If Per Byte Pricing Is 'Only Fair' Why Have Telcos Ditched It For Mobile Data Plans?

from the hypocrisy-in-action dept

For the past couple of years, telcos and cable companies have been pushing for metered broadband, usually with the bogus claim that "it's not fair" for a light user to be subsidizing a heavy user. This is a neat little disingenuous trick that implies "light users" would see their bills decrease under metered billing plans. However, the same telcos pushing for metered broadband on connections are the same telcos who have wireless operators as well... and for mobile users, they're doing away with the metered billing option at the lower end, forcing everyone into a much higher priced all-you-can-eat model. Oops. Metered billing has nothing to do with fairness. It's an attempt by telcos to squeeze more money out of customers in a market where they often have little in the way of competitive options. Because, as we've seen, when there's real competition, it's a lot more difficult for providers to offer such plans.

Filed Under: metered billing, metered broadband, telcos


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  1. identicon
    russell cole, 22 Oct 2009 @ 1:28pm

    well said

    I wish you had written more about this subject. these companies are concerned with 'fairness,' only insofar that fairness is the most profitable policy for the company to adopt. in other words, 'fairness' is simply a convenient marketing package. it is no different than google's 'do no evil,' policy. it is absolutely meaningless, apart from convincing people into thinking that google would never intentionally deceive them when it comes to privacy policies and such.

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