arstechnica.com — Introduced late last week to the US Senate, the Cell Phone Empowerment Act of 2007 would force cellular carriers to provide detailed coverage data while making it easier for consumers to opt out of their cellular contracts.
Sep 11, 2007 View in Crawl 4
b3nj4mSep 11, 2007
It's only due to cell companies' marketing tactics that it appears that cell phones are worth so much more than we pay. Sure, there won't be free phones any more, but a basic Nokia 6103 won't cost the $150 that they advertise on t-mobile.com.Competition = good
scornedpatriotSep 11, 2007
The first thing that will happen if this bill passes is the cost of the phones will go up. The phones themselves are subsidized by the fact that they have you for the time you signed the contract for. If the bill passes if basically says they can't subsidized the price of the phone with their contracts anymore. Expect phones to go up 150 bucks or more. The way the system has always worked is you can pay more for your phone up front and have less contractual obligation or you can agree to sign a 1 or 2 year contract and let them recover the cost of the subsidized phone over time. I worked for a major cellular provider for 2 years, and I just wish they were more upfront with customers and told them that's the way it actually works. Personally from all the screaming I had directed at me from when I worked in the industry I hope they do get rid of the subsidization and contracts altogether. Since working in the industry I've paid up front for my phones ever since and have been much happier.This bill will only do so much because the major of the public doesn't realize that the major carriers don't all use the same equipment; Verizon and Sprint at CDMA, and AT&T and T-Mobile are GSM. The devices would still only be compatible between the carriers that use the same base technology for service. However, Verizon also uses a proprietary OS for their phones too, good luck to you to get that to work with Sprint without a headache and some screaming.All in all I really can't see this bill helping anything as it's just more regulation that the government will then expand on at some point. Let the market sort things out and help the public be more educated on the topic./rant off
diggermanSep 12, 2007
Wireless companies have spent billions upon billions building their network. Why should they have to adhere to someone elses rules? It's not like taxpayer money went into building their networks.
sloppychrisSep 12, 2007
I need more than just anecdotal evidence when you tell me competition in any market is impossible. The current scheme of things exists because of regulation. One obvious example of potential competition is from Google, but the FCC refuses to allow it.
scornedpatriotSep 12, 2007
I remember when the RAZR first came out. AT&T was paying 700 U.S. Dollar per phone, and selling them for 499 Dollars. You're damn right they had a 2 year contract on you to recover the costs. Yes, Cells phones cost more money than you think. Those "free" phones the cellcos are pushing cost them roughly 150 bucks to buy. That is why they also push 39.99 a month and higher plans. It costs Cellcos roughly 25 bucks a month to provide service to a cellphone regardless of how much it is used on their network. They took a 150 loss on the equipment, and get you for 15 bucks a month times 24 months = recovered phone cost and a industry wide standard profit for providing the service. I an pretty much guarantee you that phone price will go up roughly 150 bucks immediately after this bill passes. The bill has the most Ironic name ever, Cellular freedom, Laugh, You're free now, you ca pay for the whole phone up front now, or subsidized its cost with contracts, that's about as free as you can get in the cell phone industry. Taking away the ability to subsidize the device TAKES freedom away, not gives it to you.
harrygoazDec 12, 2007
I hate cell phone companies but you can't live without a cellphoneJust bought a good one from <a class="user" href="http://www.reviewsofcellphones.com/sony-ericsson">http://www.reviewsofcellphones.com/sony-ericsson</a>