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rradina

join:2000-08-08
Chesterfield, MO

reply to jseymour

Re: "Duopoly Power?"

I think it depends on what "phone service" is. If folks are using Skype or FaceTime for voice and various non-SMS apps to send text messages, then that's all over the data connection.

I think the carriers sense that change is afoot and before long, very little voice and SMS will be used.

At some point, "phone service" will be "data service".

openbox9
Premium
join:2004-01-26
japan
kudos:2

said by rradina:

At some point, "phone service" will be "data service".

I've said it before...the new "MB" is the old "minute"


tshirt
Premium,MVM
join:2004-07-11
Snohomish, WA
kudos:3
Reviews:
·Comcast

reply to rradina
So the only question is why charge different amounts for different devices?
each plan device should have the same monthly base fee, plus however much data it can suck up.
But this is marketing, fancy smartphone users accept that their 'exclusive' phone SHOULD cost more, and so should service.



tshirt
Premium,MVM
join:2004-07-11
Snohomish, WA
kudos:3
Reviews:
·Comcast

reply to rradina

said by rradina :

]At some point, "phone service" will be "data service".

And logically this is a step toward "bring your own device" to any carrier and pay a (relatively) small monthly account fee ($10-25) for each device and a high rate for data useage.


djrobx

join:2000-05-31
Valencia, CA
kudos:1
Reviews:
·VOIPo
·Verizon Wireless..
·RoadRunner Cable
·AT&T U-Verse

reply to tshirt

said by tshirt:

So the only question is why charge different amounts for different devices?
each plan device should have the same monthly base fee, plus however much data it can suck up.
But this is marketing, fancy smartphone users accept that their 'exclusive' phone SHOULD cost more, and so should service.

Non-phones don't need the unlimited talk & text. Smartphones need a higher price for the larger subsidy.

I'm not sure what the $20 laptop base charge is about. I have seen cell company subsidized laptops before, maybe it's meant to apply to those.

I can wrap my head around the base charges. The data is completely outrageous though. $50 for 1GB? We should be getting 5GB of shared data for that price.
--
AT&T U-Hearse - RIP Unlimited Internet 1995-2011
Rethink Billable.


tshirt
Premium,MVM
join:2004-07-11
Snohomish, WA
kudos:3
Reviews:
·Comcast

2 edits

Some tablets are just oversized phones, and can handle text or at least VoIP/talk.
and this isn't about the phone price.

The data high charge represents the really cost of maintaining and adding cells/towers not just in the city but along highways which may have a couple high use periods, but then sit at less than capacity the rest of the time.

And yes there is a high margin, like any hot product, with high spoilage. (you are paying for the time/data transmission they can't sell too)



AVD
Respice, Adspice, Prospice
Premium
join:2003-02-06
Onion, NJ
kudos:1

said by tshirt:

The data high charge represents the really cost of maintaining and adding cells/towers not just in the city but along highways which may have a couple high use periods, but then sit at less than capacity the rest of the time.... (you are paying for the time/data transmission they can't sell too)

whether the towers are at 1% or 100% there is no incremental cost. Of course there is a cost if the tower is at 120-150%, but even this should be built into the base fee.
--
--Standard disclaimers apply.--
The preceding posting is null and void in Arizona and any other jurisdiction where prohibited by law.


tshirt
Premium,MVM
join:2004-07-11
Snohomish, WA
kudos:3
Reviews:
·Comcast

said by AVD:

said by tshirt:

The data high charge represents the really cost of maintaining and adding cells/towers not just in the city but along highways which may have a couple high use periods, but then sit at less than capacity the rest of the time.... (you are paying for the time/data transmission they can't sell too)

whether the towers are at 1% or 100% there is no incremental cost. Of course there is a cost if the tower is at 120-150%, but even this should be built into the base fee.

look at it this way.
If the tower cost 100,000 unit and it brings in 10 unit of traffic per hour during peak times, but off peak it only generates 1 unit.

Then the tower that is busy 24/7 gets paid off, much faster than the tower that is busy 4 hours a day on weekdays only.

worse, the technology equipment needs upgrades every few years, so you have a limited number of hours to recoup the investment and earn a profit.
So even if there is little direct hourly cost, every hour has a value that must be somehow be recovered during the limited asset lifetime.

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