5G Technology: Plans Will Be More Expensive and Package Prices Higher

The Telecom Company TIM Provided Details About The Sales Strategy For Plans And Pricing Of The New 5G Technology In Brazil

The well-known “unlimited” offers in mobile phone service may not be included in the upcoming 5G phone plans. Additionally, the prices of the packages are expected to be higher than current ones due to the high speed and lower latency period that will be offered by the technology.

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The president of the telecom company TIM Brazil and general director of Telecom Italia, Pietro Labriola, provided details in a press conference on how the company’s commercial strategy for the new technology will function. To explain the pricing decision, he made a comparison to Uber plans:

“When you use Uber, there is Uber Black and other service levels. And the price is related to the level of service. So, will 5G have the same price as 4G? There are various answers,” he stated.

Pietro also questioned the existence of unlimited plans on 5G. The director recalled that in countries like the United States, telecom companies sell unlimited packages but restrict usage “if there is unusual or out-of-pattern use,” cutting off internet access or reducing speed. Foreign companies also prohibit mobile packages from routing data to other customers.

“In the US, the law allows such communication, but in reality, the plan is not unlimited. This cannot happen in Brazil because you cannot be unlimited if you are not unlimited. That’s why there are few places in the world that have truly unlimited offers. All companies work to achieve an economic and financial result. Therefore, it is important to understand if this is viable,” said the president of the telecom company.

How The 5G Technology Will Work

Alberto Griselli, commercial vice president of TIM, mentioned that 5G technology has some variables that allow for flexibility to create plans with different services for various user profiles:

“5G has higher speed and services with lower latency. These characteristics allow for the construction of tariff plans to meet the needs of various types of customers. And this allows us to provide something for everyone and something more sophisticated for a group that wants to buy something more sophisticated,” declared the vice president.

Currently, the prices of 5G DSS packages are the same as those of 4G, according to executives, because the speed is not the same as pure 5G. Additionally, it will not be necessary to change the SIM card (which is 4G) to access 5G technology, the executives stated. It is sufficient to have a smartphone that is compatible with the standalone network (or pure 5G).

The president of the telecom company TIM also stated that the consequences arising from 5G technology will completely change Brazil’s economic landscape. “5G will revolutionize economic activity and provide an unprecedented boost. The expectation is that services will be available in the capitals ahead of the initial deadline (set by Anatel for mid-2022). We are prepared to start,” said Labriola.