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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

Last week at The Fonecast: 28th November 2011

Mark Bridge writes:

The really big news last week wasn’t good: 17,000 jobs worldwide are being lost at Nokia Siemens Networks (which, incidentally, is a separate company from both Nokia and Siemens). That’s not far short of a quarter of the total workforce. The company is going to focus on mobile network infrastructure and services, with a particular emphasis on mobile broadband, and is likely to sell off other parts of the business.

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Shared data tariffs, bill shock, net neutrality and mobile traffic management

Mark Bridge writes:

Today’s mobile phone customers want more and more mobile data, which is stretching network capacity. In addition, many of those consumers would rather not be committed to a limit; they’d rather have a mobile internet tariff that is (or appears to be) unlimited. This puts even more pressure on mobile networks.

Author: The Fonecast
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Last week at The Fonecast: 21st November 2011

Mark Bridge writes:

Having read some of last week’s headlines, you might think the UK’s Communication Ombudsman has told mobile phone networks not to describe their data tariffs as ‘unlimited’ unless they really are. However, what’s actually happened is that one of the UK’s communication ombudsmen (ombudspeople?) has asked mobile operators to be clear about any limits, to stop unexpectedly high bills from building up and to tell customers before they exceed any limit. Better than nothing but hardly earth-shattering.

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Top 5 Productivity Apps for Business Owners

Ruben Corbo writes:

As a business owner, you know that being out of the office can cost you customers and productivity. However, in this digital age being out of the office doesn’t mean that you have to be away from your business. By downloading apps specifically for business, you can be productive from anywhere. Here are my top 5 apps for mobile business productivity.

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Enterprise user, you are the weakest link...

Mark Bridge writes:

Any security process is only as strong as the weakest link. That’s something of a truism. And for many organisations, the weak link is most likely to occur when information leaves the office. Which means it’s often caused by the user’s mobile phone or the user themselves.

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