Understanding Mobile Phone Plans – Senior Planet from AARP
To understand mobile phone plans, it’s essential to examine two key components: the service provider and the plans they offer.
The Companies That Provide Service
Major Wireless Carriers
In the United States, there are three major wireless carriers: Verizon, AT&T, and T-Mobile. These companies build and maintain the physical infrastructure, including cell towers and network equipment, which enables them to provide mobile phone service nationwide. They also operate networks of stores in most major metropolitan areas and have outlets in large consumer big box stores. Due to their significant investment in infrastructure, they can deliver the best possible mobile phone service to their customers.
Mobile Virtual Network Operators
Another growing trend in mobile service is the emergence of Mobile Virtual Network Operators (MVNOs). Unlike major carriers, MVNOs do not own their own network infrastructure; instead, they lease access from the major carriers and resell it under their own brand. Examples include Mint Mobile, Visible, US Mobile, Xfinity Mobile, and Consumer Cellular.
MVNOs often target niche markets, such as budget-conscious users, older adults, or international travelers, offering more flexible and lower-cost plans. However, customers using MVNOs may face several drawbacks:
– Slower data speeds: Internet speeds can slow down during peak usage times, such as at sporting events, airports, or crowded cities.
– Lower priority: MVNO customers are often deprioritized on borrowed networks. For instance, if you’re with an MVNO and standing next to a friend with a major carrier, you might struggle to stream a video while they can do so without issues.
– Less customer service and no retail presence: Major carriers typically have physical stores and extensive support teams, allowing for in-person assistance. In contrast, MVNOs usually require customers to seek help online, which can complicate the process.
THE PLANS
Historically, mobile plans were based on the number of minutes used, text messages sent, and data consumed. Today, most mobile phone plans primarily focus on data usage as the main metric for charges.
Many carriers offer a pay by the gig plan, allowing customers to pay based on their data consumption during a billing period. This can be a cost-effective option for budget-conscious users, but exceeding your monthly data limit can lead to unexpectedly high costs.
The majority of phone plans now feature some form of unlimited plan. Prices vary based on the number of lines, the amount of high-speed data included, and additional perks like bundled streaming services. Finding the right plan involves identifying a carrier that offers the features you use most frequently.
…And of Course, the Phone
Both major carriers and MVNOs often provide incentives for upgrading or purchasing new phones. These promotions typically manifest as statement credits spread over several months, encouraging customers to remain with a specific carrier. Taking advantage of these offers can lead to significant savings on new devices. Additionally, carriers frequently offer deals for trading in old phones when upgrading to a new model.
Remember, you can transfer your number to any carrier at any time. However, it’s advisable to secure your number with two-factor authentication or other protective measures to maintain control over it. Stay tuned for next month’s edition, where we’ll explore the top 10 most popular tech products of 2025.
YOUR TURN
When was the last time you reviewed your phone bill? Have you considered switching to a new carrier? What has held you back from making the change? We’d love to hear your thoughts!
Jeff Rose is the Director of Special Initiatives at Older Adults Technology Services (OATS) from AARP. With over 15 years of experience at the intersection of aging and technology, Jeff has worked in various settings, including life-plan communities and age-tech startups. Based in Chicago, he is actively involved in local aging and community organizations, sharing his expertise on how technology can benefit older adults.
The content on the Senior Planet website is intended strictly for general informational purposes and does not constitute an endorsement or warranty regarding privacy, security, permissions, or changes in terms of service. Please scrutinize each app’s or device’s privacy policy, terms of use, data collection, or other permissions before downloading or using the app or the device.
To understand mobile phone plans, it’s essential to examine two key components: the service provider and the plans they offer.
The Companies That Provide Service
Major Wireless Carriers
In the United States, there are three major wireless carriers: Verizon, AT&T, and T-Mobile. These companies build and maintain the physical infrastructure, including cell towers and network equipment, which enables them to provide mobile phone service nationwide. They also operate networks of stores in most major metropolitan areas and have outlets in large consumer big box stores. Due to their significant investment in infrastructure, they can deliver the best possible mobile phone service to their customers.
Mobile Virtual Network Operators
Another growing trend in mobile service is the emergence of Mobile Virtual Network Operators (MVNOs). Unlike major carriers, MVNOs do not own their own network infrastructure; instead, they lease access from the major carriers and resell it under their own brand. Examples include Mint Mobile, Visible, US Mobile, Xfinity Mobile, and Consumer Cellular.
MVNOs often target niche markets, such as budget-conscious users, older adults, or international travelers, offering more flexible and lower-cost plans. However, customers using MVNOs may face several drawbacks:
– Slower data speeds: Internet speeds can slow down during peak usage times, such as at sporting events, airports, or crowded cities.
– Lower priority: MVNO customers are often deprioritized on borrowed networks. For instance, if you’re with an MVNO and standing next to a friend with a major carrier, you might struggle to stream a video while they can do so without issues.
– Less customer service and no retail presence: Major carriers typically have physical stores and extensive support teams, allowing for in-person assistance. In contrast, MVNOs usually require customers to seek help online, which can complicate the process.
THE PLANS
Historically, mobile plans were based on the number of minutes used, text messages sent, and data consumed. Today, most mobile phone plans primarily focus on data usage as the main metric for charges.
Many carriers offer a pay by the gig plan, allowing customers to pay based on their data consumption during a billing period. This can be a cost-effective option for budget-conscious users, but exceeding your monthly data limit can lead to unexpectedly high costs.
The majority of phone plans now feature some form of unlimited plan. Prices vary based on the number of lines, the amount of high-speed data included, and additional perks like bundled streaming services. Finding the right plan involves identifying a carrier that offers the features you use most frequently.
…And of Course, the Phone
Both major carriers and MVNOs often provide incentives for upgrading or purchasing new phones. These promotions typically manifest as statement credits spread over several months, encouraging customers to remain with a specific carrier. Taking advantage of these offers can lead to significant savings on new devices. Additionally, carriers frequently offer deals for trading in old phones when upgrading to a new model.
Remember, you can transfer your number to any carrier at any time. However, it’s advisable to secure your number with two-factor authentication or other protective measures to maintain control over it. Stay tuned for next month’s edition, where we’ll explore the top 10 most popular tech products of 2025.
YOUR TURN
When was the last time you reviewed your phone bill? Have you considered switching to a new carrier? What has held you back from making the change? We’d love to hear your thoughts!
Jeff Rose is the Director of Special Initiatives at Older Adults Technology Services (OATS) from AARP. With over 15 years of experience at the intersection of aging and technology, Jeff has worked in various settings, including life-plan communities and age-tech startups. Based in Chicago, he is actively involved in local aging and community organizations, sharing his expertise on how technology can benefit older adults.
The content on the Senior Planet website is intended strictly for general informational purposes and does not constitute an endorsement or warranty regarding privacy, security, permissions, or changes in terms of service. Please scrutinize each app’s or device’s privacy policy, terms of use, data collection, or other permissions before downloading or using the app or the device.
