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CUB Calls for Changes in Smart-Phone Data Packages

The Citizens Utility Board says most smart phone users are paying too much for their service, because of wireless data plans that are too big for their needs.

At a Champaign news conference on Thursday, CUB spokesman Patrick Deignan said an analysis they commissioned of Verizon bills nationwide showed that their average smart phone customer used less than 500 megabytes of data per month --- far less than what was provided by Verizon's lowest data plan. Diegnan said that industry-wide, the available data plans were either too big, or too small.

"Verizon, for example, their standard data plan for a smart phone is two gigabytes," he said. "AT&T and T-Mobile, I believe, offer 200 megabyte plans. But we're not seeing a plan to fit the average user, which is about 450 megabytes a month."

Deignan said that means many wireless customers are buying plans that are too big for their needs, causing them to pay for capacity they don't use. He said CUB is calling on the wireless industry to improve the situation for consumers --- by offering lower-tier data plans of 500 megabytes to 1 gigabyte, as well as family share plans and rollover data to help wireless customers make their money go further.

In the meantime, the consumer group is inviting smart phone users to run their wireless bill through CUB's online Cellphone Saver, to find out how where to cut unused data or unwanted services. Diegnan said that the Cellphone Saver program has analyzed more than 19,000 bills since its launch three years ago -- and found savings in 70% of the cases.

A spokesman for the wireless industry could not be immediately reached for comment.

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