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U.S. and Canadian cell phone users pay the most for service

Posted: , by Alan F.

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U.S. and Canadian cell phone users pay the most for service
A  report by the New America Foundation's Open Technology Initiative shows that U.S. and Canadian cell phone users have the most expensive cell phone plans on the globe. The Foundation, which lists Google CEO Eric Schmidt as a board member, shows the minimum voice, text and data post-paid package to cost $59.90 per month in the U.S. and $67.70 up North. As a comparison, the minimum monthly rates in Hong Kong and India are $13.50 and $12.90 respectively. However, both countries use pay-per-use or a combination of pay-per-use and pre-set limits.

For post-paid voice plans, Canada (31 cents/minute) and Japan (37 cents/minute) were the highest priced on a per-minute basis, followed by the U.S.(18 cents/minute) and the U.K.(17 cents per minute). Both Hong Kong and Inida's plans are priced at 1 cent per minute.

When it comes to postpaid plans for text messages, the top rates are found in the U.S.,U.K., Canada and Denmark. India and Japan are at the bottom. The U.K. postpaid text rates come out to about 10 cents per text, double the rate in the United States. Japanese text users pay less than 1 cent per text while in India, each message costs about 1 cent to send.

The country with the most expensive postpaid data plan is Japan where the service costs a whopping $9.40 monthly per MB. The U.S. is near the top of this category at 8 cents/MB per month. In the U.K., India and Sweden, data will cost you less than 1 cent/MB monthly.

Obviously, determining if you can afford a cell phone, and which plan you can afford comfortably, greatly depends on where you live. Certain countries like the U.S. consistently appear near the top of the rates list while India is always around the lowest rates. Obviously no one is going to move just to score a lower monthly cellular bill, but it is interesting to see the difference in rates. It certainly explains why RIM was worried about BlackBerry service getting turned off in India; with the country's rates so low, it is the fastest growing cell phone region on the planet. The low rates also explain how Indians can afford to carry a cell phone with 42% of them earning less than $1.25 per month.

source: NewAmericaFoundation



U.S. and Canadian cell phone users pay the most for service



9 Comments
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posted on 20 Oct 2010, 01:49

1. nak1017 (Posts: 328; Member since: 08 Jan 2010)


I blame canada

posted on 18 Oct 2010, 10:55

2. bloodpanther (Posts: 32; Member since: 15 Jul 2010)


I blame Mexico

posted on 18 Oct 2010, 14:44

5. Jennahh (unregistered)


Why Mexico?

posted on 18 Oct 2010, 16:44

6. XxVerbalxX (unregistered)


cause they "truukk ahrr juubbs!!"

posted on 18 Oct 2010, 17:19

7. britishgurl88 (unregistered)


ok thats just stupid

posted on 18 Oct 2010, 19:46

8. Vegas89 (Posts: 51; Member since: 15 Mar 2010)


"Rable rable rable rable"

posted on 18 Oct 2010, 11:03

3. anarkie (Posts: 48; Member since: 28 Jan 2009)


"The country with the most expensive postpaid data plan is Japan where the service costs a whopping $9.40 monthly per MB. The U.S. is near the top of this category at 8 cents/MB per month. In the U.K., India and Sweden, data will cost you less than 1 cent/MB monthly." Surely we aren't even CLOSE to the top. $9/MB makes for some damn expensive mobile porn. $.08/MB is much better.

posted on 18 Oct 2010, 13:49

4. Steve19 (unregistered)


The article doesn't even mention that the reason other countries have a lower cell phone bill is that the caller pays a higher price for calls to a cell phone where in the U.S. the owner of the cell phone pays for the air time and the caller pays the same price as calling a land line.

posted on 19 Oct 2010, 03:37

9. Prady (unregistered)


Great to be in a country(India) where we are being charged least for cell phone services. Only thing here is that we are still waiting for full-fledged 3G networks which will hopefully start by end of this year. Reason for that low rates here is competetion among the providers and volume of connections. And to add here that we have plans for Text services for less than a dollar a month and you can send upto 20k SMS free, but sometimes I really don't like such plans when your friends keep on texting you whole day.

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