Think Unlimited Data Plans Are Best for Corporate Cellular? Think Again

Companies are often drawn to unlimited data plans because they offer predictable billing and appear easier to manage. There’s just one problem, and it’s a significant one: “Unlimited data” is a misnomer. The reality is in the fine print.

Even with unlimited plans, carriers curb usage by throttling down transmission speeds when a user hits a monthly data threshold. Reaching those thresholds is easy to do, and it happens more often than users may realize.

Two of the activities that incur data throttling most frequently are:

• Using the phone as a hotspot – that’s a primary area where carriers throttle data transmission.

• Streaming – carriers can deprioritize high-bandwidth data, such as streaming, whether you’ve hit your threshold or not.

Data Throttling Often Lacks Transparency
In 2019, Northeastern University and University of Massachusetts Amherst researchers studied carriers’ and Wi-Fi providers’ throttling of video content. Their practices were neither transparent nor consistent, and sometimes gave preferential treatment to certain content providers.

Thresholds also vary by plan, device, and type of data. One carrier might throttle after 22GB, whereas another pumps the brakes after 15GB (and technically they can throttle you at any time). The impact on performance can be considerable — potentially cutting 5G speeds by half or more. These variations make it hard to ensure employees have the performance they need, especially when organizations manage many devices.

All too often, companies sign on for unlimited data because they believe it equates to unlimited performance. Unfortunately, that isn’t the case.

Ongoing Management Delivers the Best Cellular Outcomes
Unlimited plans may seem easier to manage, but a better strategy is to analyze your company’s needs and develop a plan that’s right-sized — one that optimizes cost and performance while supporting your business objectives.

Ideally, companies should:

• Analyze cellular services holistically

• Understand big-picture usage and trends

• Continuously monitor and adapt service for each line and device

In reality, this work is time-consuming, and most companies lack the resources to do it. They’re often too busy handling asset management, billing, troubleshooting, and other tasks associated with cellular service.

Cellular Managed Services Protect Performance
Companies may choose unlimited data plans thinking they will save money. In reality, better ROI often comes from a managed service, which eliminates the performance issues associated with unlimited plans — often at a lower cost.

A managed services provider (MSP) will:

• Analyze usage to recommend the right plan for business needs

• Deploy specialized tools to monitor data usage

• Receive alerts when a device is approaching throttle thresholds

• Make back-end adjustments to prevent data throttling

Users get the performance they need, and employees can focus on strategic, business-enhancing activities.

Ensure Cellular Plans Support Business Needs
Optimal cellular service is essential for employees in the field. Construction job sites, for example, often power workers’ productivity with Wi-Fi routers onsite. When these devices are throttled, it can slow work across the entire project.

Employees have reasons to turn to mobile hotspots:

• Home internet outages

• Remote locations

• Work in transit or at facilities lacking robust connectivity

When workers encounter slow speeds, it’s frustrating for them and detrimental to the business. Smartphones now support numerous work functions, from company applications to remote collaboration and internet access. Companies that can’t count on fast, consistent data are at a competitive disadvantage.

Faster speed, better coverage, and increasing adoption create opportunities for companies with a well-managed cellular strategy — one that focuses less on unlimited data and more on unlimited potential.

Want to learn more about saving on your corporate cellular bills? Let’s Talk!