Congratulations Americans, We Pay The Most For Cellphone Service

[grondramb]

http://consumerist.com/5335809/congratulations-americans-we-pay-the-most-for-cellphone-service

A new survey from the Organization for Economic Cooperation and Development (OECD) compared annual costs around the world for consumers who have cellphones (http://consumerist.com/tag/cellphones/), and the U.S. is in the top three for most expensive. How expensive? DSLReports notes (http://www.dslreports.com/shownews/Consumers-In-US-Canada-Pay-More-For-Wireless-103905) that "on average, the OECD found that Americans pay $635.85 on cell phone service, compared to $131.44 per year in the Netherlands or $137.94 per year in Sweden."

As you might expect, the wireless industry issued a press release proclaiming the study was based on "flawed assumptions" that "just don't make sense." If you look at the data the way carriers would like, you're getting quite the bargain. The CTIA does have a point that the OECD's usage categories seem low — particularly when it comes to MMS use. Another reason U.S. prices seem high? Carriers charge a hell of a lot of money for service. They also spend millions on lobbyists who tirelessly work to eliminate consumer protections and price controls.

A counterpoint would be that one reason cell phone service is expensive is that in comparison to land lines, cell phones are reasonable.

But with VoIP there should be cost pressure downward.

[d-dub]

I pay more than $137/month for a frikking landline, and I don't even use it :(

[grondramb]

I pay more than $137/month for a frikking landline, and I don't even use it :(

Wow - that really, really high.

[Philosofy]

Do European governments subsidize cell service?

[Marc]

I pay more than $137/month for a frikking landline, and I don't even use it :(

Wow - that really, really high.
Yeah, what's up with that?

Our landline is somewhere in the neighborhood of $40/month. (It's in a bundle package with our FiOS TV, so it's a bit tricky to separate out given combined discounts.)

[doom1701]

I'm not going to dig through the study, and the article was extremely light on facts. I have to wonder, though, if this takes into account:

1. Data Service--everybody these days has some sort of data service (and don't even get me started on what iPhone users are paying). There's no way that the European countries listed are doing unlimited 3g data with unlimited talk and texting at essentially $12 a month (at least not without government subsidies).

2. Coverage--we Americans (for the most part) like our space. But we like 3+ bars in that space. What kind of coverage does Sweden really have in those big empty areas full of yodelers?

3. Coverage, Part 2: the US is considerably larger in land mass than Europe (not counting the Russian territories--we're about even if you throw those in). Does a cell phone user in Sweden get coverage at no extra charge in England? Can a cell phone user from Italy roam freely in Finland? I can hop a plane to California and I know that, when I land, I'll have full cell phone service.

[Faerie]

We also sometimes (usually?) pay less for the hardware. Most cell phones abroad are not subsidized, are they? Those Nokia and Sony Eriksson phones that are so popular in Europe are very pricey.

[grondramb]

Those are all good questions/possible factors, Doom.

[heySkippy]

Woo Hoo, we're number one!

[busyba]

So much for "free" speech. :D

[pgogborn]

Speaking from the U.K there are so many carriers and tariffs it is very hard to do comparisons but a couple areas where I think U.S. customers have been or are at a disadvantage.
In the U.K. no carrier/plan charges or has ever charged for incoming text messages
In the U.K no carriers pre-pay / pay-as-you-go credits are time limited (useful if you have a phone as a back-up; 'reserved' for incoming calls etc)


There is no government subsidy - last time radio spectrum was auctioned by the government the treasury received £22 billion.

[betamax]

I pay more than $137/month for a frikking landline, and I don't even use it :(

That's nuts! Do you have lots of extra bells and whistles on it that you can turn off?

I pay less than that for cable, internet and phone combined!.

[bryce1012]

I'm not going to dig through the study, and the article was extremely light on facts. I have to wonder, though, if this takes into account:

1. Data Service--everybody these days has some sort of data service (and don't even get me started on what iPhone users are paying). There's no way that the European countries listed are doing unlimited 3g data with unlimited talk and texting at essentially $12 a month (at least not without government subsidies).These are averages. Sure, the Europeans aren't getting unlimited data/text/etc for $12/month -- but then, we're not getting unlimited data/text/etc for our $50/month, either.

You may well have a point regarding coverage, though.

[d-dub]

I pay more than $137/month for a frikking landline, and I don't even use it :(

That's nuts! Do you have lots of extra bells and whistles on it that you can turn off?

I pay less than that for cable, internet and phone combined!.

It's a "standard" package that includes voicemail, caller id, etc. It's crazy, and we're trying to decide what to do with it. We've kept it in case the kids need to call 911 when we're not home... but they're not with us much anymore, and they all have cell phones now. We may just drop it, or replace it with google voice, or something like that.

[doom1701]

I'm not going to dig through the study, and the article was extremely light on facts. I have to wonder, though, if this takes into account:

1. Data Service--everybody these days has some sort of data service (and don't even get me started on what iPhone users are paying). There's no way that the European countries listed are doing unlimited 3g data with unlimited talk and texting at essentially $12 a month (at least not without government subsidies).These are averages. Sure, the Europeans aren't getting unlimited data/text/etc for $12/month -- but then, we're not getting unlimited data/text/etc for our $50/month, either.

You may well have a point regarding coverage, though.

I think I still have a point about service level, too. You're correct--these are averages. But do people in other countries choose to have advanced services to the extent that Americans do? For example, if 50% of Americans have some high end data/texting plan, do the same percentage of Europeans have a similar plan?

[pdhenry]

Dunno about Sweden, but the coverage in (South)Western Europe blows US coverage away. Full bars in the middle of nowhere in Italy and Switzerland IME.

BTW, Vonage still costs me under $20/month. Of course you need to factor in the cost of broadband somehow, but since we'd have cable internet anyway the incremental cost for vonage is just what it is.

[TheIndependent]

my cell phone bill last month was $277, land line was like $80. stupid phones!!

[IndyJones1023]

I pay more than $137/month for a frikking landline, and I don't even use it :(

That's nuts! Do you have lots of extra bells and whistles on it that you can turn off?

I pay less than that for cable, internet and phone combined!.

It's a "standard" package that includes voicemail, caller id, etc.
Sounds like a call to your congressman is required. My land line is in the $30 range per month. To be charged 4x that sounds like price gouging.

[d-dub]

That's nuts! Do you have lots of extra bells and whistles on it that you can turn off?

I pay less than that for cable, internet and phone combined!.

It's a "standard" package that includes voicemail, caller id, etc.
Sounds like a call to your congressman is required. My land line is in the $30 range per month. To be charged 4x that sounds like price gouging.

Man, I don't know what I was smoking... that's nowhere near what we pay for the landline... it's more like $60/month for the landline. Now that I've had a martini, I'm thinking clearer ;)

[DougF]

I will only spend between $60 and $80 this year on cell phone service. All we have is a pre-paid that my wife usually carries and it only requires $10 every other month. We're not cell phone people

[InigoMontoya]

2. Coverage--we Americans (for the most part) like our space. But we like 3+ bars in that space. What kind of coverage does Sweden really have in those big empty areas full of yodelers?
It can't be any worse than the Western US. In this neck of the woods, two weeks ago we had a fatality because a woman who was traveling considered having a cell phone as a viable emergency plan. She got stuck. Ooops, no coverage. Her 11 year old son died of dehydration before they were found a few days later by a park ranger.

[pgogborn]

What kind of coverage does Sweden really have in those big empty areas full of yodelers?I have asked around and I can not find any yodelers in Sweden complaining about coverage ;)

[gregor]

Doom has some great points. Considering the size of the US, building out cell networks is dramatically more expensive than building one in Sweden or some part of Europe.

Would you pay dramatically less for a phone that just worked in PA and the surrounding states? I would, and I'd be happy with paying roaming charges otherwise, but that's not gonna happen. My iPhone costs $75 a month or so, and in a normal month I might make 20-30 minutes worth of calls. It's mostly a data device for me.

[JETarpon]

2. Coverage--we Americans (for the most part) like our space. But we like 3+ bars in that space. What kind of coverage does Sweden really have in those big empty areas full of yodelers?


Aren't the yodelers in Switzerland?

[JETarpon]

It can't be any worse than the Western US. In this neck of the woods, two weeks ago we had a fatality because a woman who was traveling considered having a cell phone as a viable emergency plan. She got stuck. Ooops, no coverage. Her 11 year old son died of dehydration before they were found a few days later by a park ranger.

I'm considering getting one of these, since I routinely fish in areas where there are bears, rushing 40 degree water, and no cell phone coverage. I'd think it might be a good idea in your neck of the woods, too.

http://www.findmespot.com/en/

[InigoMontoya]

I'm considering getting one of these, since I routinely fish in areas where there are bears, rushing 40 degree water, and no cell phone coverage. I'd think it might be a good idea in your neck of the woods, too.

http://www.findmespot.com/en/

Yeah, we've been considering getting one of those for about 2 years now. At this point I don't think it's an "if" but rather a "when" we pull the trigger on one.

[grondramb]

I'm considering getting one of these, since I routinely fish in areas where there are bears, rushing 40 degree water, and no cell phone coverage. I'd think it might be a good idea in your neck of the woods, too.

http://www.findmespot.com/en/

My only concern about the Spot is it doesn't seem to send any location data until the distress signal is sent. While that is good for privacy, if you are in a storm area you likely won't get a GPS signal so your contacts will only get a message that you are in danger somewhere.

It would be nice if it had a tracking mode to use on camping trips etc so at least your last position before you lost GPS could be reported.

[Spire]

I pay about $10 per year for cell phone service.

[InigoMontoya]

My only concern about the Spot is it doesn't seem to send any location data until the distress signal is sent. While that is good for privacy, if you are in a storm area you likely won't get a GPS signal so your contacts will only get a message that you are in danger somewhere.

It would be nice if it had a tracking mode to use on camping trips etc so at least your last position before you lost GPS could be reported.

That goes against my understanding of how it works.

As I understand it, anytime you push one of the buttons it sends your GPS coordinates to the service. What happens next depends on which button you pushed.

If you pushed the "check in" button, your coordinates are uploaded to a webpage where your "base camp" can check your progress with your time/date stamped locations overlayed on Google Earth's maps.

If you push the "send help" button, your coordinates get included in an email that gets sent to designated email addresses (presumably friends/family back home).

If you push 911, then they get sent to... Well, 911.

Primary point being that EVERY time you push a button your GPS coordinates get sent. Thus, even if you lose your GPS signal, they should have a pretty good idea of where to come looking for you based on your previous check ins (you did use 'em, right?). But even if no GPS signal is ever sent, it's still useful.... In the case that brought up this line of discussion the people weren't reported missing for several days after they apparently got in trouble. With such a "beacon," at least the rescue party starts looking for you NOW and not 3 days from now.

[grondramb]

My only concern about the Spot is it doesn't seem to send any location data until the distress signal is sent. While that is good for privacy, if you are in a storm area you likely won't get a GPS signal so your contacts will only get a message that you are in danger somewhere.

It would be nice if it had a tracking mode to use on camping trips etc so at least your last position before you lost GPS could be reported.

That goes against my understanding of how it works.

As I understand it, anytime you push one of the buttons it sends your GPS coordinates to the service. What happens next depends on which button you pushed.

If you pushed the "check in" button, your coordinates are uploaded to a webpage where your "base camp" can check your progress with your time/date stamped locations overlayed on Google Earth's maps.
.

I didn't realize there was a check in button - that does sound worthy.

[JETarpon]

I'm considering getting one of these, since I routinely fish in areas where there are bears, rushing 40 degree water, and no cell phone coverage. I'd think it might be a good idea in your neck of the woods, too.

http://www.findmespot.com/en/

My only concern about the Spot is it doesn't seem to send any location data until the distress signal is sent. While that is good for privacy, if you are in a storm area you likely won't get a GPS signal so your contacts will only get a message that you are in danger somewhere.

It would be nice if it had a tracking mode to use on camping trips etc so at least your last position before you lost GPS could be reported.

TRACK PROGRESS: Also known as SPOTcastingSM, this feature allows friends and family to follow your progress in real time using your password, or to save waypoints so you can review your entire route at a later date.

CHECK IN: Also known as SPOTcheckingSM, this feature allows you to let your SPOTteam ? the friends and family you have chosen as your contacts ? know that all is well, notify them of your location, or save waypoints so you can review your route at a later date.