Sprint, AT&T Execs Say Binge On Will Congest T-Mobile Network

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http://www.dslreports.com/shownews/Sprint-ATT-Execs-Say-Binge-On-Will-Congest-TMobile-Network-135621

Both AT&T and Sprint executives were quick to pooh pooh T-Mobile's new Binge On service, which exempts most major video services from the company's usage caps. While the service uses "optimized" streams to deliver just 480p, both companies were quick to suggest that T-Mobile's asking for trouble, and that the offer will cause congestion on T-Mobile's network.

"When you give people unlimited, they use it in a significant way," proclaimed Ralph de la Vega, president and CEO of AT&T Mobile & Business Solutions. de la Vega chided T-Mobile for quietly raising the cost of its unlimited service as well.

I think the more interesting aspect is that they had to either drop the data buckets or raise the prices. As a result of that, they get the added benefit of offering lower quality video on a free basis," he said.

It's odd for AT&T to mock T-Mobile's unlimited data pricing, since AT&T refuses to offer an unlimited option at all. Of course T-Mobile's been stealing customers from AT&T more than any other carrier, so clearly they're doing something right. Regardless, Sprint execs also claimed that T-Mobile's new offering would result in network problems down the road.

"I think the word 'binge' is very apropos," claimed Sprint CFO Tarek Robbiati at the same conference. "It looks like a hangover is going to come at some point."
 

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