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"is this like the Verizon mi-fi?"
I guess it might be, but I've not researched that. I will say that it's a lot faster than what you're describing. I'm seeing bursts of 5-8 mbps and up.
However, it's based on loads. If you are near a cell tower where another user is peer to peer sharing a bunch of movies or you are in peak usage times such as drive time, it's slower too.
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