T-Mobile Calls For End Of Overage Fees, Drops Their Own

T-MobileBy T-Mobile (File derived from T-Mobile logo.svg) [Public domain], via Wikimedia Commons

John Legere, the CEO of T-Mobile US Inc (NYSE:TMUS), is nothing if not unspoken and the activist has never shied from attention or the media spotlight. And it’s that understanding that prompted him to say, “With any big change that’s ever led to any lasting good, somebody’s got to first stand up and point out a wrong. And it doesn’t hurt if that “somebody” is loud enough and brash enough that they’re hard to ignore. I can do that.”

T-Mobile’s Legere is at it again

Overage charges are predatory practices used to rack up huge fees when users go over on voice, data, and text quotas. T-Mobile US Inc (NYSE:TMUS) has essentially eliminated its practice of charging customers that exceed their allowances with its introduction of “Simple Choice” plans. With this understanding, it’s certainly easier for Legere to draw a line in the sand and challenge AT&T Inc. (NYSE:T), Verizon Communications Inc. (NYSE:VZ), and Sprint Corporation (NYSE:S) to drop their overage policies. Legere then took to Change.org to begin a petition telling its competitors that ending this predatory practice saying that it’s the “right thing to do.”

“Charging overage fees is a greedy, predatory practice that needs to go,” said Legere in a statement. “Starting in May for bills arriving in June – regardless of whether you’re on Simple Choice, Simple Starter or an older plan, we’re abolishing overages for good. Period.”

Self serving? Certainly.

Regardless of the fact that this is a loosely-veiled marketing campaign and effort to make news, expect consumers to latch on to it nonetheless. It hits square at the “everybody loves the underdog” nerve center and may cause industry wide changes and makes Legere look good, something that he’s nearly shameless about on a regular basis. Whether it’s messing with BlackBerry Ltd (NASDAQ:BBRY) (TSE:BB) or just a need to hear his own voice, Legare is fun for those forced to write about domestic wireless carriers. He’s a breath of fresh, self-righteous air to begin the work week.

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About the Author

Brendan Byrne
While studying economics, Brendan found himself comfortably falling down the rabbit hole of restaurant work, ultimately opening a consulting business and working as a private wine buyer. On a whim, he moved to China, and in his first week following a triumphant pub quiz victory, he found himself bleeding on the floor based on his arrogance. The same man who put him there offered him a job lecturing for the University of Wales in various sister universities throughout the Middle Kingdom. While primarily lecturing in descriptive and comparative statistics, Brendan simultaneously earned an Msc in Banking and International Finance from the University of Wales-Bangor. He's presently doing something he hates, respecting French people. Well, two, his wife and her mother in the lovely town of Antigua, Guatemala. To contact Brendan or give him an exclusive, please contact him at [email protected]

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