AT&T CEO: iPad is a Wi-Fi Driven Product

In comments this week, AT&T CEO Randall Stephenson said he expects most people to use the iPad on Wi-Fi networks. The exclusive provider of 3G service to Apple's revolutionary new tablet computer just isn't expecting a lot of subscriptions to the data plan.

Stephenson explained in an investor conference, "my expectation is that there's not going to be a lot of people out there looking for another subscription." The subscription he's referring to is a $30 monthly unlimited data plan for 3G iPads. A limited plan (250 MB) is also available for $15 a month.

Although a contract isn't required and the $30 unlimited cost is half the price of comparable data plans, it sounds like AT&T is not bracing for a mad rush of iPad users cramming onto the 3G network. Most consumers are already saddled with wireless phone plans and locked into contracts.

Stephenson spoke about how the iPhone was more of a revenue generator for the company and the fact that it would continue to provide subscribers for some time to come. Regarding heavy data consumption by some users he explained, "we'll progressively move toward more of what I call variable pricing so the heavy consumers will pay more than the lower consumers."