Verizon is Hiking Prices for Data-Only Devices Like Mobile Hotspot, Connected Cars

Verizon users who are subscribed to data-only devices such as mobile hotspots, tablets, security cameras, connected cars, and laptops are bound to experience another price increase, according to CNET.

The company will implement a rate increase of its administrative fees. The increase will be from six cents per line, per month to $1.40 per line, per month.

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Latest Price Increase Will Take Effect in December

According to Verizon, every now and then, they review the wireless administrative and recovery charge then make the necessary adjustment.

"From time to time, we review and make adjustments to the wireless administrative and telco recovery charge that helps recover some of Verizon's administrative and telco expenses, and costs of complying with regulatory requirements," the company stated.

The notification for the upcoming increase will be sent to the users beginning on Tuesday. However, the increase will take effect a month after, on December 1. For each line, the price increase will amount to over $16 per year.

According to the company, the charge is "comparable and generally lower than aggregate fees across the industry." 

Verizon also noted that they are only raising one of the fees associated with the connected data plans, and not the actual connected data plans.

Phone lines are not going to be affected since the company not raising its fees on voice lines.

Likewise, the carrier is not increasing fees of those with Home Internet service, a connected smartwatch, or users whose connected devices are on a business account.

Moreover, users of tablets on voice lines that got a fee hike earlier this year won't be subjected to a fee increase this coming December.

Read Also: Verizon To Resurrect Unlimited Data Plan Starting Tomorrow

Verizon Also Implemented Price Increase in May, June

In May and June, Verizon also implemented a price increase. Customers saw the new charges in their phone bills in May.

The carrier added a new economic adjustment charge to users' bill every month. The company began charging $1.35 to $3.30 per line, per month for users, according to Fierce Wireless.

Since the increase only applies to voice lines per account, those who have four voice lines and two data only iPad lines, for example, only got increase based on the four voice lines.

Not yet done with the increase, Verizon implemented another hike in June. This time, the carrier raised the rates of subscribers with older, shared data plans.

"For the limited number of consumer customers remaining on these accounts, we will be introducing a rate plan adjustment in their next bill to account for the added cost of maintaining these legacy plans," said Verizon.

For single lines, the adjustment implemented in June was $6 extra per month. Meanwhile, owners of multiple lines were charged $12 more per month. The charge for multiple lines was for the account, and not per individual line. 

Affected customers received notification about the increases in June. According to the carrier, the extra cost took effect on the July bill of the customers.

The move of Verizon is seen as way to get customers to give up their older plans. It is seen as a strategy to push users of shared data plans to move into unlimited plans. 

Related Article: Verizon To Raise Wireless Plan Prices With New 'Economic Adjustment Charge'

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