Friday, February 29, 2008

Sprint Restarts Pricing War: $90 Unlimited Calling

Sprint Nextel's new plan to hang on to fleeing customers: An all-you-can-eat calling package priced $10 below its competitors.
Sprint plans to sell an unlimited calling plan, which also includes unlimited walkie-talkie usage and unlimited text messaging, for $89.99 per month, new CEO Dan Hesse announced during the company's Q4 earnings call this morning. T-Mobile offers a similar plan for $99.99, sans walkie-talkie. Verizon Wireless and AT&T offer unlimited calling for $99.99 per month, but charge extra for text messaging.
If you're willing to spend $99.99 on Sprint, the company will throw in everything it has -- unlimited calling, messaging, Web access, email, GPS navigation, mobile TV, etc. At AT&T or Verizon, that type of package costs at least $140 per month.
AT&T (T) and Verizon (VZ) execs, who anticipated the cut, have already said they don't plan on lowering their prices to match. But if Sprint (S) gets any kind of pickup, they'll have to re-evaluate.

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