AT&T Puts an End to Subsidized Deals on Slates

August 20, 2012, By Sanjeev Ramachandran

Tablets at subsidized rates are a thing of the past at AT&T. A leaked memo has suggested that the carrier has decided to close all such deals and tablets will be available for their full price and sans any contract.

If you would remember, Verizon Wireless had gone in for such a decision so as to make all of its tablets and netbooks only available contract-free a month ago.

However, the new decision may not be seen as a big announcement from AT&T, simply because the tablets the carrier sells other than the iPad are the Pantech Element and the HTC Jetstream.

The off-contract tablets can still use DataConnect and Mobile Share plans. Current subsidized tablet customers have the option to add their device to a Mobile Share plan for just $10, but they must still fulfill the original contract.

The decision from AT&T signals that the subsidized tablets have been an unprofitable venture for them. This decision also means the initial cost of tablets is slightly higher, but the consumer wins in the long run by not being locked into a tablet for a couple of years.

Now, those buying a tablet on AT&T have a choice of DataConnect plans including 250MB of data monthly ($14.99), 3GB of monthly data ($30), 5GB of monthly data ($50) or they can be added to a Mobile Share account for $10 a month.

Mobile Share is set to kickstart on August 23rd. The alterations brought by most demanded carriers have certainly changed the course of development in this field. The stand on this by other carriers is still unclear at this point of time.

What do you think?

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