Sprint May Fire Opening Salvo in Price War: Report

MocoNews is reporting that Sprint, the beleaguered No. 3 U.S. mobile service provider, is expected to offer a flat-rate calling plan at up to a 40 percent discount to its rivals, according to Reuters.

Analysts are saying that the new plan could be considerably less expensive, at rates as low as $60 a month—a price that would put considerable pressure on the other carriers and signal the beginning of a major price war.

Earlier this week, all the other carriers rolled out unlimited voice plans at $99 per month. Sprint already had a $119 unlimited plan in place, but that price included data access; none of the new plans, including the possible $60/month Sprint offering, will have that.

In the Reuters story, Bear Stearns analyst Phil Cusick said that if Sprint prices their unlimited voice plan closer to $60, it would create “much more marketing stir and be a real differentiator, but would risk an eventual response from competitors.”