Verizon has a marketing arm for Millennials in Denver that no one has known about until it rolled out $40 a month unlimited data plan earlier this week. The new mobile service by Verizon’s Visible is designed to lure in more customers that are interested in unlimited plans at lower prices.
The program could be expanded nationwide. When asked if Verizon was behind the plan, Visible acknowledged that it is funded by the U.S. carrier. The new service will be based only on invitations at its launch.
The move is designed to make Verizon more competitive in the face of T-Mobile’s aggressive expansion. T-Mobile has gained a sizeable market share via simpler plans, lower fees, and, oftentimes, no contracts.
Earlier this month, T-Mobile announced a merger with the nation’s fourth-largest carrier, Sprint. The merger, which is now waiting for the regulatory approval, could turn the Deutsche Telekom-owned company into the United States’ second-largest carrier.
T-Mobile has a $40 unlimited plan as well, but for four lines. Its unlimited data plan for one line is $70 per month.
Verizon’s New Data Plan Is Hard to Resist
Visible wants to slow down T-Mobile’s rapid expansion with a hard-to-resist plan that will use Verizon’s 4G LTE technology and funding. Visible promises speeds of up to 5 Mbps under the new data plan.
Visible’s chief executive Miguel Quiroga has been on Verizon’s payroll since 2000. He now serves as its head of the digital. However, Visible had a vague response to the question about whether Verizon is its parent company.
“Yes, Visible is funded by Verizon,” the startup said. Yet, its head of brand strategy, Beth Veen, insisted that the company is run independently and does things differently from Verizon.
Unlike Verizon, Visible runs a virtual business model, which is very appealing to the Millennial generation. It has no physical locations, and customers can pay for their plans online with Paypal, credit cards, or Venmo.
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