Smartphones costlier: Verizon tells FCC
www.WirelessFederation.com/news: In order to break service contracts for smart phones, Verizon Wireless has doubled the fees on the customers. According to Verizon, the difference between what it pays manufacturers for phones and what it
charges contract customers is more than twice as large for smart phones as it is for standard cell phones.
The explanation was given after Federal Communications Commission asked the carrier to tell the reason behind doubling the maximum early termination fee for smart phones to $350 from $175. Earlier, Accountability Office, the investigative arm of Congress, said the FCC needs to increase its oversight of the wireless industry and improve its enforcement of consumer protection rules.
Smartphones takes more time for sales and customer service workers to help customers understand advanced features and functions on the handsets, thereby increasing the cost. Verizon has also been inquired by FCC about $1.99-a-megabyte data access fees that have appeared on the bills of customers who don’t have data plans but who accidentally initiate data access by pressing a button on their phones.
In reply, Verizon has said when customer starts using a data service but then quickly shuts it off, the fees is not charged.
Alltel subscribers to be acquired by AT&T in Q1 next year
www.WirelessFederation.com/news: USA based AT&T announced that the company expects to acquire 1.5 million subscribers of Alltel in 18 states in the first quarter of the next year.
In order to win the regulatory approval for its purchase of Alltel this year, Verizon Wireless had to divest its licenses and subscribers in 18 states. An agreement was made between Verizon and AT&T that the latter would acquire the subscribers in a deal that includes assets from Verizon Wireless and the former Rural Cellular Corp.
AT&T also expects to complete its sale of former Centennial Communications Corp. assets to Verizon Wireless, which would get nearly 120,000 subscribers in Louisiana and Mississippi.
Both the swaps need regulatory approval from the Federal Communications Commission and Justice Department.
Verizon Wireless questioned by FCC regarding fee hike (America)
www.WirelessFederation.com/news: The Federal Communications Commission of the USA has asked for an explanation from Verizon Wireless regarding accidental data charges even when they terminate their contract on some of their phones.
The carrier hiked its contract termination fee from $175 to $350 for its “smart” phones in the month of November. Verizon subsidized the cost of the devices to contract-signing customers on the line of all the other carriers while smart phones cost the carrier more than regular phones.
FCC has also asked Verizon if the customers who accidentally hit Web access buttons on phones that have no data plans, are also charged? The carrier has said that the charges were already stopped a few months ago.
Deutsche Telekom’s T-Mobile bids 1.18 bln usd in 17th round us wireless auction
LONDON (AFX) – Deutsche Telekom AG’s T-Mobile bid 1.18 bln usd for 23 licenses in the 17th round of the US wireless auction, taking its total provisional bids to 58 licenses for 3.75 bln usd.Cingular AWS, owned by AT&T Inc and BellSouth Corp, bid 139.3 mln usd for 34 licences in the latest round, taking its total provisional bids to 37 licences for 632.9 mln usd.The US Federal Communications Commission started the auction last week and it will run until no more bids are submitted, a process that could take several weeks.The auction covers portions of radio spectrum which companies use to transmit sound, data or images wirelessly.
T-Mobile is expected to be a major bidder as it needs further spectrum in order to compete with its three bigger wireless rivals.
Source- London Stock Exchange
Technorati : Cingular, Deutsche Telecom, Mobile, T-Mobile, UK
Ice Rocket : Cingular, Deutsche Telecom, Mobile, T-Mobile, UK
