Verizon: A surge in data -- and costs

[Commentary] Verizon Wireless, the country's leading provider of mobile phone service, announced plans this week for a double-digit increase in the entry-level price for using a smartphone. The company defended the move, saying it should help subscribers with multiple wireless devices — for example, a family with several smartphones and a tablet computer. But the heart of the plan is higher charges for using Verizon's network to transmit data, which is what customers have increasingly been doing since the advent of Apple's iPhone.

The announcement was a worrisome reminder that a handful of companies stand as potential gatekeepers to one of the most vibrant sectors of the US economy. The question for regulators is whether the entire industry follows Verizon's lead, creating a pricing structure that slams the brakes on growth and innovation in wireless technology by making consumers think twice about their data usage. Verizon can and should experiment with new offers as it tries to adapt to evolving demand, but so should its competitors. (One, AT&T, is coming up with its own shared-data plans.) For now, at least, consumers who don't like Verizon's new plans can choose from among several alternatives. Meanwhile, the onus is on Washington to make the airwaves available for a vigorously competitive wireless broadband market so that consumers, not carriers, control the pace of the mobile revolution.