AT&T-Verizon price war debunked

Some people are calling the new tweaks to AT&T and Verizon Wireless' pricing plans the start of a mobile price war, but for many wireless consumers, they'll actually be paying more each month.

The companies each revised pricing late last week in separate announcements. The price cuts follow new aggressive pricing from Sprint Nextel, which last year introduced plans that allow customers to call any cell phone in the U.S. for free.

AT&T's and Verizon's new plans were supposed to simplify pricing for consumers. But the fact is that the new plans are still somewhat confusing. To better explain where consumers will save money and where they'll likely pay more, CNET has put together this FAQ.

In short, where consumers can expect to save money is on voice calls. Whether they are using a smartphone, quick-messaging/multimedia device, or a basic feature phone, the companies have lowered the price of their unlimited voice plans. But where many customers will likely pay more is on accessing the mobile Internet.

In fact, both AT&T and Verizon Wireless are extending data plans to a whole slew of customers who formerly were not subscribing to any data plans. And it is likely these are the customers who will see a bigger phone bill when they upgrade their phones or renew their contracts.

So before you sign another contract or agree to a new phone, take a look at this FAQ to make sure you know what the changes mean for you.

Let's start with voice pricing. What has changed for AT&T and Verizon Wireless customers with respect to voice pricing?
AT&T and Verizon have each reduced the price on their unlimited voice plans. The plans have dropped from $99.99 to $69.99 per month for individuals. Verizon's Nationwide Unlimited Talk Family SharePlan and AT&T's family talk plan will now each cost $119.99 per month with two lines included. Additional voice lines from Verizon can be added for $9.99 a piece. AT&T said additional lines can be added to its plans, but prices will vary depending on the type of plan that users subscribe to.

Do the changes in voice plan pricing also apply to smartphone customers?
Yes, they do. All AT&T and Verizon Wireless subscribers can sign up for the new voice plans.

If I am an existing customer paying a higher fee for my voice service, can I switch to the all-you-can-talk plan without being penalized?
Yes, AT&T and Verizon Wireless representatives say all you have to do is call a customer service agent to change your plan. You will not be charged any kind of fee for switching. And you will not extend your existing contract by switching to the lower cost plan.