Shamed In Super Bowl Ads, Verizon Introduces Unlimited Data Plans (theverge.com) 172
A surprise announcement Sunday revealed that tomorrow Verizon will begin offering introductory plans with unlimited data.*
* Customers "will get full LTE speeds until they reach 22GB of usage," reports The Verge, "after which they'll be subject to reduced data speeds and de-prioritization."
An anonymous reader writes: Other carriers have similar limits. "For Sprint it's 23GB. T-Mobile has a slightly higher threshold of 26GB... AT&T matches Verizon at 22GB," reports The Verge. Verizon says their cap is "to ensure a quality experience for all customers... While we don't expect to do that very often, network management is a crucial tool that benefits all Verizon customers." The $80-a-month plan also includes hotspot tethering -- up to 10 gigabytes -- and "includes 'HD' video as opposed to the 480p/DVD-quality video that T-Mobile One customers get by default."
In a Sunday YouTube video, the head of Verizon's wireless effort says customer interviews found "Some of the heavier users of data -- the power users -- had data anxiety." But it's still a surprising move. Engadget reports that in the past Verizon "frequently tried its hardest to discourage unlimited data users," but today is "facing stiff competition from T-Mobile, which engineered a dramatic comeback in recent years and upped the ante by making unlimited data standard through the One plan."
Verizon's pricing was also targeted heavily last week in a barrage of Super Bowl ads by both Sprint and T-Mobile just last Sunday. T-Mobile showed a masochistic woman calling Verizon just to enjoying hearing about the overages, taxes and fees she incurred by exceeding her data limit, while Sprint showed a man who was trying to escape his Verizon contract by faking his own death.
* Customers "will get full LTE speeds until they reach 22GB of usage," reports The Verge, "after which they'll be subject to reduced data speeds and de-prioritization."
An anonymous reader writes: Other carriers have similar limits. "For Sprint it's 23GB. T-Mobile has a slightly higher threshold of 26GB... AT&T matches Verizon at 22GB," reports The Verge. Verizon says their cap is "to ensure a quality experience for all customers... While we don't expect to do that very often, network management is a crucial tool that benefits all Verizon customers." The $80-a-month plan also includes hotspot tethering -- up to 10 gigabytes -- and "includes 'HD' video as opposed to the 480p/DVD-quality video that T-Mobile One customers get by default."
In a Sunday YouTube video, the head of Verizon's wireless effort says customer interviews found "Some of the heavier users of data -- the power users -- had data anxiety." But it's still a surprising move. Engadget reports that in the past Verizon "frequently tried its hardest to discourage unlimited data users," but today is "facing stiff competition from T-Mobile, which engineered a dramatic comeback in recent years and upped the ante by making unlimited data standard through the One plan."
Verizon's pricing was also targeted heavily last week in a barrage of Super Bowl ads by both Sprint and T-Mobile just last Sunday. T-Mobile showed a masochistic woman calling Verizon just to enjoying hearing about the overages, taxes and fees she incurred by exceeding her data limit, while Sprint showed a man who was trying to escape his Verizon contract by faking his own death.
Bull shit (Score:3, Informative)
So the unlimited plan is NOT unlimited. Filthy lying bastards.
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It's unlimited, but once you hit the threshold of 22GB, they throttle your speeds. Same as T-Mobile, and a huge improvement over the overage charges.
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It's unlimited, but once you hit the threshold of 22GB, they throttle your speeds.
Then it is not unlimited. The FTC really should ban these companies from using such blatantly misleading terms.
Re: Bull shit (Score:3, Insightful)
The data is unlimited, not the speed. No FTC required here.
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The data is unlimited, not the speed.
That is sophistry. If the speed is limited, then obviously the data is as well.
No FTC required here.
The word "unlimited" has a common, everyday meaning that is understood by nearly everyone. Advertisers should not be allowed to make up a new meaning that is basically the opposite.
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The word "unlimited" has a common, everyday meaning that is understood by nearly everyone. Advertisers should not be allowed to make up a new meaning that is basically the opposite.
Exactly, I don't see why the FTC allows carriers to advertise limited plans as "unlimited".
Let them call them "high-limit plans", like they are. They can even call it "Super-mega-ultra limit" if they want to, but letting them advertise "unlimited" plans that have limits just dilutes the word "unlimited", and it will spill over into other areas.
"Unlimited miles with every car rental! (limited to 100 miles at full speed, afterwards car will be limited to 15mph unless customer pays 25 cents/mile "full-speed" s
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I think most people understand that unlimited means within reason. Unlimited coffee refills doesn't mean it's served from a firehose. And even if they did you'd complain that it was being served from a 1.5" hose instead of 2", because 1.5" is still limited!
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If the speed is limited, then obviously the data is as well.
The word used is "unlimited", not "infinite". Obviously, you can't use more than (line speed * time). This means roughly ~31TB monthly on a 100Mbit connection.
Anything below that, allowing some natural congestion, is an artificial cap, and thus shouldn't be labelled as "unlimited".
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Ultimately, there is a limit imposed by physical laws, but we don't ban anyone from using the term unlimited due to such restrictions. Similarly, in this context, the amount of data transferred is only limited by speed, and not by any inherent limit in the amount itself. The term is perfectly fine for those who understand English.
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Ultimately, there is a limit imposed by physical laws, but we don't ban anyone from using the term unlimited due to such restrictions. Similarly, in this context, the amount of data transferred is only limited by speed, and not by any inherent limit in the amount itself. The term is perfectly fine for those who understand English.
Thus, unlimited = unlimited speed (-natural congestion and system load) and volume of data transferred, until data transferred > $LIMIT; then unlimited = limited speed (-natural congestion and system load) and volume of data transferred
Understood, and us techies get it. To the commoner, though, it would seem that they have word play to work with and DO (probably just to win, even though they don't need to).
When they get unlimited = unlimited speed and data transferred (-natural congestion and system loa
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Then what would qualify as "unlimited"? Because LTE speeds aren't infinite either. No mobile phone technology has the ability to provide unlimited bandwidth?
I think a reasonable criticism is that they're not using the word "unlimited" in the same sense that T-Mobile is (who will allow LTE access over the soft-limit, but will deprioritize your data when the tower is congested), and perhaps there needs to be a common definition. But it is unlimited in the consumer sense of "I will always be able to use data, and not worry about overages."
Agreed. It would be nice for everyone to hear "limitation = lower priority when tower is congested, but not all of the time". Then they have nothing to bitch about unless they have a problem with heavy data usage, which we would all love to hear an explanation of. :)
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They're "unlimited" plans. This started in a time where many plans would charge you $50 for going over your data limit--and many still do throw $10 or $30 charges at you the minute you go a byte over your limit. These plans let you run data forever, but will throttle after exceeding a high-speed allotment.
If they say "unlimited high-speed data", they're lying unless you can run at max 24/7.
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This FTC? They're not doing anything about this in the next four years.
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With T-Mobile, I was paying $69/month for unlimited voice and text, including a $5/month add-on for 2GB high-speed data.
I switched to Ting, which bills by usage, and frequently paid $40/month for using more than 100 minutes and text messages. Used 375-900MB of data (data saver was off on that last one) so paid $10 for data. Still cheaper than T-Mobile directly.
I recently switched to Mintsim. $199/year plus 3% regulatory fees ($6) means I pay $205 each year up-front and get 12 months, unlimited voice,
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T-Mobile also sells pre-pay. I'm an anti-social nerd so I have the "Walmart" $30/month plan that includes 5GB of 4G data (unlimited 2G), unlimited texts, and only 100 minutes of talk. I typically spend an additional $5-$15/month on minutes for a total worst-case of $45/month + tax. My wife uses hardly any data, but does a lot of talking. We avoided smartphones and did the unlimited talk and text plan for $35, but last year her old flip phone died and I couldn't find a decent replacement so we got her a Moto
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The Mintsim 5GB plan is $300/year or $25/month. It's not that much more, although you're sucking extra minutes. I bought into the 3-month deal to save money and to test if I wanted to keep this carrier first, because I'm not investing in a year if it's going to be shit-quality; so far it's been as decent as Ting or T-Mobile.
Verizon has a network just as good as T-Mobile's. Some areas of the country are absolute shit on Verizon; others are absolute shit on T-Mobile. The carrier of choice depends on wh
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Verizon has some frequencies that are lower and penetrate obstacles better. In urban areas and on highways everything is about equal, but if you end up even slightly out in the country (and in the Philly area that happens surprisingly fast... Amish in no time), Verizon ends up being much more dependable. I personally don't care, but I could not recommend T-Mobile to my contractor friend, who frequently ends up in basements and travels outside of urban areas to pick up supplies (quarries, reclaimed wood, etc
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I've frequently suggested people buy a GSM repeater for about $250 if they have that issue, largely because it's happened to me in situations where I can sometimes flicker Edge on and off and catch LTE+ for 1 bar in the right spot. Paying $200/year versus $800/year kind of makes that economical.
You would think HOAs would want to add on-pole towers for major carriers so as to maximize cell phone signal, but mostly they just all buy Verizon or AT&T or whatever already works there. Weird because the car
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"Hi I'm Bob your contractor, can I just plug this contraption in upstairs since I'm too cheap to have a phone that works?"
Yeah... I don't think that would work for him. He writes it all off anyway.
For your own house, sure. But plugging it in at clients' houses is not really practical. Plus it doesn't fill in the dead spots on the road.
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"Writing it off" means you pay 70%. You tell the IRS that's not income, and they don't tax you on it.
Contractors show up with shitloads of equipment, and they want to plug it in all over the house. What's one more piece of equipment?
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Why are you fixated on one relatively small part of the problem? Even if he were comfortable asking homeowners to let him plug in network devices in areas of the house he's not necessarily working in, it still wouldn't help the rural/industrial area coverage problems.
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The stated problem was that the contractor goes into a basement and signal goes away, whereas Verizon has frequencies that penetrate better. That problem is actually understated: modern building practices for new and retrofit construction are using up to 8 inches of insulation cladding, often foil-faced, along with radiant barriers in the roof; these can be effectively opaque to cell phone signals, and so the problem will likely increase in the future.
If you live in an area where T-Mobile doesn't have d
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The stated problem
That was only half of the stated problem. The other was coverage in remote areas.
But I'll try again to help you understand why plugging in an adapter wouldn't be practical. For his work crews, sure, maybe one of the guys could bother the homeowner with a doo-dad. For his work crews, the guys frankly don't need to be using their phones very much - they are on the clock. But for "Bob", he's popping in to the various crews over the course of the day. He needs to be reachable by clients at all times, and he isn
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You're doing a lot of "why you can't," and I do a lot of "how do we get around that?"
As I said: for those areas where you actually have coverage, the basement thing is easily-resolved by a repeater. When Bob pops in to see his work crews, there will be a repeater if they've set up a repeater, so proposing that they could do that but then that he won't have signal when he gets there is ludicrous.
Further, work crews working in areas without electricity use air or electrical tools powered by a portable ge
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so proposing that they could do that but then that he won't have signal when he gets there is ludicrous.
Depending on the work crew to have the same repeater that you need is what is ludicrous. Roughly a 1 in 3 chance - and that's assuming that they'd even be bothered... I've never been asked to hang a repeater and I suspect it is not a very common practice. He's not supplying his crews with phones and he's sure as hell not giving them all $300+ repeaters just to save $30/month on a phone bill. Payback period of 30 months or so is not very cost-effective.
Further, work crews working in areas without electricity use air or electrical tools powered by a portable generator.
They often use batteries now. If they do have a generato
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If they limit you after 22GB then by any definition of the word it isn't unlimited.
Only if the context of the "unlimited" claim includes "unlimited bandwidth". Which, of course, is absurd because of technological constraints. Since bandwidth is inherently limited, some kind of rationing needs to be applied. "Unlimited" clearly refers to total bytes transferred, and the claim is completely true. We don't know how Verizon will market this, but T-Mobile is very transparent about how the bandwidth is rationed.
ISP's used to call there limited plans unlimited but customers rightly complained and because we have real competition in the market as soon as one ISP created an actually unlimited plan all other ISP's where forced to follow suit or be left behind.
Not true. From the "3" website:
Eh sorta. No overage charges, not infinite speed (Score:2)
Well sorta. I have a similar plan (though with much less than 22GB, and at much lower cost.) There is no "limit" per se - it won't stop working, and there will be no charge for going over. It does get slower if I use more than the x GB I get at high speed. It's NOT "unlimited high speed data", it's "unlimited data, and 22GB at high speed".
Half of this makes perfect sense. If you have a family-style dinner, everyone gets a plate before anyone gets "seconds". You don't take four or five pieces of chicken u
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Half of this makes perfect sense. If you have a family-style dinner, everyone gets a plate before anyone gets "seconds".
If there's not enough for everyone to make a plate and get enough to eat, then it doesn't matter what rules you make. Ultimately, at least some people are going to go hungry.
Yes, resources are not unlimited (Score:2)
True, there's no such thing as unlimited resources, but of course you knew that already.
As far as "go hungry", I see there are plenty of beans, potatoes, and 3G casserole left, so you don't have to leave hungry just because you would have preferred a (fourth) chicken wing.
More specifically, radio channels have bandwidth (Score:2)
It may be interesting to note here what one of the finite resources *is*, as it points to a clear solution.
Suppose a wireless carrier had unlimited money to spend running 10Gb fiber lines to each tower, so the wired infrastructure was unlimited. What *is* limited, if we're willing to spend unlimited money, to pay $5,000/month for LTE data service?
"Bandwidth" is a term that predates computers. It means literally the width of the frequency band a system operates on. For example, a particular wireless carrier
Infinite speed? Advertised and/or merchantable (Score:2)
It's advertised as not having a monthly data cap, nobody sais it's infinitely fast, that you can download the whole internet in less than a milisecond.
Would you propose that a cell phone which downloads at 10Gbps all month can't be advertised as an unlimited data plan?
Now that we've got two ridiculous ideas out of the way, what *is* the minimum speed they have to provide? There are three possibilities, depending on how they advertise it.
The simplest would be if they guaranteed a certain speed. Of course th
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Give us dumb pipes! (Score:3, Insightful)
Re:Give us dumb pipes! (Score:4, Insightful)
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AD shaming (Score:5, Interesting)
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Some of these anomalies are in the public interest, but others involve the rather fascist activity of powerful corporations lobbying the government to do their will.
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I think you've got it. I remember a lot of "Brand X" advertising, esp'ly detergents & other commodities that are all more or less the same. Tide doesn't want to mention, well, any other brand. And it works. ATM I can't think of another brand.
So, I don't think it was ever a gov't regulation. Also, I would imagine mentioning a specific brand could open a company up to litigation in some manner.
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Detergents aren't all more-or-less the same. Powdered detergents clean better than liquid; liquids have more fragrance, but less color-safe bleaching agent and brightening agents. Gain's powdered detergents significantly out-perform every other well-known detergent on the market, and Tide holds a place above Arm and Hammer and other cheap generics. The new pod-style detergents are high-performers, with Tide frequently leading that particular market: they can incorporate powder and liquid in one pre-met
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I think you've got it. I remember a lot of "Brand X" advertising, esp'ly detergents & other commodities that are all more or less the same. Tide doesn't want to mention, well, any other brand. And it works. ATM I can't think of another brand.
So, I don't think it was ever a gov't regulation. Also, I would imagine mentioning a specific brand could open a company up to litigation in some manner.
I know, right? When I see commercials comparing their product to another, that's pushed rationalization. It makes me curious about this other product that they are trying to overcome because, hell, it takes at least a commercial to do it, right? I then want to check out this other product. I think that's Human. Reverse logic is only effective if the person is oppositional, and we haven't come out with multiple commercials tailored to each personality type yet. I trademark that, BTW. :)
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A few years ago it wasn't very common but in recent years they they have started doing it all the time I suppose to begin with they were concerned about being sued but then after they started doing it they just had so much fun everyone else joined in.
Probably about 15 years ago.
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"Your doctor went to school and trained for an absurdly long time and will know a lot better than you what meds you need, but fuck him! This is America! You want alexetrolium damnit! Look at how happy these people walking in slow motion are! That could be you! Tell Dr. Asshole you want alexetrolium now!"
And then we wonder why we pay so much for healthcare...
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Yep. I've discussed similar with people, and seen comedians incorporate that stuff into their acts. The malady that is being treated must be a real sob to deal with to put up with the side effects.
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Yep. I've discussed similar with people, and seen comedians incorporate that stuff into their acts. The malady that is being treated must be a real sob to deal with to put up with the side effects.
I find it disgustingly humorous how every single medication to "help treat depression" has a known side effect percentage chance (per test group, of course) of development of suicidal tendencies. Well, I guess that gets rid of your depression..?
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And, I mean, if you don't suffer from the condition, of course you're not going to be susceptible to the ads.
Look, if the ads didn't really work, why the hell would big pharma be running superbowl ads? They hate money?
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No? What you described and what is allowed in the US are vastly different versions of each other. Drug companies ARE allowed to advertise their offerings, but they aren't allowed to claim they are recommended by doctors and must include all of the side effects, etc. Most drug commercials ere are depressing reminders for those of us who don't suffer from such conditions.
I thought it was more of a "go see your doctor about product x", because the doctor gets a nice little bonus on the side (hush hush, you) for handing out samples and talking people into how great something is, until it's not so great anymore, then they can disavow all knowledge of their initial recommendation. Now I'm curious. I want to go to a slimy doctor who's in bed with the pharma, then check my records a few months later and see if they even mention the recommendation in them. *zips off*
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So let's talk a little bit about psychiatric care.
I don't see a lot of TV ads, but I do read a lot of stuff online and try to probe my doctors and psychiatrists for information. They can tell me what's dangerous; I tend to target things I can use chronically and overdose on without harming myself as a matter of risk control, and otherwise have to be very clear on the proper protocol of handling e.g. amphetamine, Welbutrin, or Ambien because that shit's actually dangerous. For comparison: Amphetamine w
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I always thought it was interesting that you can mention another product by name in a TV spot here in America. It is actually illegal in some other countries. You can't name a competitor directly. So most of the time you are left with references to a white box with a generic label like"Product X" or similar. The way they talk about it though, usually makes it clear which other company they are referring to. American advertisers do not have to go through such a loophole.
If you pay attention, most of those US commercials that compare Brand A to Brand B are actually comparing two products owned by the same conglomerate. They get a double bang for their buck on those kinds of ads because it tends to make people think that their only two options are A and B and either way that conglomerate picks up a sale. At least this is the case with household chemicals, diapers, etc
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I always thought it was interesting that you can mention another product by name in a TV spot here in America. It is actually illegal in some other countries. You can't name a competitor directly. So most of the time you are left with references to a white box with a generic label like"Product X" or similar. The way they talk about it though, usually makes it clear which other company they are referring to. American advertisers do not have to go through such a loophole.
I don't believe there is any law, just a fear of lawsuits. It is risky but it depends on the context. Presumably Superbowl ads are vetted by an entire team of lawyers.
IIRC, one of the ads was along the lines of "99% of the coverage for significantly less cost". Hard for Verizon to find an argument worth litigating there. The difficult thing to prove (which network is superior) is admitted to be an advantage to Verizon. The claim is on the easier thing to prove (price). If Verizon litigated, they eit
UNLMITED* *limited (Score:3)
'unlimited' data plan.
This is especially bullshit because they HAD an unlimited data plan years ago and have spent the entire time since trying to kill it.
They're just freaked out that T-Mobile is now cheaper AND has a better network.
How much? (Score:2)
ATT and tmobile ovver low cost unlimited plans what will Verizon charge?
Market Forces (Score:2)
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Articles should fix inaccurate titles. (Score:2)
Thanks to a certain member of the US government, whose name I won't mention, the media is starting to realize they need to better fact-check the claims they are reporting. It's one thing to that someone said a thing. It's another to report that the thing is true (unless it's been verified as true). Fixing a headline doesn't require that much work. For example, instead of titling this "Verizon Introduces Unlimited Data Plans", it could be re-wored to "Verizon Advertises New Plan As Unlimited Data". There is
The large print giveth... (Score:2)
Wife and I live in the boonies; satellite is slow and unreliable--but we do get a Verizon 4G signal. So... cancel satellite and just tether the phone?...
They say 1 line $80/mo Unlimited...
But...then...they tell you a little more... [comments in brackets are mine].
4G LTE only. We may manage your network usage to ensure a
quality experience for all customers [we will oversell it], and may prioritize your data
[no net neutrality] behind some Verizon customers during times/places of network
congestion [we will
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Yup, because without those subsidies and reugulations, coverage in areas with lower populations (much less landlines) would CERTAINLY be better and cheaper, because market forces.
TLDR: Shitfuck, Nebraska has services of most any kind because of government, not the free market.
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The free market keeps Verizon competitive when upstarts that do not cover quite as unprofitable rural area begin to cut into their botto
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Customers on the veritable last mile should have essential services whether they are are profitable or not, but that would certainly fall far from being described as ridiculous regulation. Nonetheless, paying for additional towers in BFE and Shitfuck, NE so that people can download data to sketchy 3G service probably encourages companies like Verizon to attempt cap limits.
The free market keeps Verizon competitive when upstarts that do not cover quite as unprofitable rural area begin to cut into their bottom line.
I think you've got it but you're missing a leg to the logic... The up-front cost(s) of getting land allowance, setting up a hut, raising a tower, and getting electricity to it are the costs that are set at whatever they are (unless negotiable). Allowing for more bandwidth requires (possibly, depending on the installation) more panels on the tower, more bandwidth delivered by directional beam from another location or utility-based landline upgrade of speed, or both. The cost is usually fixed per month on
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They probably actually *can't* make it profitable. If the raise the prices, fewer will be willing to pay for it.
The problem with this is that they accepted money to provide the services, and planned from the beginning to not deliver. So any argument based on the idea that they telecom companies are at all trustworthy is clearly flawed.
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In some cases, people aren't willing to pay the real cost. If it costs $20k in up-front investment per customer (laying fibre to every house can easily cost that, mobile phone masts can be cheaper) and will need that to be upgraded every 20 years, then you need to charge over $100/month to make up the up-front cost and the interest on the loan, before you factor in any running costs.
In other cases, it's because companies have finite resources. If you have $100K to invest in infrastructure improvements,
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Comment removed (Score:5, Insightful)
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Also, it just doesn't make sense to have "free market" infrastructure. Free markets imply a low barrier to entry, allowing new upstarts to compete. Now think about roads, for example. How many different roads systems does it make sense to have? And no, I'm not asking how many different roads we should have, but different road systems. To make it more clearly, how many different roads should you expect to connect directly to your driveway? The answer is "one", at least under most circumstances.
You can
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Re:Theoretically (Score:5, Insightful)
Now, if you want to build a log cabin on the top of a mountain, fine, maybe you're fine with no connection to the modern world. But a number of people live out in the "middle of nowhere" because their work requires a lot of open space in the "middle of nowhere". You know... like farming. Those are the 1% that feed the rest of the 99%. I think we can reach some reasonable compromise that ensures reasonable free market competition while still ensuring our farmers and ranchers, and those that support them, have access to technology and services everyone else takes for granted without being bankrupted in the process.
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People who live on a farm can buy satellite internet access. It's quite affordable. There's no reason for us to subsidize them. [reviews.org]
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Of course that's affordable! If it's to be considered a cost of living in the boondocks, then the prices of your fruit and vegetables will have to rise a tiny bit to pay for it. But the average family farm probably earns $5000/month if not much more, so $125 extra would increase food prices by at most ~2%, and probably much less. Whatever the effect, the market would take care of it quite nicely, with no need for special government subsidies and the corruption that frequently comes with them.
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And I'm sure your property value and property taxes reflect your access to services. If they don't, then you overpaid for your home. I live in literally the most expensive home market in the US and have the taxes to go with it. I have reasonable access to broadband and wireless. You want to switch?
This isn't rocket science. It's why homes in urban areas cost more, and why the property taxes in urban areas higher. You are paying for the infrastructure offered by the urban area. And yeah I know this isn't the
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And I'm sure your property value and property taxes reflect your access to services. If they don't, then you overpaid for your home. I live in literally the most expensive home market in the US and have the taxes to go with it. I have reasonable access to broadband and wireless. You want to switch?
This isn't rocket science. It's why homes in urban areas cost more, and why the property taxes in urban areas higher. You are paying for the infrastructure offered by the urban area. And yeah I know this isn't the only factory in home costs and taxes, but it's a big factor.
You're doing "that thing". I don't think that someone who is looking for a home, given the situation they're in or what's going on at the time, always thinks to call telecom companies to ask if service is prime in their area or not. Besides, companies lie to get your business.
Related to that, if I were to call ATT and Cincinnati Bell (the providers I use), they can both say they have service in the area. Caveat - it's hilly and ATT has four towers within range of the home I live in. It can barely find a
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I guess I don't have a good idea whether you are an anomaly or whether the problem is generalized. I'd like to see a broadband speed vs. property tax / home value chart.
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You know... like farming. Those are the 1% that feed the rest of the 99%. I think we can reach some reasonable compromise that ensures reasonable free market competition while still ensuring our farmers and ranchers
And you know? With the property taxes I pay for my urban home, you'd think that the farmers and ranchers could set aside some of their land for me to hike and fish and swim and ride motorbikes on, huh?
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You see, the free market fixes that too. Not having cell phone service would be a possible minus for people deciding to move out into the middle of nowhere; they might instead decide, "I want to live in civilization. Maybe I should pay slightly more to get a home somewhere a little more urban." Regulating cell phone companies to serve places with low population density is like telling restaurants, "If you're going to have a location in the city, we're going to require you to also build a location in every rural area within 50 miles." What do you think would happen? Your choice of restaurants would become very limited. Some would say "oligopolistic." That's what has happened to cell service. The government has created artificial barriers to entry and everyone (except those who are in rural areas and companies that can afford to comply) loses.
You are very right but that also, on the other side of the proverbial coin, allows another company to set up service in that area and nab all of the business, creating a mental image in peoples' minds that the company providing the service is the "savior". Even if their service sucks, it's more than nothing. That company wins all business in an area. If another competitor moves in, they can offer an upgraded service that is beyond the competitor's "we're here" snatch'n'grab of previously "enslaved/trappe
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I dunno, it seems to me that at least in the case of the wireless industry, you have Verizon trying to make its services available where few people go in order to prove that it is providing a premium service for a premium price, while T-Mobile is trying to prove that it can provide the same services at a lower price.
Seems like good ol' fashioned competition to me.
Regulation, in many cases, does the opposite. Patents and copyrights are basically a form of regulation, with the former often inhibiting new, dis
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Surely they should be called Paulicans, no?
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Please, they wouldn't have otherwise as the expansion is now relatively cheap BECAUSE OF SUBSIDIES. You don't think they're paying 100% out of pocket for this shit, do you? Even the Berniecrats are more pragmatic than you Paultards.
And where do these subsidies come from? Oh that's right, they tax it from the carrier. Sure, the carrier passes that cost on to you, but ultimately what's the difference? Every company ultimately passes its taxes on to its customers.
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And absent cartels and monopolies as well - the free market is essentially a prisoner's dilemma between corporations, where 'defecting' is 'cutting your price'. That means that the Nash equilbrium is low, but collusion and cooperation means the corporations can routinely get a better profit by agreeing to keep their prices high (at the expense of consumers).
Diamonds and oil are well known examples of large organizations being quite capable of agreeing to keep prices high, to avoid a competitive spiral.
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Diamonds and oil are well known examples of large organizations being quite capable of agreeing to keep prices high, to avoid a competitive spiral.
Except there's tons of evidence that OPEC members cheat on their quotas [jstor.org] as soon as prices rise. This is pretty much what you would expect from greedy members: first lie to the other members' faces and then grab as much of the excess profit as you can.
I think this is what's mistaken about the modern claim that because competitive entities are sociopathic, they must be restrained from outside. The counter-claim is that multiple sociopathic entities competing against one another to satisfy demand restrain each
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Nice try, but the ideal market does not exist in the real world. Some markets are more "ideal" then others but none are perfect. As a result, government has to impose regulations to ensure the market is as close to ideal as possible. At this point capitalism can do its thing and optimize for efficiency. Without said regulations the market does not balance, corruption and/or monopolies emerge, and consumers are generally screwed.
Regulations should be minimized but never removed entirely. I personally
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The problem with that is regulatory capture. It should be illegal for anyone who has ever worked for a regulatory agency to take money or other emolument in any capacity from those they regulated. Perhaps it would be reasonable to allow them to continue to collect a retirement plan that they had qualified for a few years before they became a regulatory, but I don't know....this whole area is so corrupt that even that smells like bribery to me.
Re:Theoretically (Score:5, Insightful)
What is true, though, is that competition is a powerful force, and as long as that is kept reasonable/fair and free of anti-competitive forces, it can be harnessed to produce very positive results. Competition provides impetus for improvement and efficiency, where a noncompetitive market does not (and tends to lead to stagnation, arbitrary price increases, poor quality, and such).
Why this is important is that you need laws and regulations to make sure that the market is free and fair. Regulations can do things like make sure that weights and measurements are right (so you're not being cheated) or that companies aren't doing underhanded things to try and force competitors out of business or otherwise conspiring to scam the consumer (price fixing, cartelization, etc). That doesn't mean that every regulation is good, especially if they're being written by the competitors (regulatory capture), but they're not inherently evil either.
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But you also need enforceable and enforced anti-corruption laws on the regulators. And they should constrain what the regulators are allowed to do or accept after they leave office as well as while holding it.
Ha! Do you remember 2 years ago? (Score:5, Insightful)
Two years ago AT&T tried to buy out T-mobile for way more than the market value of the company. Why? To get rid of the competition of course! Who stopped them? THE GOVERNMENT.
Thanks to government we have competition!
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ridiculous regulations
I hope you don't count "You can't dump toxic sludge from your factory into the local river" as "ridiculous."
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I hope you don't count "You can't dump toxic sludge from your factory into the local river" as "ridiculous."
The enforcement of property rights is not regulation. You have every right to use your own property as you please, but others have exactly the same right—implying that you do not have the right to use their property without their permission. If you dispose of your pollutants in such a way that they end up harming others' property, including but not limited to their bodies, then you have infringed on their property rights and owe the victims redress. This is not some arbitrary regulation regarding how
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I'm paying $65-$75 per month for two phones with plenty of data via Project Fi. So far the service is also excellent. You were saying something about all prices being the same?
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I'm paying $65-$75 per month for two phones with plenty of data via Project Fi. So far the service is also excellent. You were saying something about all prices being the same?
I have Fi and love it, but it's not in the discussion for the level of data usage people are discussing here--your "plenty of data" is about 4GB/mo split between 2 phones ($20 for the first phone's voice/text, $10ish for the 2nd phone, leaving about $40 to reach your $70ish total).
The post you were responding to was talking about 100
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"if there was truly a free market, one of them would have the fucking balls to say "here's 100gb fast-as-we-can-deliver for less than the other guys' 10-25. enjoy!""
Do you think there is no cost to offering 100GB plans? Do you think they are holding back because they don't like you? With that logic, you might as well say the car companies are screwing us by not offering brand new $500 Cadillac. Or Starbucks sells us coffee for $5 that is a penny's worth of water. If you really believe that, but stock in Tel
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Wired connections are cheaper and faster! But since they aren't available this is the best we can get!
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It's not a matter of people being angry over a matter of $20 a month to get superior service. Here are some of the more rational issues...
1.) Instead of throttling once a data cap has been reached, Verizon does overage charges...except they changed that recently, but you have to ask for it...
2.) Verizon requires locked bootloaders to sell phones through their retail locations, and are the only provider with this requirement.
3.) Verizon is the slowest to provide updates to Android phones.
4.) Verizon installs
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I started on Slashdot many years go, back when I was making $100,000 a year and my IQ was 165. Now I make less and have started blogging on Reddit. Junk food and the stress of poverty have reduced me to taking fashion tips from Paula Dean, and cooking from Honey Boo Boo's mom.
By leaving Slashdot, I suppose I've lowered the quality on both websites. Until I make more money, I should probably stay away.
My sincerest apologies
That Guy