AT&T More Than Doubles Administrative Fee for Wireless Customers

AT&T has raised the amount of the "administrative fee" that it charges many of its 64.5 million wireless customers, a move that will earn the company an additional $800 million in annual revenue.

The fee hike was first noticed by BTIG Research analyst Walter Piecyk (via CNBC), who pointed out that AT&T has increased its monthly fees by approximately $1.23 in 2018 with two price hikes in April and June. Customers are now paying $1.99 in administrative fees, up from 76 cents last year.

ATT new 2016 logo
Approximately 85 percent of AT&T's customers have seen the fee hike, as it applies to all postpaid accounts. Prepaid customers are not required to pay the administrative fee.

Prior to the doubling of the fee, it hadn't changed much since AT&T introduced it in 2013, going from 61 cents to 76 cents over a period of several years.

Piecyk speculates that AT&T has increased the fee to offset the debt incurred by its recent $85.4 billion purchase of Time Warner. "Presumably the Administrative Fee is another way to help AT&T fund its network build and Time Warner acquisition going forward," he wrote.

In a statement to CNBC, however, AT&T said that the fee is standard across the wireless industry: "This is a standard administrative fee across the wireless industry, which helps cover costs we incur for items like cell site maintenance and interconnection between carriers."

Earlier in June, AT&T also raised the price of its grandfathered unlimited data plans by $5 per month. That plan, which was originally priced at $30, is now $45.

Tag: AT&T

Popular Stories

iPhone 17 Pro in Hand Feature Lowgo

iPhone 17 Pro Coming Soon With These 14 New Features

Friday July 4, 2025 1:05 pm PDT by
Apple's next-generation iPhone 17 Pro and iPhone 17 Pro Max are just over two months away, and there are plenty of rumors about the devices. Below, we recap key changes rumored for the iPhone 17 Pro models. Latest Rumors These rumors surfaced in June and July:Apple logo repositioned: Apple's logo may have a lower position on the back of the iPhone 17 Pro models, compared to previous...
iphone 16 pro models 1

Here's How the iPhone 17 Pro Max Will Compare to the iPhone 17 Pro

Saturday July 5, 2025 1:00 pm PDT by
Apple should unveil the iPhone 17 series in September, and there might be one bigger difference between the Pro and Pro Max models this year. As always, the Pro Max model will be larger than the Pro model:iPhone 17 Pro: 6.3-inch display iPhone 17 Pro Max: 6.9-inch displayGiven the Pro Max is physically larger than the Pro, it has more internal space, allowing for a larger battery and...
iPhone Car Key Kia

Here's Which Vehicles Offer iPhone Car Keys

Sunday July 6, 2025 3:03 pm PDT by
In 2020, Apple added a digital car key feature to its Wallet app, allowing users to lock, unlock, and start a compatible vehicle with an iPhone or Apple Watch. The feature is currently offered by select automakers, including Audi, BMW, Hyundai, Kia, Genesis, Mercedes-Benz, Volvo, and a handful of others, and it is set to expand further. Apple has a web page with a list of vehicle models that ...
imac video apple feature

Apple Launching These 15+ Products Later This Year

Sunday July 6, 2025 8:05 am PDT by
The calendar has turned to July, meaning that 2025 is now more than half over. And while the summer months are often quiet for Apple, the company still has more than a dozen products coming later this year, according to rumors. Below, we have outlined at least 15 new Apple products that are expected to launch later this year, along with key rumored features for each. iPhone 17 Series iPho...
Prime Day 25 Feature Warm Triad

The Best Early Prime Day Deals on Apple Products

Saturday July 5, 2025 7:22 am PDT by
Amazon is soon to be back with its annual summertime Prime Day event, lasting for four days from July 8-11, the longest Prime Day yet. As it does every year, Prime Day offers shoppers a huge selection of deals across Amazon's storefront, and there are already many deals you can get on sale ahead of the event. Note: MacRumors is an affiliate partner with Amazon. When you click a link and make a ...
iphone 17 pro render majin bu

New iPhone 17 Pro Renders Highlight Apple Logo and MagSafe Design Changes

Sunday July 6, 2025 8:43 pm PDT by
New renders today provide the best look yet relocated Apple logo and redesigned MagSafe magnet array of the iPhone 17 Pro and iPhone 17 Pro Max. Image via Majin Bu. Several of the design changes coming to the iPhone 17 Pro model have been rumored for some time, such as the elongated camera bump that spans the full width of the device, with the LiDAR Scanner and flash moving to the right side. ...
airpods pro 2

AirPods Pro 3 to Help Maintain Apple's Place in Earbud Market Amid Increasing Low-Cost Competition

Thursday July 3, 2025 7:25 am PDT by
Apple's position as the dominant force in the global true wireless stereo (TWS) earbud market is expected to continue through 2025, according to Counterpoint Research. The forecast outlines a 3% year-over-year increase in global TWS unit shipments for 2025, signaling a transition from rapid growth to a more mature phase for the category. While Apple is set to remain the leading brand by...
iPhone 17 Pro in Hand Feature Lowgo

iPhone 17 Pro to Reverse iPhone X Design Decision

Monday July 7, 2025 9:46 am PDT by
Since the iPhone X in 2017, all of Apple's highest-end iPhone models have featured either stainless steel or titanium frames, but it has now been rumored that this design decision will be coming to an end with the iPhone 17 Pro models later this year. In a post on Chinese social media platform Weibo today, the account Instant Digital said that the iPhone 17 Pro models will have an aluminum...
Apple Watch Ultra Night Mode Screen

Apple Watch Ultra 3 Launching Later This Year With Two Key Upgrades

Wednesday July 2, 2025 1:13 pm PDT by
The long wait for an Apple Watch Ultra 3 appears to be nearly over, and it is rumored to feature both satellite connectivity and 5G support. Apple Watch Ultra's existing Night Mode In his latest Power On newsletter, Bloomberg's Mark Gurman said that the Apple Watch Ultra 3 is on track to launch this year with "significant" new features, including satellite connectivity, which would let you...

Top Rated Comments

BootsWalking Avatar
92 months ago
How about we withhold a portion of our total bill as a "customer patronage fee", a fee payable by AT&T for the privilege of having us as a customer.
Score: 60 Votes (Like | Disagree)
BC2009 Avatar
92 months ago
I got hit with this crap -- called AT&T and complained and the rep said she would do a monthly $10 discount to my bill.

The rep repeatedly tried to talk about "government taxes and fees" to make it sound like this administrative fee was one of those fees. I had to keep correcting that lie. I told her "we agreed on a monthly price and this is AT&T's way of getting out of that agreement and increasing my price"

The increase, by the way, is PER LINE -- so if you have a family with 3, 4, or 5 lines or more, you are going to notice this on your bill.

My comment to the AT&T rep was that I had left Cox Cable after 15 years of being a customer to go with CenturyLink because CenturyLink promised a fixed rate for life. CenturyLink offered Gigabit Fiber in my neighborhood for $85 per month and unlimited data while Cox wanted $150 per month for 300Mbps and unlimited data. I told her that I would do the same with AT&T after being a customer for 20 years unless she did something about this administrative fee.
Score: 44 Votes (Like | Disagree)
ignatius345 Avatar
92 months ago
I'd laugh, but I'm sure my Verizon bill is loaded with crap like this too.
Score: 26 Votes (Like | Disagree)
EdT Avatar
92 months ago
Ah yes, the "Give us more money" fee. Super shady and shouldn't be allowed.
Most U.S. citizens have voted to dismantle the health, safety and consumer functions for decades, under both Republican and Democratic leadership. Those protections had been installed because from the turn of the 20th century on businesses took advantage of people whenever they could and at least initially there were no laws to stop them. Even the recession of 2008 there was out and out fraud, which is a criminal offense, by banks AND regulators and the total number of people charged was zero.

It may not be how you personally chose who went to city, state and federal offices but as a group we are getting what we voted for.
Score: 22 Votes (Like | Disagree)
69Mustang Avatar
92 months ago
I gotta be honest, this information is quite shocking to me. After all, it's AT&T. One of the most forthright and honest companies I've had the pleasure of dealing with in my lifetime. Even though this is shocking, I'm fairly certain the fee increases are justified. AT&T wouldn't arbitrarily and unnecessarily gouge customers. It's just not in their corporate DNA. For those who would complain, I'd say hold off on that. I'm sure AT&T has our best interest at heart with the fee increases. They have always and will always continue to put customers above all else.

*outgoing text sent*
I posted to MR. I've done what you asked.

*incoming text received*
We will release your kids now. Thank you for your cooperation.

*outgoing text sent*
You can keep the youngest. It's really for the best. The wife and I will make another. We'll try to get it right this time.

Update: AT&T SUDDENLY REVERSES DECISION ON DOUBLING ADMIN FEES. GETS RID OF THEM ALTOGETHER. LOWERS ALL BILLS BY 30%

*incoming text received*
Please take back. Will do anything!!!!

*outgoing text sent*
New phone. Who dis?
Score: 22 Votes (Like | Disagree)
EdT Avatar
92 months ago
In my opinion, consumers of cellular companies need to work to get a law enacted, that prevents the cellular provider from raising any administrative fees during the calendar year. If the company wishes to raise the administrative (and other hidden junk fees) for the next calendar year, the company must provide notice to the customer two months in advance. And if the customer does not discontinue the plan or service for said line(s), that will be consent for the company to lawfully charge said fees.
Won't happen. Government oversight and regulation of businesses is being gutted, not reinforced.
Score: 17 Votes (Like | Disagree)