T-Mobile US Inc (NASDAQ:TMUS) To Introduce Cheaper Wi-Fi For Cars

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T-Mobile US Inc (NASDAQ:TMUS) To Introduce Cheaper Wi-Fi For Cars

T-Mobile US Inc (NASDAQ:TMUS) is venturing into the connected car market through the introduction of a wireless plug-in module known as the SyncUp Drive.

T-Mobile plans to use the device to introduce Wi-Fi hotspots in cars at a cheaper price than what the competition is offering. The SyncUp Drive is made by ZTE and it can be plugged into the OBD-II data port in vehicles. This is the same port that is used to monitor vehicle performance. The telecommunications company plans to launch the device soon to cover instances where the subscriber is out of range away from home.

The device will allow vehicles to have their own Wi-Fi hotspots. The device acts as a receiver for T-Mobile’s 4G LTE network and then transforms it into a Wi-Fi signal, thus allowing passengers to connect their devices to the hotspot. The device will also provide diagnostic information about the car since it uses the same port used by mechanics for vehicle diagnostics. Additionally, the devices help drivers to keep track of their vehicle’s location as well as monitoring their driving habits.

T-Mobile’s service offers more compared to what the competition is bringing to the table. The company has a 2-gigabyte data plan that costs $20, a 10-gigabyte package priced at $50 and a 22 gigabytes service with a monthly charge of $95.

“AT&T offers two somewhat stingier monthly data options: $20 for a gigabyte or $30 for three gigabytes. But an AT&T user can also pay $10 a month and use data from their phone’s data allowance,” highlights Fortune.

Other rival firms also have their own offerings but T-Mobile’s packages are very competitive. The company recently announced that the monitoring device alone will cost $150. The company also announced that all users will need to subscribe to a data plan.

T-Mobile stock closed the latest trading session at $50.35.