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Verizon’s Visible Set to Undercut Competition with a New Offer

The US prepaid wireless market is very competitive as well as crowded. As such, service providers are finding new ways undercutting competition. Visible, a Verizon-owned prepaid company launched just May 2018 is already making the right noise. The company is offering subscribers a prepaid 4G service which comes without limits on download speed.

A new package

Visible has been maintaining a cap on the download speed for its users since it launched last year. Specifically, subscribers could not access download speeds above 5 mbps. Compared to the download speeds on Verizon, a network on which Visible runs, 5 mbps is just a fraction of the average Verizon download speeds.

This capped download speed was part of an unlimited offer to subscribers for just $40 a month. On the bright side, the cost is just a fraction of what Verizon subscribers pay. Therefore, Visible offered a great opportunity to users who had small budgets to enjoy the delights of unlimited packages.

According to Miguel Quiroga, the CEO of Visible, the new package maintains the subscription fee but scraps the download limits. Therefore, subscribers will be able to download heavy games in just under five minutes while still paying a cheaper price. This is just like getting the Verizon experience at a discount.

New customers to pay a higher price

At the initial stages, this new plan will offer the higher speeds at the same price for both old and new customers. This is to say that old subscribers will continue to pay $40 while new entrants will pay the same amount. However, the company left room to return the 5 mbps to new customers at a future date, if need be.

As per Quiroga, capping download speeds is a major turn-off for potential prepaid customers. In particular, they face huge difficulties while downloading huge files. Visible is thus showing its commitment to enabling its customers to experience quality service at a discount.

While Verizon is in the post-paid business, Visible represents the telco giant in the prepaid sector. The primary goal is to leverage the potential for diverse revenue streams from two sides of the same market.

Published by Ruchi Gupta

Swati Goyal has over 6 years of experience in financial research & analysis domain. She has built financial models varying from consumer goods to banks. She has her articles published in leading dailies of the nation

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