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Topic # 59806 13-Apr-2010 00:01
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Hey.

I was wondering, why does mobile data cost SO much more than fixed line data? like there's not really much difference apart from the fact that the connection has no wires... so should be cheaper for the ISP to maintain?

I dont know.

But what really gives them the right to charge us SO much, when really the bandwidth cant be costing them that much... 





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  Reply # 317574 13-Apr-2010 00:22
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I think you'll find mobile broadband networks are: complex, expensive to run and require large risky capital investment by investors who in turn require reasonable return on investment aka profit.

.... or put another way, just because you wish/imagine mobile broadband networks are cheap and easy to build/run it doesn't mean they are.

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  Reply # 317585 13-Apr-2010 00:51
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Mobile broadband is always going to be more expensive than fixed broadband, at least for a very long time anyway....

You can't just compare fixed line to mobile!!

What really gets me is the cost of broadband while roaming.....

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  Reply # 317590 13-Apr-2010 01:41
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Only recently, there was a news article stating that Vodafone is just about to slash mobile broadband prices, bring them closer to fixed line prices....

So you may get your wish...stay tuned.




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  Reply # 317601 13-Apr-2010 06:28
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An economist will tell you that its the extra utility that mobile offers compared to fixed. 
You perceive greater value in being able to move while using the service - and hence you would be willing to pay more for that privilege.

And mobile broadband/voice while roaming?  The cost of voice and mobile calls in hotels is what gets me.  Why doesnt the ComCom and/or OECD and/or EU do something about those?  Why should I have to find an internet cafe that charges very little when I want my hotel to charge me a decent (not exorbitent!!) rate?
Damned inconvienent. 
And worse still if I dont bother to read the charges and only find out the prices when I check out!

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  Reply # 317603 13-Apr-2010 06:33
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Bandwidth for mobile services is limited compared to that of fixed line so it will never be a true alternative. Because of this pricing will always be at a premium compared to fixed line.

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  Reply # 317623 13-Apr-2010 08:36
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sbiddle: Bandwidth for mobile services is limited compared to that of fixed line so it will never be a true alternative. Because of this pricing will always be at a premium compared to fixed line.



And if you can't get fixed line BB then your screwed or have to use dialup.  My son live  over the Auckland Northshore.  No broadband, Vector fiber runs rite past his door. Has perfect  Telecom 3G signal but way too expensive to use..  Mobile BB is about twice as expensive as it should be in NZ..




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Old3eyes


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  Reply # 317626 13-Apr-2010 08:40
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Interested in understanding how your calculations on how its 2x as expensive as it should be.

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  Reply # 317641 13-Apr-2010 09:21
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old3eyes:
sbiddle: Bandwidth for mobile services is limited compared to that of fixed line so it will never be a true alternative. Because of this pricing will always be at a premium compared to fixed line.



And if you can't get fixed line BB then your screwed or have to use dialup.  My son live  over the Auckland Northshore.  No broadband, Vector fiber runs rite past his door. Has perfect  Telecom 3G signal but way too expensive to use..  Mobile BB is about twice as expensive as it should be in NZ..


I think 8gb per month for $79.95 on telecom is not too bad really, yep it's more than ADSL but it's not wildly outside pricing for the good providers in OZ. I have put a lot of people onto it that can't get ADSL and struggle with dial up.

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  Reply # 317651 13-Apr-2010 09:49
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hamish225: Hey.

I was wondering, why does mobile data cost SO much more than fixed line data? like there's not really much difference apart from the fact that the connection has no wires... so should be cheaper for the ISP to maintain?

I dont know.

But what really gives them the right to charge us SO much, when really the bandwidth cant be costing them that much... 


One answer, Woosh. Wink 

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  Reply # 317667 13-Apr-2010 10:20
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nitrotech:
old3eyes:
sbiddle: Bandwidth for mobile services is limited compared to that of fixed line so it will never be a true alternative. Because of this pricing will always be at a premium compared to fixed line.



And if you can't get fixed line BB then your screwed or have to use dialup.  My son live  over the Auckland Northshore.  No broadband, Vector fiber runs rite past his door. Has perfect  Telecom 3G signal but way too expensive to use..  Mobile BB is about twice as expensive as it should be in NZ..


I think 8gb per month for $79.95 on telecom is not too bad really, yep it's more than ADSL but it's not wildly outside pricing for the good providers in OZ. I have put a lot of people onto it that can't get ADSL and struggle with dial up.


Yeah that's one of the plans which I think is good also

Considering, Total Home Lite with only 5gb through Telecom is 80 in main centres, 90 in others eh

$36 for main centres for phone rental $42 in other
+ $49.95 for 10gb plan
$85/91

So i reckon that's a fair price at the moment, although if they dropped it a lot more I wouldn't complain.  Just need a new laptop to actually use my t-stick in, back to Slingshot/Voda since the XT outages




I have moved across the ditch.  Now residing in Melbourne as a VOIP/Video Technical Trainer/Engineer. 

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  Reply # 317668 13-Apr-2010 10:22
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Kiwipixter:
hamish225: Hey.

I was wondering, why does mobile data cost SO much more than fixed line data? like there's not really much difference apart from the fact that the connection has no wires... so should be cheaper for the ISP to maintain?

I dont know.

But what really gives them the right to charge us SO much, when really the bandwidth cant be costing them that much... 


One answer, Woosh. Wink 



Hahaha, is that sarcasm?   You mean the fact they are undercharging for wireless pricing and going downhill faster than a rock in a quarry during a storm in Wellington?  I don't know judging by the other threads if another investor will come on board this year and prop them up.  They are just running at too large a loss




I have moved across the ditch.  Now residing in Melbourne as a VOIP/Video Technical Trainer/Engineer. 

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