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Sprint unveils new data plan, expected to trigger price war

Tuesday - 8/19/2014, 3:41pm  ET

WASHINGTON - Changes to Sprint's data pricing could unleash a battle between telecom companies that could result in better deals for consumers.

On Friday, Sprint will launch a new shared pricing plan. For $100 a month, cell customers can get up to 10 lines with unlimited talk and texting. And Sprint is sweetening the pot and will give new customers $350 for just switching to the company, once known for its push-to-talk plans, according to CBS This Morning.

Verizon is fighting back with its own deal of $60 dollars a month for unlimited talk and texting.

CBS News financial analyst Mellody Hobson says that Sprint is trying to stop its corporate bleeding. The carrier has lost almost three million subscribers, dropped in market share and its stock price has plunged.

The competitive data package is meant to be budget-friendly and the carrier is trying to make it easier to switch, Hobson said on CBS This Morning.

"This is going to be war and the consumer is going to win," in the form of better prices, she says.

But she also warns that Sprint will have to do more than play defense because the other carriers are willing to fight.

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