new York
CNN
—
Verizon is raising the prices of some of its older cell phone plans, the company confirmed to CNN on Monday. The move is part of a broader effort to attract more of its customer base to 5G plans.
Customers who decide to stay on one of Verizon’s older unlimited plans will be charged an additional $2 per month. The change will take effect on April 10.
“Customers currently using – or choosing to keep – the old unlimited postpaid wireless plans from seven years ago will be notified of a further rate plan adjustment via email, direct mail and in their next bill to reflect the additional cost of maintaining these legacy plans,” the company said in a statement.
Plans subject to price change include Beyond Unlimited, Beyond Unlimited 55+, Go Unlimited and Verizon Unlimited. The company is encouraging customers to upgrade to plans such as 5G Get More, 5G Start and others that offer more “choice” and “flexibility”.
The price hike comes as Verizon
(VZ) is looking to grow its consumer unit, a part of the business that’s struggling to keep up with competitors. Last year, AT&T raised the prices of some of its older plans up to $6 for individual lines and $12 for family plans. Verizon
(VZ) followed by the same price increases.
Verizon, whose shares are down 30% in the past year, did not say how many customers will be affected by the latest price hike.
verizon last week announcement a management shake-up and appointed Sowmyanarayan Sampath as CEO of the consumer business unit. Verizon President and CEO Hans Vestberg said the appointments reflect the company’s mission to strengthen its “competitive capabilities.”