In much the same way as some firms try to pass on savings to customers, mobile phone networks look set to pass extra costs on to certain consumers. A study by Informa Telecoms & Media, entitled Global Mobile Roaming: Business Models and Forecasts in the Evolving Environment, has found roaming price levels for non-Europeans …
They really do think we're morons
"mobile operators [...] will increase the wholesale prices they charge non-European operators [...] to compensate for the loss of revenues resulting from the new European price caps."
Have people forgotten the sudden threefold increase in price back in 2000 or threabouts?
Being based in France, I'm a user of a French mobile. I travel occasionally to the UK and thus find myself subject to roaming charges.
I remember being charged approx 2.00FF/minute (that was 20p give or take - remember, this is before the euro became currency over here) to make calls within the UK. The next year I was there, I made a 40-minute call for which I was expecting to pay about 80FF. I ended up with a 240FF item on my bill because the cost calls made while roaming had been increased to 6.00FF/minute. Nowadays it's 1.00€/minute to place calls and about 0.30€/minute to receive them.
So, what could have been behind that massive increase in roaming charges 6 or 7 years ago? Was it justified in terms other than greed?
I doubt it. Why? Because I gave the cellco hell when I got the bill, and they reimbursed me 200FF. They would have refused to give me the money back if the price was driven purely by real cost.
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