Why Your Phone, Cable & Internet Bills Cost So Much

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MachineGhost
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Why Your Phone, Cable & Internet Bills Cost So Much

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In his new book, The Fine Print: How Big Companies Use 'Plain English' to Rob You Blind, Pulitzer Prize-winning reporter David Cay Johnston highlights these astounding facts:

    Americans pay four times as much as the French for an Internet triple-play package—phone, cable TV and Internet—at an average of $160 per month versus $38 per month.
    The French get global free calling and worldwide live television. Their Internet is also 10 times faster at downloading information and 20 times faster uploading it.
    America has gone from #1 in Internet speed (when we invented it) to 29th in the world and falling.
    Bulgaria is among the countries with faster Internet service.
    Americans pay 38 times as much as the Japanese for Internet data.

Since the mid-1970's when Ma Bell was cited as holding a monopoly over phone service, Americans have been told more competition would lower their phone bill. But the promise of lower prices has actually led to higher prices, says Johnston.


http://finance.yahoo.com/blogs/daily-ti ... 14030.html
"All generous minds have a horror of what are commonly called 'Facts'. They are the brute beasts of the intellectual domain." -- Thomas Hobbes

Disclaimer: I am not a broker, dealer, investment advisor, physician, theologian or prophet.  I should not be considered as legally permitted to render such advice!
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smurff
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Re: Why Your Phone, Cable & Internet Bills Cost So Much

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I'm ready to move to France!
TripleB
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Re: Why Your Phone, Cable & Internet Bills Cost So Much

Post by TripleB »

smurff wrote: I'm ready to move to France!
Think about how much cheaper the Fries will be, buying them directly from the source instead of having to ship them overseas.
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Re: Why Your Phone, Cable & Internet Bills Cost So Much

Post by Pointedstick »

That's if you buy French fries. I prefer the Freedom fries which are cheap as hell here in the U.S. of A!  ;)
Human behavior is economic behavior. The particulars may vary, but competition for limited resources remains a constant.
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Re: Why Your Phone, Cable & Internet Bills Cost So Much

Post by dualstow »

I prefer Boyd & Blair potato vodka. Damn, that's smooth.
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dragoncar
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Re: Why Your Phone, Cable & Internet Bills Cost So Much

Post by dragoncar »

The article doesn't really explain... it seems to imply that this is a problem of bill presentation rules?  Seems more likely a combination of collusion and the fact that our population density is far lower.
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k9
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Re: Why Your Phone, Cable & Internet Bills Cost So Much

Post by k9 »

Actually, one internet operator here in France fought to propose a very cheap internet + TV + phone offer. Before they arrive on the market, it was typical to pay 60 € for internet + 25 € for TV + 50 € for the non-mobile phone. Then they came in with their own telecom infrastructure and modems and proposed it all as a pack for 30 €. Many internet providers knew the joy of bankrupt the year after.

Recently, they came on the mobile phone market too. Prices here were very expensive before that. Now, for 45 € (something like 50 -55 $ I guess), you have unlimited internet access + unlimited phone + unlimited TV + unlimited mobile phone.
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Pointedstick
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Re: Why Your Phone, Cable & Internet Bills Cost So Much

Post by Pointedstick »

k9 wrote: Actually, one internet operator here in France fought to propose a very cheap internet + TV + phone offer. Before they arrive on the market, it was typical to pay 60 € for internet + 25 € for TV + 50 € for the non-mobile phone. Then they came in with their own telecom infrastructure and modems and proposed it all as a pack for 30 €. Many internet providers knew the joy of bankrupt the year after.

Recently, they came on the mobile phone market too. Prices here were very expensive before that. Now, for 45 € (something like 50 -55 $ I guess), you have unlimited internet access + unlimited phone + unlimited TV + unlimited mobile phone.

Looks like good old fashioned competition and market forces win the day again. I see rumblings of that happening here in the USA; Republic Wireless for example is offering a $20 a month smartphone service that looks pretty good.

Just as a point of comparison, right now each month I pay $52 for 25/5 internet and $55 for a smartphone plan with 40 minutes and 200 mb of data. I'd love to downgrade my internet in particular. I don't need 25 down, but the next step down is nearly as expensive with much much slower speeds.
Human behavior is economic behavior. The particulars may vary, but competition for limited resources remains a constant.
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murphy_p_t
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Re: Why Your Phone, Cable & Internet Bills Cost So Much

Post by murphy_p_t »

how 'bout the taxes added to fund "Obama phones"?

https://www.youtube.com/watch?feature=p ... pAOwJvTOio
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Re: Why Your Phone, Cable & Internet Bills Cost So Much

Post by blackomen »

smurff wrote: I'm ready to move to France!
I thought the overall cost of living in France is higher than the US, right?  At least that was my impression when I visited a few years ago, even with the Euro around $1.30 at the time (about the same as now.)  I only bought food, lodging, and train tickets mostly.
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