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Wednesday, August 18, 2010

Unlimited Internet means just 1GB at O2

James Rosewell writes:

Yesterday I received the following text message from O2: “You’ve gone over your data allowance on your mobile. You need to cut down or get a bigger Bolt On to keep using the internet.” I thought this was strange as I’ve an unlimited data bolt on applied to my O2 UK contract so I decided to telephone O2 customer services to find out a little bit more. Here’s what happened.

Apparently my mobile internet would continue to work and the message actually meant I’d fallen foul of O2’s fair usage policy. There’s a team of people who monitor usage and send out these text messages. As my usage is normally 800MB per month and I’d reached 1.3GB in the last month I’d received the text message.

On further enquiry, O2’s customer service representative and I established that 'fair usage' on an unlimited contract is around 1GB per month. That said, O2 customer services couldn’t provide me a copy of this fair usage policy.

I completely understand O2's (and any other MNO’s) need to control data consumption, particularly given the delays to LTE deployment in the UK. However if an MNO is of the view 1GB is enough data usage for a smartphone they’re in for some serious consumer backlash. The marketing message reaching consumers is that you can surf the full internet, watch videos, play games, send and receive pictures and video, monitor your e-mail, listen to podcasts etc, all on your mobile phone. Smartphones in particular easily enable the consumption of these services for non tech savvy users.

So let’s do some maths based on the following assumptions:

· e-mail including sending and receiving photos could be around 200MB per month.

· 1 hour of YouTube videos on a mobile will consume 70MB to 135MB depending on settings.

· 1 hour of audio podcasts at about 35MB.

If you have a  2 hour commute each working day and like to fill your time listening to podcasts, you’ll be consuming 1400MB of data. Now add the email and some modest YouTube watching on top and you’ll be over the 2GB mark. And that doesn’t include sending your mates any videos filmed on your mobile.

MNOs will be shouting "WiFi’s the answer". And of course it’ll help... if consumers are educated to use it. And even if it can be used it’ll eat battery life if left on permanently. In fact in my situation I’d turned it off when staying away for a few days and forgot to turn it back on when I got home, leading to higher consumption.

As most MNOs are no longer offering unlimited internet in the UK (virtual network giffgaff is a notable exception at the time of writing) and, in most cases, usage beyond the fixed amount will be charged on a per MB basis, there are a lot of customers who’re going to get a shock when they start using all the features of their shiny new phones. This is especially true given the trend to include a mere 500MB of usage in new data contracts.

 

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Opinion Articles

f u cn rd ths thn wts th prblm?

Iain Graham writes:

Text language. Why do they do it?  What an interesting question!  Normally asked by people who have never ever sent a text, believing it to be the invention of the devil!! "Texters are vandals, doing to our language what Genghis Khan did to his neighbours eight hundred years ago" asserted Jhn (sorry) John Humphrys of Radio Four fame writing in the Daily Mail. The new 'text language' has been blamed for many things including...

Author: The Fonecast
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Is Google’s new mobile phone distribution model really a big deal for the UK?

Mark Bridge writes:

“Google offers New Model for Consumers to buy a Mobile Phone”. Not my words but those of Vodafone as it announced it was the first operator to bring the new Google phone offer to Europe.

There’s a lot of talk about Google’s online ordering process for its Nexus One smartphone… or ‘superphone’ as the company described it at yesterday’s launch.

Author: The Fonecast
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Mobile shopping is worrying... and usually successful

Mark Bridge writes:

I really don’t like to complain. Honestly, I don’t. I’m an optimist. True, I can be a bit of a cynic – but that’s because I like to see things work first time.

So when I saw a headline that said “Shopping via mobile phone causes concerns for consumers”, I wasn’t surprised. Disappointed but not surprised.

And then I looked closer – and I got annoyed. Not annoyed at the companies that make mobile shopping so disappointing. No, annoyed at the organisation that published the report.

Author: The Fonecast
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Is mobile technology too young to predict?

Mark Bridge writes:

“Leave them alone, they’re just kids”

My word, Anakin Skywalker was a smart boy. Child prodigy. Wunderkind. Genius, some would say, albeit fictional.

But, without the benefit of hindsight (or the Star Wars box set, as many would call it), very few people would have expected him to marry his babysitter, fall into a volcano, turn to the Dark Side and end up looking like the late Sebastian Shaw.

Which brings me to the mobile phone industry.

Author: The Fonecast
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Did 2009 turn out the way we expected?

Mark Bridge writes:

At this time of year it’s something of a tradition – certainly within the mobile industry – to make predictions for the year ahead. It’s a trend we’ve followed with The Fonecast… and we’ve done reasonably well over the last few years.

We’ll be making this year’s predictions for 2010 in our programme on 23rd December. Ahead of that, I’ve been listening to our last show of 2008 to see what we thought 2009 would hold for us.

Author: The Fonecast
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