi-Fi, or (2) determine an appropriate pricing model....Read More
Edited by
Stefania Viscusi 
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