Is Unlimited Data Really Unlimited?

In today’s digital age, unlimited data can seem like a dream come true.

But are they as limitless as they sound?

Understanding what unlimited data really means, including fair usage policies and limitations on hotspotting and tethering, is crucial before making a decision. Let’s break down the concept of unlimited data, explain fair usage policies, and help you decide if an unlimited plan is right for you. 

What is unlimited data?

With unlimited data plans, you can enjoy internet and all your favourite apps without worrying about data limits. You can stream, browse, and socialise to your heart's content, from YouTube and Netflix to Instagram and TikTok. 

But there’s more to the story. 

Most providers implement a fair usage policy that restricts high-speed data when a certain threshold is reached. It means your speeds might slow down during peak times to maintain network stability for everyone. So, while you can technically use unlimited data, the quality and speed can vary. Throttled speeds can significantly reduce streaming quality and make everyday tasks from web browsing to downloading files frustratingly slow. Knowing these details is key to deciding if an unlimited data plan suits your needs.

What is the Fair Usage Policy (FUP)?

A fair usage policy (FUP) is designed to ensure fair sharing of network resources among users. Even with unlimited plans, there’s often a cap on high-speed data. Once you exceed this limit, your speeds may be reduced to avoid network congestion. Reading the fine print of your plan is essential to understand these limits and avoid unexpected slowdowns, ensuring you get the best service from your unlimited plan.

So what are your actual limits?

Finding the actual limits within an unlimited data plan can be tricky, as transparency varies among providers. Not all providers clearly communicate their fair usage policies and data limits. Some hide critical information in the fine print or use vague language. Take eSIM provider Holafly, for example. They were recently forced to revise their 'unlimited' data claims to 'extensive' data. Many users notice slow speeds early on in their trip, often after just a one gigabyte of daily use.

^{Holafly's vague FUP messaging around their 'extensive' data plans}

Airalo also offers unlimited data eSIMs in several destinations, and while their daily allowance is more transparent, a 3 GB cap before slowing down to 1 MBPS still feels far from “unlimited” for most travellers. Over 10 days, this is essentially a 30 GB plan.

^{Airalo's 3 GB daily limit doesn't feel very unlimited}

Always check the terms and conditions of your plan. Look for mentions of data caps, throttling, or fair usage. Check your provider’s website or customer portal for detailed usage reports and alerts when you approach your high-speed data limit.

Look for providers that clearly outline their policies and data thresholds. Check online reviews and forums (like Reddit) to learn from other users’ experiences. If you’re unclear, contact customer support for clarification.

Does unlimited data include unlimited hotspotting?

Having an unlimited data plan for hotspot and tethering is important for many users who want to share with friends and other devices.

However, not all unlimited plans include unlimited hotspot usage. It can vary widely by country and carrier. Some providers will limit hotspot use to preserve network integrity. Once this limit is reached, speeds might be throttled, affecting your ability to share your connection.

Holafly, for example, offers hotspots on their extensive data plans, but these hotspots are quite limited (500MB-1GB) .

^{Holafly limits your daily hotspot to 1GB or less.}

Always review your plan details and contact your provider to clarify hotspot availability.

Unlimited Data That Actually Feels Unlimited

Let’s be real—true unlimited data—whether bill pay or prepay—is rare. Most providers (yes, even the big names) hide behind vague fair usage policies or throttle your speed after just a few gigs.

At Sim Local, we do things differently.

We offer unlimited data eSIM plans in popular destinations like Japan, Australia, France, the UK, Ireland, India, and more. You’ll get up to 10GB of high-speed data per day—up to 10x more than other providers!

Need to hotspot from your phone to your laptop or tablet? No problem. Hotspot and tethering are included in your daily allowance. No special restrictions. And that’s standard across all Sim Local plans.

Questions? Our friendly support team is just a message away on WhatsApp.

Do I Really Need Unlimited Data?

Unlimited data can be great—but always check the fine print. Most “unlimited” plans come with a fair usage allowance, which is your real data cap over a set number of days. Once you hit that limit, speeds often drop dramatically.

France eSIM – 300GB for 15 Days EU Roaming

Lycamobile FR

300GB

$26.75

15 Days

Unlimited Local Mins

120 Intl Mins

Unlimited SMS Texts

27GB of Roaming Data Included, Unlimited Local SMS

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Best Value

In some cases, you're better off with a high-data plan that’s more transparent about what you’re getting. For example, compare this France 300 GB plan with Airalo's 3 GB daily usage threshold over 10 days.

That's 300 GB versus 30 GB. The 'limited data' plan actually offers 10 times more data!

8 ways to conserve mobile data

Whether your plan is unlimited or not, it’s wise to manage your data efficiently to avoid data outages or speed throttling. Here are eight ways to make the most of your data.

1. Connect To Wi-Fi Whenever Possible: Connect to Wi-Fi networks in your hotel or in public places to save your mobile data.
2. Track Your Data Usage: Regularly check your data usage through your provider’s app or website to stay within any high-speed data thresholds. Providers like Sim Local have an app you can download to track your data usage (with most plans) and even top up when you need to. 
3. Adjust Streaming Quality: Adjust the resolution or audio quality on platforms like YouTube, Spotify, and Netflix so it uses less data when you’re not connected to Wi-Fi.
4. Download Content for Later: Download videos, music, and podcasts while on Wi-Fi to enjoy offline without consuming mobile data.
5. Turn Off Background Data: Disable background data for non-essential apps to prevent them from consuming data without your knowledge.
6. Data-Saving Modes: Enable data-saving modes available on many smartphones and within certain apps (i.e. WhatsApp) to reduce data consumption.
7. Limit Hotspots: Use your hotspot sparingly and only when necessary, as it can quickly consume your high-speed data allocation.‍
8. Schedule Updates For When You’re Connected To Wi-Fi: Configure your phone to perform updates and backups only when connected to Wi-Fi.