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The latest salvo in the ongoing price war between U.S. wireless carriers comes from T-Mobile, and it’s one that significantly undercuts the company’s larger rivals.
On Tuesday, T-Mobile announced a new unlimited data option for family plans, allowing two customers to share unlimited data for just $100 per month. Adding additional users costs $40 per month, per line.
In an interview with Re/code, CEO John Legere said T-Mobile wanted to offer a family plan promotion that wasn’t simply a tit-for-tat response to those touted by other carriers which run upwards of $160 per month with data caps. And with more spectrum per customer than AT&T and Verizon, the company was well-positioned to do it, at least for now.
“Right now we are in a great spot,” Legere said. “Unlimited is what (customers) want and need right now.”
T-Mobile is offering this plan for a limited time, though it said those who register can retain it beyond the life of the offer. The company has also revived a more affordable option: a plan that allows four lines for $100 per month, with each line getting 2.5GB of data.
T-Mobile’s new plans come amid an unprecedented array of promotional offers from major carriers like Verizon who are trying to maintain a lead over their smaller rivals.
Verizon warned on Monday that it expects the competitive environment and price pressure to dent this quarter’s earnings.
Legere said he isn’t surprised that Verizon’s earnings are slipping, given the company’s many promotional offers. He noted that T-Mobile is on track to meet its financial targets for the quarter.
“One thing you are definitely not going to hear from T-Mobile is a warning,” Legere said.
To hear more of Legere’s thoughts on the industry, here is video of our chat at the recent Code/Mobile conference.
This article originally appeared on Recode.net.
