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US and Canada have most expensive cell phone plans

By Emil Protalinski

On October 16, 2010, 11:19 AM

Citizens of the US and Canada tend to pay the most expensive bills for a complete cell phone package, according to a new report from the New America Foundation's Open Technology Initiative (OTI, via Ars Technica). Meanwhile, users in India and Honk Kong pay the least for their mobile usage.

After examining prepaid, unlimited, and postpaid plans in 11 countries to determine the minimum cost for a complete cell phone package (voice, text, and data), OTI concluded that countries with more competition and more regulation usually have the best pricing. "Cost structures and business models undoubtedly vary as a result of the level of competition and innovation in each country and it is essential that in the countries that have high prices such as the U.S., we carefully consider additional steps that could be taken with respect to encouraging competition or imposing regulation such that the US becomes an engine of innovation for better and more competitively priced service offerings," the report concluded.

Mobile users in the US need to pay at least $59.99 for a complete cell phone package while users in Canada must pay $67.50. India and Hong Kong came in with the cheapest complete plans, at $12.90 and $13.50 respectively.


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User Comments: 36

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  1. Well, how expensive is it to provide service to a country at the size of Hong Kong? It be strange if it wasn't much cheaper than other countries.

  2. Well, how expensive is it to provide service to a country at the size of Hong Kong? It be strange if it wasn't much cheaper than other countries.
    Hong Kong is a city. But more importantly, what does this even mean?

  3. What this study fails to consider is that the US has a subsidized system for the cell phones while other places like Hong Kong do not.

    US: $200 for an iphone with $70 data and phone plan for 2 year

    HK: $600 for an iphone with really cheap data/talk plan and no strings attached.

    It balances some of the numbers out a little bit, but in the end, US and Canada cell phone users still spend the most money.

  4. Why should they limit competition, It is very cheap here and more so in Africa, Uganda!!!!

  5. Hong Kong is a city. But more importantly, what does this even mean?

    A semi-autonomous city with it's own elected government, yes. And it means that it is a lot cheaper to provide service to a population dense city at 1104 square km, than a country 8490 times larger such as the US.

  6. A semi-autonomous city with it's own elected government, yes. And it means that it is a lot cheaper to provide service to a population dense city at 1104 square km, than a country 8490 times larger such as the US.
    Sure, fewer cell towers, more subscribers equals a higher return on investment.

    But, that isn't really the issue in the US. Government has traditionally placed price regulations on utilities. Before those regulations are dropped, there is a great deal of lobbying activity, with a total BS claim that, "dropping the regulations will promote competition, which in turn will drop prices"! The fact that that never happens, and historically prices go up, should never deter you from buying your favorite telecommunications CEO a Rolls Royce. Or for that matter, a football team.

    And then you have the ***** customers, 90% of whom have no actual need for a cell phone, other than the fact that they can't seem to survive, unless they are running their yap about some idiotic, inconsequential, or trivial matter. If you think you can't live without something, then capitalism always finds a methodology by which it separates a fool from his, (or her), money.

  7. Hmm I wonder if I can consider myself lucky for only having to pay < 1 cent (p/m) for each outgoing call, and over 60 (so called) free minutes each month ..... hmm; oh well I guess it doesn't really matter in the bigger picture.

    @Captain

    speaking of the video you referring (I think its the same which you pointed out in another thread) ......... she seems to me an (nearly) ironing board (from what I remember from her appearances on tv) with an 'okayish' face.

  8. Where the balls is Australia on this survey!

  9. Where the balls is Australia on this survey!
    Shouldn't that be, "where the bollix"....[ ]....., or is that in Great Britain only?

  10. @Captain

    speaking of the video you referring (I think its the same which you pointed out in another thread) ......... she seems to me an (nearly) ironing board (from what I remember from her appearances on tv) with an 'okayish' face.

    The necessity of a tatoo to indicate the front on a woman, isn't a deterrent to their sex appeal, (at least for me). However, the rest of Ms Hilton's flat a**ed beer gutted phisique is a bit off putting. That said, her eyes are set fairly low in her head, which seems to me, provides a spacious amount of forehead on which to set a drink.

  11. I had unlimited texts,

    600 Mins

    Unlimited mobile Internet

    A Playstation 3

    £40 for 12 months

    £30 with reduced internet to Half mag and 400 mins for a further 6 months.

    Now I get

    150 Mins

    150 Texts

    Half a meg intenet

    Half price HTC Touch 2

    £5 a month, thats like $7

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