In message , at 18:57:01 on
Wed, 4 Jan 2012, Charles Ellson remarked:
Most of the fall in costs has been due to competition, and facilitated
by new technology. Where there's no competition, the new technology is
still expensive.

Nonsense.

I refer the Hon Gent to remarks made about international roaming charges
(as just one example).

The word "cartel" very likely features.

I'm not so sure, because if one carrier reduced their rates I'm not sure
it would produce a flood of migrating customers (who mainly look at
domestic call costs).

Roaming charges are one of many activities on a mobile phone where the
cost of straying off a bundled package is extremely high. For example
one of my phones comes with 800 minutes a month, which represents less
than 2p/minute even if I send no bundled texts. But the 801th and
subsequent minutes cost 40p each. On a data bundle (different SIM) I get
20MB/data for 20p, but the 21st and subsequent MB cost an extra 20p
*each*.

MMS is another example - rarely bundled, and priced way above (typically
30p) what that amount of connectivity would cost within your bundle.

This form of pricing is endemic, and the operators clearly make lots of
money when these bear traps are triggered. They've all decided to do it
like this independently, not in consort.
--
Roland Perry