AT&T’s Sponsored Data allows companies to subsidize data charges in exchange for viewing content

Posted Jan 7, 2014

AT&T has announced a new service called Sponsored Data. The Sponsored Data service offers a way for companies pay for data usage when products or services are used. Users will see a “sponsored” symbol in the status bar and all of the data charges are going to be redirected to the sponsoring company.

“Customers just look for the Sponsored Data icon and they know the data related to that particular application or video is provided as a part of their monthly service,” stated AT&T Mobility CEO and president Ralph de la Vega. “That?s what makes this a win-win for customers and businesses.”

There will be no performance differences between sponsored and non-sponsored data. This service will definitely be controversial. Large companies may dominate the sponsorships. I’m sure that AT&T will find a way to balance the power over time, but there will be a set of challenges when launching the service.

[Source: TheVerge]