Making sense of cellphone costs
By Ellen Roseman, personal finance columnist, Toronto Star(Listen to the original audio)When you look at people you see in public places, they all seem to be talking on cellphones. Those who aren’t talking are sending emails or text messages, snapping photos or canada goose outlet online uk listening to music they’ve downloaded. But contrary to popular perception, Canada lags most of the developed world in canada goose outlet uk wireless adoption. Just 60 per canada goose outlet in vancouver cent of Canadians canada goose outlet edmonton own a cellphone. In other industrial countries, 90 per cent canada goose parka uk of the population canada goose outlet orlando is a more common benchmark.The cost to use wireless phone and data services here is significantly canada goose outlet ontario higher than elsewhere in the world. Let’s start with the fact that we have only three national wireless phone carriers, Bell, Rogers and Telus. They compete aggressively on features, but not on prices. In canada goose outlet toronto factory fact, they love to advertise low rates and load on extra fees.Canadian average users lead the world in paying canada goose jacket outlet uk for surcharges, such as the notorious “system access canada goose outlet reviews fee.” Only in Canada, you say?These unadvertised surcharges make canada goose outlet uk fake a $40 cellphone plan end up costing $90.It’s even worse for heavy users canada goose outlet jackets in Canada, who spend almost 20 per cent of the monthly cellphone bil on long distance charges. American heavy users spend a canada goose parka outlet mere 4 per cent monthly on long distance calls.Let’s also remember that Canada’s three national telecom carriers count Canada Goose Outlet on their wireless divisions for the lion’s share of their profits. Since they’re publicly traded, they’re asked to meet ever increasing expectations each quarter by canada goose outlet sale investors canada goose outlet florida and stock analysts.The most closely watched metric of all canada goose outlet real is the average revenue per user, said a study by the Seaboard Group last canada goose outlet in chicago year. That’s why canada goose outlet online store review the Canadian service providers charge long distance and roaming charges that are higher than most other Western countries, and have canada goose outlet toronto unilaterally slapped levies on consumers.That could change now that Ottawa is auctioning off more wireless spectrum to new competitors. But it won’t change quickly.Until another wireless carrier emerges, Canadians will see more of the same high wireless phone and data prices and lower than average rates of penetration.Posted: 2008/06/10 at 12:11 PMAs an ex pat United Stater living in Canada (and desperately awaiting my landed status) I was shocked by the additional fees and costs associated with our family cell phone use. Since all members of the family do a fair bit of travel, we needed plans which worked with canada goose outlet boston our hectic business and private lifestyle. After getting two consecutive family plan bills over $400 (advertised rate $80, no over minutes) we switched.To a US cellular plan which has no roaming or long distance canada goose outlet belgium anywhere on North America. Our monthly costs are down to only slightly over our former advertised rate. Payment is a minor hassle, but saving more than $150 average every month more than makes up for it.Posted: 2008/06/10 canada goose vest outlet at 2:31 PMThe fact that Rogers is (now) the only GSM provider is also holding us back. Not only is canada goose outlet in montreal it the international https://www.canadagoosejacket-outlet.ca standard, but CDMA cellular plans from Bell or Telus end up costing significantly more when travelling abroad as one is forced to “roam” rather than just purchase canada goose outlet montreal a local SIM card canada goose outlet nyc for close to nothing. Add that on to the fact that the government has waited so long to do anything means that we as consumers are losing out while the oligopoly of mobile phone operators in Canada are raking in record profits every quarter. Free market anyone.
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