Verizon Wireless: Unlimited Data Not 'Sustainable'
This argument is old and tired.
This isn't the first time he has banged this particular drum. This line has been used time and again to justify rate changes/increases to "better charge the customers actually using data." What you don't see, however, is a corresponding decrease in data charges for customers not using as much data. Whether you examine the food industry, the cable industry, telephony or cellular, you don't see decreased rates for low use customers. The all you can eat model of the many customers supporting the few has worked in the past and continues to work for now and in the future. What Verizon and AT&T are facing isn't an unsustainable business model, but a decrease in profit margins as they use the revenue from data to actually upgrade the data capa...
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I completely agree and I also stated the point of low usage customers not paying any less then what they do now in another post.
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also, considering they are going to try and make the networks 1,000 times more efficient, there really seems to be no reason to charge so much and even worry about people hogging the network. i guess now it might seem reasonable. but Kagehiru did say it best. i guarantee there will probably no options less than $30/month when they start doing a pay-per-use system. so no benefit or reward for the data sippers.
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most companies already have a 10 or 20 dollar option for limited internet. The problem is that devices are becoming more and more powerful. as a culture, we consume mobile content more than almost any other culture in the world
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"The problem is that devices are becoming more and more powerful. as a culture, we consume mobile content more than almost any other culture in the world "-Menno
This is true, however this should also come as a surprise to nobody. At least, to nobody working in a field as future oriented as communications. There are 10 and 20 dollar options available, but look at what you get for it. 25 megs, 75 megs... Then compare their $60 offerings and figure the price per megabyte. You can bet Solomon's left .. that carriers are going to continue to charge exorbant rates at the low end where the profit reigns supreme. Mind you, I'm not opposed to profit- I like it, a lot. I do think it undermines their public stance on data consumption, though....
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This is true, however this should also come as a surprise to nobody. At least, to nobody working in a field as future oriented as communications. There are 10 and 20 dollar options available, but look at what you get for it. 25 megs, 75 megs... Then compare their $60 offerings and figure the price per megabyte. You can bet Solomon's left .. that carriers are going to continue to charge exorbant rates at the low end where the profit reigns supreme. Mind you, I'm not opposed to profit- I like it, a lot. I do think it undermines their public stance on data consumption, though....
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Of course more powerful data phones have exploded over the past few years, but so has the monthly charges. What was a $15 data or no data user, is now dropping $30 per month for data. And when people rarely or didn't text at all, are getting unlimited texting packages. So more money is flowing in. I just think the carriers and not just VZW need to upgrade their infrastructure with profits and not just going on merger fests.
Recently I read that there are new deployments of EVDO Rev. B, you don't see the CDMA carriers in the US implementing this, I even think you would get voice data at the same time if they did.
Recently I read that there are new deployments of EVDO Rev. B, you don't see the CDMA carriers in the US implementing this, I even think you would get voice data at the same time if they did.
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Menno said:
most companies already have a 10 or 20 dollar option for limited internet. The problem is that devices are becoming more and more powerful. as a culture, we consume mobile content more than almost any other culture in the world
Menno,
I think the europeans and japanese use more data and have been for sometime, and if not, we have caught up, and now the carriers are seeing weakness.
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no, europeons use nowhere close.. check out their plans.. Most of their data plans are 500mb or less
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I would be fine with a flat rate charge of $7 per GB used on my phone. That way the price would break even to most plans out there.
I would even include tethering with that.... to start out.
I still like the idea of throttling the usage at first.
I would even include tethering with that.... to start out.
I still like the idea of throttling the usage at first.
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This forum is closed.
