This Morning I read an interesting press-release for the site Broadband Choices. The Title of the release was “Is Pay As You Go Mobile Broadband a giant step backward” and for ease’s sake I have copied it here for you to read…
In studying and comparing pay as you go broadband plans and one of my favorite consumer choices websites Broadband Choices, an odd remembrance came to me. Vodafone, O2 and 3 all offer pay as you go mobile broadband on a per unit cost basis.
This means that you connect to the Internet at a rate of approximately 15 pounds per gigabyte of download. For light users this creates a savings of approximately 50%. For heavy personal and business mobile broadband users this represents the potential to pay triple the contract rate.
So what was this on remembrance? It was the early days of the Internet connection by means of dial up. In those days in the mid 1990s we accessed the Internet via now familiar portals such as AOL and Prodigy. In order to use the connections and graphic user interfaces of these portals one paid by the minute for time spent online. True growth of the Internet did not occur until AOL and other portals began to offer flat rate unlimited usage. In the United States all plans and options for mobile broadband include unlimited usage. For some reason UK suppliers refuse to give up these few pence of profit.
When one considers that mobile broadband coverage from many of the United Kingdom’s suppliers only approaches 80% availability in the UK, it becomes clear that England’s mobile broadband providers will need to lower prices and improve the service if they hope to compete with the convenience of ADSL.
Of course the use of a contract with say an un-capped download limit far outweighs having a Pay As You Go Mobile Broadband dongle – but lets approach this wish a different much more unbiased feel.
Sure a contract is pretty essential for any form of heavy mobile broadband usage, say for instance whilst travelling – the curse of every business person around the world having to travel which is awful and then adding to that the stress that comes with working and using a mobile broadband signal which perhaps not always works!
Being a young person myself – im fully aware at how easy it is to be stung by any form of ‘contractual agreement” between oneself and a provider, several times since I have taken out a mobile phone contract I have unfortunately had to cancel the direct debit as my ability to pay has dropped due obviously to several factors! As I said earlier the benefits to a contract – such as the ability to have essentially unlimited minutes, texts, or on the flip side unlimited data usage far outweigh a pay as you go ability, but lets look at it this way…
A Pay as you go system essentially for a single person, who perhaps moves house every so often is perfect, you simply have the ability to move jobs and can easily track how much money you spend on your device. A contract ties you in financially and inability to pay can be very costly (bad credit rating etc) Equally with a Pay as you go feature you can drop the provider you have very easily (not paying) and move over to a ‘better provider’ be that signal or… Modern contracts are generally in the 18-24 month variety so it means you cannot change provider till your term is up.
Its not a step backward its great that companies still provide a cost effective, manageable scheme for users.
There it is, my few thoughts on the press release for Broadband Choices.