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T-Mobile’s latest move to disrupt the market is one which takes full aim on the data that is consumed by video. In taking aim, T-Mobile announced that all customers on a qualifying data plans will no longer have to worry about video eating through their data allowance, as it will be whitelisted from data charges. The video content providers who have signed up the scheme are generally the biggest names and certainly ones with the largest subscriber bases.
Following the announcement, the idea of what T-Mobile has called ‘Binge On’ did lead some to question the fundamentals of the service. Most notably, whether this route of prioritizing not just video content providers like Netflix, but also customers (those who watch video compared to those who don’t) does breach the regulations set up for Net Neutrality. Although, on that subject, the FCC’s Tom Wheeler did speak out briefly yesterday with the clearest comments – that from the FCC’s perspective, Binge On does not seem to raise any notably concerns.
Following this, it now looks like some additional good news is coming in for the carrier’s latest venture. Analysts, Strategy Analytics, have offered up their viewpoint on Binge ON and based on their statement, Strategy Analytics believe this is a solid move from the uncarrier. The statement makes it clear that the introduction of Binge On will help to further establish T-Mobile as “the most customer-friendly wireless operator in the US market” while also “challenging AT&T and Verizon Wireless to follow suit“. Director, Wireless Media Strategies at Strategy Analytics, Nitesh Patel, took the statement even further by suggesting that T-Mobile’s move has an almost well-being aspect to it due it its reassuring nature. According to Patel, “T-Mobile is removing consumers’ concern about blowing their data allowance or incurring competitors’ huge overage fees“. In fact, across the statement and viewpoints offered by analysts at Strategy Analytics on Binge On, the general consensus seemed to be that this is a good move on behalf of T-Mobile. With the only real criticism being noted as the exclusion of YouTube from the service. The sentiment was that this would alienate some of the millennial market who are very heavy YouTube users.