AT&T Introduces 'Sponsored Data' to Allow Businesses to Cover Cost of Mobile Data Downloads

AT&T LogoAT&T today announced a new Sponsored Data program to allow its customers to download content or apps over cellular data, with businesses picking up the cost of the data -- that is, downloads won't affect the users' monthly wireless data plan allotment.

The system, which works similarly to toll-free 800-numbers, was originally rumored nearly two years ago.

According to AT&T, the service will allow companies to sponsor data use across a number of industries including healthcare, retail, media and entertainment, and financial services, and giving a number of possible use cases in its press release announcing the program:

- Encouraging customers to try a new smartphone or tablet app.
- Promoting movie trailers or games.
- Providing patient healthcare support via wellness videos.
- Encouraging customers to browse mobile shopping sites.
- Allowing businesses with ‘Bring Your Own Device’ policies to pay for the data employees use for specific business-related apps and services.
- Enhancing customer loyalty programs by providing sponsored data access to products and services.

For users, the program will be nearly invisible, with post-paid customers receiving automatic access to Sponsored Data when on AT&T's domestic wireless network. Prepaid customers will not be able to use the Sponsored Data program.

U.S. cellular carriers have been in something of a marketing war in recent months, particularly between T-Mobile and AT&T. Recently, AT&T began a new promotion to offer up to $450 in credits to customers that switch to it from T-Mobile.

The new sponsored data program, if widely adopted, could reduce user concerns over data usage, particularly after AT&T has moved aggressively to wean customers off of its unlimited data plans.

Popular Stories

iPhone SE 4 Vertical Camera Feature

iPhone SE 4 Production Will Reportedly Begin Ramping Up in October

Tuesday July 23, 2024 2:00 pm PDT by
Following nearly two years of rumors about a fourth-generation iPhone SE, The Information today reported that Apple suppliers are finally planning to begin ramping up mass production of the device in October of this year. If accurate, that timeframe would mean that the next iPhone SE would not be announced alongside the iPhone 16 series in September, as expected. Instead, the report...
iPhone 17 Plus Feature

iPhone 17 Lineup Specs Detail Display Upgrade and New High-End Model

Monday July 22, 2024 4:33 am PDT by
Key details about the overall specifications of the iPhone 17 lineup have been shared by the leaker known as "Ice Universe," clarifying several important aspects of next year's devices. Reports in recent months have converged in agreement that Apple will discontinue the "Plus" iPhone model in 2025 while introducing an all-new iPhone 17 "Slim" model as an even more high-end option sitting...
Generic iPhone 17 Feature With Full Width Dynamic Island

Kuo: Ultra-Thin iPhone 17 to Feature A19 Chip, Single Rear Camera, Semi-Titanium Frame, and More

Wednesday July 24, 2024 9:06 am PDT by
Apple supply chain analyst Ming-Chi Kuo today shared alleged specifications for a new ultra-thin iPhone 17 model rumored to launch next year. Kuo expects the device to be equipped with a 6.6-inch display with a current-size Dynamic Island, a standard A19 chip rather than an A19 Pro chip, a single rear camera, and an Apple-designed 5G chip. He also expects the device to have a...
iPhone 16 Pro Sizes Feature

iPhone 16 Series Is Less Than Two Months Away: Everything We Know

Thursday July 25, 2024 5:43 am PDT by
Apple typically releases its new iPhone series around mid-September, which means we are about two months out from the launch of the iPhone 16. Like the iPhone 15 series, this year's lineup is expected to stick with four models – iPhone 16, iPhone 16 Plus, iPhone 16 Pro, and iPhone 16 Pro Max – although there are plenty of design differences and new features to take into account. To bring ...
icloud private relay outage

iCloud Private Relay Experiencing Outage

Thursday July 25, 2024 3:18 pm PDT by
Apple’s iCloud Private Relay service is down for some users, according to Apple’s System Status page. Apple says that the iCloud Private Relay service may be slow or unavailable. The outage started at 2:34 p.m. Eastern Time, but it does not appear to be affecting all iCloud users. Some impacted users are unable to browse the web without turning iCloud Private Relay off, while others are...

Top Rated Comments

PusherRobot Avatar
138 months ago
This is the first step of the end of net neutrality
Score: 28 Votes (Like | Disagree)
nepalisherpa Avatar
138 months ago
If you really care about your customers then come up with better plans first.
Score: 23 Votes (Like | Disagree)
tigres Avatar
138 months ago
The more complexity, the more I am turned off.
Score: 20 Votes (Like | Disagree)
springsup Avatar
138 months ago
This is the first step of the end of net neutrality

Absolutely. How long before they start selling off prioritised traffic, so every other business that isn't paying AT&T suddenly becomes slower?

This is the beginning of the end. They start with seemingly-innocent things like this, but then there's going to be pressure to get more companies on board in order to boost revenue, and that's when it's going to get ugly.
Score: 14 Votes (Like | Disagree)
tdiaz Avatar
138 months ago
Seems to be that it would simply be easier to just go back to the way it was. Remove the limits. It's obvious the network is going to be used. All the overhead keeping track of bits and bytes just contributes to the point of diminishing returns.

If they want to charge for something, charge for levels of throttling.
Score: 14 Votes (Like | Disagree)
jclardy Avatar
138 months ago
Oh dear, it is starting. And of course the harbinger is AT&T. They start by promoting this as a feature for the customers (Free data for you!), but eventually they provide preferred sponsors with faster connections and the free web as we know it is gone. Big players get faster connections meaning big sites become more established and small startups get shafted with slower connections.
Score: 11 Votes (Like | Disagree)