Mobile data: Don’t get ripped off

With the recent reduction in data prices by cellphone operators, consumers should make sure they are not being ripped off.

When considering your options for your smartphone you need to look at how much data you are getting, at what price and how this compares to other offerings.

Currently on the market MTN has a 75MB data package for entry-level smartphones, starting at a price of R25 a month or R300 a year.

Once you run out of your MBs then you need to recharge or costs will be deducted from your airtime.

This service also comes in packages that are specific to the user’s requirements and can either be an extension of one’s contract offering, or purchased on prepaid.

However, for almost double that price (R57-R69 a month) you can get uncapped data via BlackBerry’s BIS , on either a prepaid or contract subscription, although excessive internet usuage may be throttled.

With questions being raised as to whether 75MB is enough, MTN says it has an agreement with Opera Mini Browser (OMB) which allows users to compress data, thus equating the 75MB capacity to 500MB of normal internet usage.

This offering however will not be available for higher-end smartphone users, as they have contract specific offers.

8-ta, like MTN also has a fixed-rate offering but only for prepaid BlackBerry users. It offers six months worth of browsing (BIS) at a cost of R600, or R100 a month, and 500MB of “free” YouTube streaming.

Vodacom, on the entry-level side, recently slashed the price of two of its data specials, by as much as “60%”. Its Broadband Standard MyGig 1 data deal (which offers 1GB) has been reduced from R249 per month on a 24 month contract to R99 a month (or R1 188 a year), whist its MyGig 2 (2GB) has come down from R349 per month to R149 (or R1 788).

This marks the first time that the operator has reduced its contract and top up data prices to below R100.

Whilst these prepaid data packages may be welcomed by many consumers, the pricing and data capacity around these deals bears several questions. Why are these “prepaid and fair use” data deals not available for higher end smartphone users? Why do some offers have “free services” whilst others don’t?

It’s understandable that networks have to boost their bottoms lines- and data is a huge revenue driver – but this should not be done at the expense of ignorant consumers.

Source: Moneyweb