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Comment on Verizon offers iPad/MiFi Bundle on October 28, 1GB/mo for $20 no contract

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1GB per month for $20? What is this, 2001?

Of course, you just know all the Dogberts at Verizon are wagging their tails over collecting those juicy overage fees.

why is wireless data so bloody expensive? what are verizons margins on $20/1GB?

Per wikipedia://GSM…

GSM has used a variety of voice codecs to squeeze 3.1 kHz audio into between 6.5 and 13 kbit/s.

So that is between 100k and 200k bytes per minute of speech. That gigabyte is the same radio load as 10000 minutes of talk time.

Where does one get 10000 minutes of talk time for only $20?

I think the question is Why is wireless voice so bloody expensive‽

Obviously this doesn't even begin to explain it, but the realtime/quality-of-service requirements of voice are much more rigid, so it makes sense that voice would cost the carrier more per-bit than data. But still...

(Pedantic) Verizon uses CDMA, not GSM, but the question is still a fair one. I wonder how the numbers change for CDMA, if at all.

Wikipedia says CDMA uses 3 rates, 8.5kbps, 4kbps, and 0.8kbs at the sender's choosing. It averages about 6kbps, so the numbers are about the same. There are improved codecs, but I can't tell if they are in use.

The 0.8kbps is just for encoding background noise when the person is not talking.

That's called "monopoly rent". Normally competition drives prices down, but wireless data provision is an expensive and legally difficult business to get into.

Is anybody selling 3G data for appreciably less? AT&T iPad rates are $15 for 250MB, $25 for 2GB.

In the UK, on a non contract pay as you go service, I give T-Mobile £20 once every 6 months, and in exchange for that, they give me 1GB of 3G data per month.

Just be glad you guys don't live in Canada (at least not when it comes to wireless data ;). One of the larger providers up here, Telus, charges $30/month for 500mb and $65/mo for 5 gigs... and that's all ON TOP of whatever your actual wireless plan is. Yick.

About $20/GB.

do share holders have any right to know the actual figure?

Unless you've got a board seat, probably not. You get what's in their public disclosure for investors and that's about it.

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