Cell phone carriers getting worse?

[Desiato]

A merger between the new entrants would not have changed things. The pricing of the new carriers is low only to entice new customers. It is not sustainable while growing. Based on their existing business models, they are unable to find investors to build better networks.

Look at the public financial reports. Bell, Rogers and Telus have tens of billions of dollars of debt. They can borrow money to build networks because they have a sustainable business plans. They take big risks and earn a lot of profit for their shareholders.

I'm not saying I like the big 3, and I hate to defend them, but at the same time, I believe the media loves to target them because it's easy (ad) money. No one like paying bills, and there's enough anecdotal evidence to get consumers riled up.

IMO, if mobile users in Canada were really being as reamed as is often suggested, investors would be lining up to build up companies like Wind because it'd be easy money.

 

[draemn]

Honestly, I think there is something kind of like price fixing going on... I feel like all of the big three have agreed not to stir up the pot too much with pricing and all have similar priced plans. But I also think a lot of people just assume cell towers in Canada are as cheap to build as in many places in Europe. It's just simply not. We might have most people living in cities, but our density is still lower and that increases cost of infrastructure. The problem with your idea of companies lining up to build another wind mobile is flawed though. Not only is it (regulatory) difficult to get approval to start a new wireless company, but it is also very very very expensive to build the initial infrastructure. Telus/Bell and Rogers have spent over a decade building up their towers and such. Any new company basically gets stuck on the "build some towers in the city, rent access from the big 3, twiddle thumbs as we spend tons of money building more and hoping we'll have the customer base to pay it off."

 

[Eluder]

A merger between the new entrants would not have changed things. The pricing of the new carriers is low only to entice new customers. It is not sustainable while growing. Based on their existing business models, they are unable to find investors to build better networks.

Look at the public financial reports. Bell, Rogers and Telus have tens of billions of dollars of debt. They can borrow money to build networks because they have a sustainable business plans. They take big risks and earn a lot of profit for their shareholders.

I'm not saying I like the big 3, and I hate to defend them, but at the same time, I believe the media loves to target them because it's easy (ad) money. No one like paying bills, and there's enough anecdotal evidence to get consumers riled up.

IMO, if mobile users in Canada were really being as reamed as is often suggested, investors would be lining up to build up companies like Wind because it'd be easy money.

Bingo, this is really it. Right from the start, I knew the new entrants weren't here to stay. Their business model was seriously flawed and just won't work in a small market such as Canada. You can't grow your business and build a proper network with ARPU so low unless you can gather millions of customers into your base, it's just not sustainable. The big 3 have made big changes for the better when it comes to pricing, sure it's not as competitive as Wind/Mobilicity, but you are getting a better network, better service, LTE, etc, so you're going to pay a premium for it. Is it worth it? Well to me, it is, I would never switch to one of the new entrants since their networks just aren't there and clearly won't improve to the point of where they will fit my needs.

 

[b1lk1]

I'll take my lower data plans from Koodo ANYDAY over any of the big guys who lock you up into a contract. Only thing you have to do when you cancel Koodo is pay your tab. The big guys will also make you pay for your phone, and then they have a nice large cancellation fee too.

 

[Sagath]

I'll take my lower data plans from Koodo ANYDAY over any of the big guys who lock you up into a contract. Only thing you have to do when you cancel Koodo is pay your tab. The big guys will also make you pay for your phone, and then they have a nice large cancellation fee too.

Or, just buy your unlocked phone, and go where you will, when you will, with whomever you want. All without changing your number.

(That last point is probably the only good thing the CRTC put into place in its existence)

 

[av3n]

Or, just buy your unlocked phone, and go where you will, when you will, with whomever you want. All without changing your number.

(That last point is probably the only good thing the CRTC put into place in its existence)

That's one thing I'm grateful for, porting is quite painless. On the other hand it doesn't stop Rogers charging you $100 for a "cancellation fee" even though your contract already expired...

 

[Eluder]

Never seen that, though you have to give 30 days notice when porting, other than that, you shouldn't be charged some $100 cancellation fee if you contract is expired.

 

[moocow]

CRTC just blocked Telus' take over for Mobilicity. Now 'experts' are saying they will likely go under.

Ottawa blocks Telus takeover of Mobilicity - Business - CBC News

 

[draemn]

I love this, I was charged $5 x2 for phoning #2030 from my cell phone because when I tried to phone my credit card company I got a message saying I needed to phone that to get their new number to call them... Seriously this should be illegal to get charges like this without being told that you'll be charged for the service. This #2030 was some sort of directory service that gave me a number to phone. Weird thing is today I used the same number to call my credit card company no problem (to complain about this #2030 thing)

 

[normandheine]

I don't know about services rather than G3. I think they charges descent rates on long distance calling and roaming to all the countries. We can enjoy PIN-less dialing plus LOW international rates to call to anywhere. Recharge as needed or enroll in Auto Recharge (so you'll never run out of funds)