• by Mark Walsh  @markfwal, July 11, 2011

With Verizon Wireless last week rolling out tiered data plans Sprint has been left as the only major carrier still offering a range of unlimited data options. In contrast to all the jockeying over the term "4G," that's a clear market differentiating factor in the wireless marketplace that Sprint should market aggressively.

It's not hard to imagine a new TV spot with CEO Dan Hesse telling viewers, "Browse the web, send email or watch video as much as you want with Sprint because we still give you unlimited data. And no overage charges. The other guys don't." As Sprint's main pitchman, Hesse has already been touting the carrier's unlimited data plans in advertising as it targets budget-conscious consumers.

A Sprint spokesperson said the company plans to continue advertising its unlimited plans but didn't offer specific information beyond that. In any case, the company should benefit from being increasingly associated with unlimited data as more and more mobile users upgraded phones and do more besides talk and text on devices.

"Sprint is in a great position as we go into the holiday selling season," said Bill Ho, vice president for consumer services at Current Analysis. "Smartphone adoption is continuing to exploded and with many of the new models launched in late Q3 and Q4, they can makes their case and solidly differentiate against AT&T and Verizon Wireless."

Sprint added 1.1 net subscribers in the first quarter, building on momentum from the prior quarter. But most of those were less lucrative pre-paid customers; it still lost 114,000 contract subscribers in the quarter. Pushing its unlimited data plans, along with the expansion of its 4G network, could help Sprint add more contract customers over time.

And if Sprint should get its hands on the iPhone, as speculated, unlimited data could be a factor in luring customers who might otherwise have signed up with AT&T or Verizon. Hesse has said he would love to have the Apple device.

Sprint could also leverage its status as the only carrier with unlimited data in its efforts to block ATT's proposed takeover of T-Mobile. In short, the more concentration there is in the industry, the less likely for any carrier to offer services or plans, like unlimited data, that truly set them apart from the rest. Like Sprint, T-Mobile has long held itself out as a value-oriented wireless player.

The big risk for Sprint in sticking with unlimited data is what impact it will have on its network as usage grows. Roger Entner, an analyst at Recon Analytics, told CNet last week that the carrier could become a victim of its own success by next spring as additional users put a strain on its network.

But for now, that looks like a good problem for Sprint to have after so many quarters shedding contract customers.