Canadian telecom is grossly out of touch with the rest of the world: the majority of mobile communications is controlled by three massive conglomerates (Rogers, Telus and Bell) who perpetuate myths about the Canadian mobile infrastructure to take advantage of customers and maximize profits. The consumer hostile behaviour has put Canadian mobile users at a gross financial disadvantage in comparison to their counterparts around the world.
As an example: the majority of Canadians pay nearly $10 per month on top of their cellular plans for a “System Access Fee”; this fee has been described as a tax, a government levy and a fee to improve their networks. In reality it’s simply a surcharge applied to add an additional increment of income to their profit line.
The most recent example of Canadian mobile telecom hubris came this morning with the announcement of the iPhone data plans for Canada. These plans (and the handsets themselves) will be provided by Rogers and Fido. Around the world the iPhone is available for $199 US (or less!) on a 2 year contract. In Canada? $199 over a 3 year contract. Around the world most civilized nations offer the iPhone with unlimited data for around $60-80 per month. In Canada? $70 nets you 400MB of data. $115 nets you 2GB of data.
The question is “why?” Rogers will inevitably release statistics saying that the majority of their mobile users (using browsing crippled Blackberries) use under 200MB. This, of course, is incredibly disingenuous as the largest data plan to this point has been 200MB, skewing the statistics drastically. Also, if most users have a low usage rate… where’s the problem in allowing unlimited data?
It’s a real shame; Rogers had the opportunity to really shake up the Canadian telecom industry. Instead we’re left with a plan that is outright consumer hostile and an industry where the preparations that Telus and Bell made with their data plans ($7/$15/$30 for unlimited browsing, email and both depeding on your handset) seem welcome in the face of this non-reaction from Rogers.
I was planning on buying an iPhone. I was planning on handing them upwards of $80 per month, taxes and SAF included. Up to this point I was a relentless cheerleader for the Canadian iPhone.
That ends today. Until these data rates become more acceptable on price point, minutes provided, text included and data allowance… I urge you to say NO to the Rogers iPhone.
