T-Mobile has recently been making significant changes to its internet plans amid rising consumer demand.

The company’s fiber and fixed wireless internet services attracted over 500,000 new customers in the first quarter of 2026, T-Mobile CEO Srini Gopalan said on an earnings call with analysts in April. 

“For yet another quarter, we were the fastest-growing ISP (internet service provider) in America, adding over half a million total broadband net additions, with 5G broadband net adds accelerating year over year,” said Gopalan.

Amid this growth, T-Mobile has quietly been adjusting prices and features across its internet plans in recent months. For example, in April, it revamped its Fiber internet plans to include lower prices, but it also cut voice line discounts and its 5-year price guarantee.

T-Mobile quietly updates home internet plans

Now, T-Mobile is making additional changes to its internet plans, this time affecting its 5G Home Internet plan (fixed wireless internet) lineup, according to a recent report from The Mobile Report.

First, the company has renamed its Rely plan to “Rely Home Internet Capped,” which will apply only to new customers who sign up for it going forward.

Under the FAQ section on T-Mobile’s Home Internet plans page, the company now states that its Rely plan has a maximum download speed of 354 Mbps. Before this change, none of its home internet plans listed a maximum speed; instead, they listed a “typical” speed of 170 to 498 Mbps.

Related: T-Mobile drops new free perks for customers as pressure builds

In addition to the new speed limit, T-Mobile quietly raised the prices of all its 5G Home Internet plans by $5. 

However, to lessen the blow of this price hike, the company also increased its autopay discount by $5, leaving the monthly cost unchanged for customers with autopay activated and at least one postpaid voice line attached to their account. 

T-Mobile caps the speed of its Rely internet plan and raises prices amid rising demand.

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T-Mobile faces tough competition as consumer behavior shifts

The recent changes from T-Mobile come amid intensifying competition in the broadband market. In the first quarter of this year, AT&T added 584,000 new internet customers, while Verizon welcomed 341,000.

Both companies have also been rapidly expanding their internet services amid growing consumer demand.

In January, Verizon acquired Frontier for $20 billion to expand its fiber internet footprint across the country, offering more consumers converged mobile and internet service. 

The following month, AT&T completed its $5.75 billion acquisition of Lumen’s Mass Markets fiber business, making fiber internet service available across 32 U.S. states. 

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The rise of satellite internet has also become a growing threat to T-Mobile and other internet providers in recent years. SpaceX’s satellite internet service Starlink (launched in 2019) has attracted more than 9 million customers. 

Also, Amazon is expected to offer satellite high-speed internet plans through its Amazon Leo service later this year. 

In a RCR Wireless News report in April, Adlane Fellah, chief analyst at Maravedis Research, said that the U.S. broadband market has “undergone a big transformation in the span of just three years” due to the rapid growth of fiber, fixed wireless access, and satellite internet. 

“The trajectory of U.S. broadband is clear: coverage is expanding, competition is deepening, and pricing pressure is structural,” said Fellah. “For ISPs of all sizes, the strategic imperative shifts from network construction to subscriber retention, revenue durability, and operational efficiency.”

Amid increased competition, T-Mobile is also navigating a more cautious consumer, which is why the company has to be extra careful about the changes it makes to its internet plans. 

Many consumers nationwide have become more sensitive to rising internet bills and slow service speeds, leading to increased switching behavior, according to a new survey from Reviews.org.

How Americans are responding to higher internet costs in 2026:

  • Roughly 73% of Americans saw their internet bills increase this year, compared with 43% a year ago. Among them, 30% reported monthly increases of $10 to $20.
  • Hidden fees and surprise charges have prompted about 67% to either switch internet providers or consider doing so, up from 56% last year. 
  • Rising costs have pushed 30% to either cancel or downgrade their home internet service in the past 12months. 
  • Almost 43% said slow internet speeds frustrate them the most about their internet provider, while 39% said price hikes.
    Source:Reviews.org

“People want internet pricing to be simple and honest,” said Tim Tincher, media relations at Reviews.org, in a press release. “Instead, many are dealing with rising bills, surprise fees, and confusing charges. When customers feel caught off guard, they’re much more likely to start looking for another provider.”

Related: T-Mobile rolls back 2 customer discount changes after backlash