US telecom giant Verizon Wireless is dropping its unlimited data plans from July 7th, the company has announced.

However, those who are already using the unlimited data plan, will be able to carry on with the scheme even if they upgrade their phones, meaning the new policy will effect only the new customers, Verizon explained.

The move by Verizon Wireless, a joint venture between Verizon Communication Inc and Vodafone Group Plc, which also happens to be the biggest mobile provider in the country, follows the similar withdrawal of unlimited data plans by arch rival AT&T late last year.

As of now, Verizon Wireless offers customers unlimited data plans for $30 a month only. But after the new policy comes into effect, the existing unlimited data plan will be replaced by a $30 a month plan with 2GB data limit. On exceeding the 2GB threshold, customers will be charged an extra $10 per GB additional usage.

The company will also introduce a 10 GB plan for $80 per month and a 5GB plan for $50 a month. In addition to that, Verizon will also unveil a 75 MB plan for $10, aimed exclusively at feature phone users.

The move by Verizon means Sprint is the only one of the main US operators offering unlimited data packages.