AT&T gives another $5 increase in activation fees bringing it up to $25

By Lester Mondragon | Jan 22, 2017 06:21 PM EST

Though AT&T lost 268,000 postpaid subscribers, it gained 1.5 million more wireless users. The total number for AT&T as of this writing is 133 million wireless subscribers.

In total, AT & T had the best Earnings before interest, taxes, depreciation, and amortization (EBITDA) at 50.1 percent. Despite this report from an article in techsite, the total wireless collection of $18.2 Billion is lesser by 0.70 percent compared to last year's performance.

The $5 increase that AT&T imposed was a measure to get more from its subscribers to add to ifts lesser revenues compared year over year. According to customers, there was no increase in the previous years. AT&T started implementing the activation charges last July 2015. The first activation fee was $15 for non-contract customers, and for those who do not enter into a two-year contract with the Telco, as mentioned in an article in Benton Foundation.

In April 2016, another increase took effect for non-contract clients. The increase was from $15 to $20. Again, another $5 shot up. The next increase just came into effect bringing the final activation fee to $25 for the new activations. A customer who buys a phone and has it activated by AT&T adds the cost. But upgrades with AT&T requires no activation fee.

According to slashshot, this is the second instance that AT&T raised its activation fee in 9 months. The rate increase is effective January 21, 2017. The fees bring the latest activation fee to $25.

In contrast to Verizon, this telco now charges a $30 activation fee on its gadgets. Verizon's reasons are justifiable according to this carrier, to cover additional costs in their telco infrastructure, even though the network overhead infra decreased in spending.

Sprint charges $30 for activation. An upgrade is also $30. TMobile USA claims that it does not charge activation fees but a customer has to pay $20 for the SIM starter kit. It will also collect $20 for an assisted upgrade for customers, as stated in an article in Ars Technica.

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