Ranking The Best Tablet Service Plans - Elizabeth Woyke - Mobilized - Forbes

Buying a tablet computer can be doubly confusing. Consumers must not only choose the right device, they must also choose a mobile operator to support it. And because tablets are so new to the market, corresponding data plans vary widely in terms and pricing.

Amid this jumble, research firm Current Analysis offers some guidance. Analyst Deepa Karthikeyan looked over the available plans and chose winners based on their variety of options, cost effectiveness and a miscellaneous “additional perks” category.

T-Mobile USA came out on top. In a Nov. 29 report that examined offerings from the five largest U.S. carriers—AT&T, Sprint, T-Mobile, U.S. Cellular and Verizon Wireless—Karthikeyan concluded that T-Mobile offered the most “user-friendly initiatives”, such as low-cost options for existing users, a variety of plans, and an absence of overages fees. AT&T and Verizon tied for second place in Karthikeyan’s report, followed by Sprint and then U.S. Cellular.

Like cellphones, tablet plans fall into three main groups: prepaid, postpaid and contract-free. T-Mobile won points with Karthikeyan by offering plans in all three flavors. Other operators tend to focus on postpaid plans (Sprint, U.S. Cellular) or contract-free plans (AT&T, Verizon).

Payment type isn’t the only way to differentiate between tablet plans. Some carriers, such as AT&T, T-Mobile and Verizon include Wi-Fi access as a bonus. Karthikeyan also weighed factors such as fees for exceeding data guidelines and for reactivating or suspending service.

In addition, people who like bandwidth-heavy streaming applications may want to seek out deluxe plans. While most tablet plans include the same amount of data—generally 100 to 200 megabytes on the low end and one, two or five gigabytes on the high end—Verizon offers an extra-large plan that charges $80 for 10 gigabytes.

Each plan carries pros and cons. AT&T charges $50 more for Samsung’s Galaxy Tab than T-Mobile or Verizon, but is giving users a $50 credit toward TV and video purchases in Samsung’s media store, MediaHub. Since AT&T’s plans are contract-free, users also have more flexibility than with other carriers. Sprint is selling the Galaxy Tab much more cheaply than its competitors, but requires a two-year commitment and does not build in unlimited Wi-Fi.

Verizon hosts a wide range of plans but also levies activation and suspension fees that could add up for users that don’t want or need constant connectivity. U.S. Cellular has a number of plan options, but is charging more than some operators, like Sprint, and providing fewer extras than the other carriers, which boast faster, broader networks. The combination led Karthikeyan to rank U.S. Cellular last among its peers.

In comparison, T-Mobile offers a variety of plans, unlimited Wi-Fi and subsidizes costs for existing T-Mobile users. The company also follows the more consumer-friendly policy of throttling or slowing down data speeds rather than charging users who exceed their specified amount of bandwidth.

Of course, plans aren’t the only reason to select one carrier over another when it comes to tablets. Particular devices may sway consumers if operators have signed exclusive deals with manufacturers. Apple’s iPad, for instance, is only available at AT&T and Verizon stores right now.

The tablet market is still in its infancy. Karthikeyan believes the burgeoning number of connected devices will push carriers to change their pricing once again. Up next: plans that would support access for several devices per user in a cost-saving bundle. Such a structure would encourage consumers to choose broadband-enabled models over cheaper, Wi-Fi-only ones, writes Karthikeyan.

via blogs.forbes.com

Posted via email from Brian's posterous