Roland Tanglao's Weblog

Yes, cellphone fees are a r*poff in Canada compared to both the USA and Europe and data fees even more of a ripoff. Go oligopoly go! NOT!

FROM globeandmail.com: High fees prompt Canadians to leave cellphones on hold (article will go behind paywall; Globe and Mail please change this misguided policy.)

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The report breaks the market into three categories of users. The high-end business user, who uses 1,200 minutes of voice plus data monthly, pays 150 per cent more than a subscriber in the United States.

The average user, defined as someone using 500 minutes a month, pays a 33-per-cent premium. And the light user, someone who keeps the phone packed away most of the month and spurns add-on features such as voice mail and call display, actually comes out ahead, paying 27 per cent less.

However, Canadians pay more in all three categories when compared with Europeans, the report said.

“Canadians aren't tech laggards, as has been suggested in recent discussions on the country's state of wireless phone competition. Instead, they are rational economic beings. Canadians hesitate to buy cellphones or to hit the send button on a cellphone knowing full well the cost at the end of the month will be breathtaking,” it said.

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