Saturday, September 5, 2009

Are we paying too much for cell service?: MSNBC

By Dan Richman
msnbc.com contributor
updated 8:57 a.m. ET Aug. 27, 2009

Do Americans overpay for cellular service?

Six consumer-oriented organizations answered a forceful "yes" in a July federal filing with the Federal Communications Commission. Backing their assertions is an international study concluding Americans pay the world's highest cell phone rates. And a U.S. senator is examining whether text messaging is priced out of line.

The cellular industry is vigorously refuting assertions it's anticompetitive, in pricing or other respects.

"It's not business as usual for the cellular industry," said Charles Golvin, a principal analyst for Forrester Research. "A number of vocal inquiries are being raised these days about many issues: handset exclusivity, phone applications, messaging prices and pricing in general."

Paul Orchard, 33, a self-described "cellular power-user" living in Seattle, said he sees American cellular service as reasonably priced overall, but limited.

"I've researched it thoroughly, and even though good prices can be found, some aspects of our service aren't as good as elsewhere in the world," he said. "Most countries charge only for outgoing calls, not incoming calls, and some allow minutes to be bought and sold by individuals. Our service is less flexible, which makes it not as good a deal."

For more on this article, please click on the following link: Are we paying too much for cell service?: MSNBC

No comments: