AT&T and Capped Data Plans - Skype is no longer free

In this world nothing is certain but death and taxes.

Benjamin Franklin author, political theorist, scientist, inventor and civic activist

Writer’s Block is a curse of any writer of articles, and I recently had about three (3) days worth of it, with my brain vacillating between gadget articles and general technology commentary and analysis, unable to discern which was more important and relevant to the immediate future. Eventually my prognostication capabilities came back to me when I began seeing a flood of news on a topic I had previously written about, namely the uncapped nature of Data Plans on Telecom Providers Networks and the issue of overcharging, articles which I had also forwarded to the OUR (Office of Utilities Regulation). Recent announcements in the Telecoms Sector, both in the United States of America as well as in Jamaica seem to herald a coming change in the way Telecom Providers do business.

One of them is pretty straightforward and is related to my email to the OUR (its consumer@our.org.jm by the way!!) complaining about the lack of transparency of Telecom Providers and how the overcharge consumers, particularly the fact that they do not advise customers via SMS (Short Messaging Service) before the customer exceeds their minutes (Local, Cross-Network, International), SMS (Local, Cross-Network, International), and Data Plan Megabytes and the onerous ETF (Early Termination Fees) of Telecom Providers in the United States of America. The OUR has responded as stated in the article “Digicel loses appeal, cal rates could fall”, published Wednesday, June 02, 2010, The Jamaica Observer - Business (https://www.JamaicaObserver.com) in which the OUR has declared all Telecom Provider as dominant relative to each other, as they do behave in a manner in which only members of their respective networks are privileged to certain services.

This declaration by the Telecommunications Appeals Tribunal which stands by the ruling made by OUR  on the matter back in 2004, plain and simple, means that Section 30 of the Telecommunications Act of 2000 is now re-activated and now since all Telecom Providers are declared dominant, discrimination against the other dominant Telecom Provider with which they are competing is unlawful, as this section of the Telecommunications Act of 2000 states that they must provide cross connection between themselves [Telecom Providers]  in a manner that is fair, transparent and based on the cost of provisioning the service only, not on negotiated interconnection rates. Section 33 of the Telecommunications Act of 2000 further goes on to give the power that the OUR has in setting cross network rates under the guidance of Section 30 of the Telecommunications Act of 2000, thus brushing aside Digicel’s appeal, which was challenging the powers of the OUR.

Great news for consumers, as this means that lower calling costs are on the horizon, if not the Flat Rate Calling that would be the result under and implementation of MNP (Mobile Number Portability) to be ruled on by the OUR in June 2010 as stated by the article stated in the article "Paulwell calls for number portability", published, Wednesday April 21, 2010, Daraine Luton, Senior Staff Reporter, The Jamaica Gleaner. Thus albeit I do concede that it was not really my three (3) letters to the OUR that did the trick, I will declare however that the timing as it relates to the letter that I had sent and the issues that I discussed is uncanny, as a similar development is ongoing as we speak in the United States of America between the FCC and the Telecoms Providers. Let me elaborate………

As mentioned in my blog articles entitled “CLARO and ETF: Pro-Rated Dutch Auction is Preferred” and “CLARO and Telecoms Providers: FCC taking actionm on Overcharging” this whole thing started with a man, a Mr. Bob St. Germain, being overcharged to the tune of eighteen Thousand dollars (US$18,000) for his mobile phone and modem usage over a six (6) week period in 2006, which Verizon eventually forgave in 2010 after he appeared on Youtube several times which is how I know of him as stated in the article “Verizon forgives balance of US$18,000 cellphone bill”, published May 17, 2010 01:15 PM, by The Boston Globe.

Thus the FCC (Federal Communications Commission) is running like the errant Knight in shining armour to save the Americans suffering under the wilting heat of what I would like to call the “seven years of famine” in the United States of America, much as was the dream by Pharaoh that Joseph interpreted as slyly alluded in the article “FCC says consumers are 'bill shocked'”, published May 26, 2010 9:41 AM PDT by Marguerite Reardon CNET News - Signal Strength. Thus, in short order, there will be the coming of SMS (Short Messaging Service) to alert people just as they are about to exceed their Minutes (on-net, cross network, International), SMS (on-net, cross network, International)  on their Voice Plans and Modem Megabytes Data Caps on their Data Plans. The FCC also plans to force Telecom Providers to simplify its Voice and Data Plans by revealing to Customers hidden cost and more transparent billing to aid Customer navigate the confused myriad of choices that now exist among Customers.

Since then, the Telecom Providers have come to realize that it really is good customer service to at least advise customers ahead of time when they are about to exceed their allotted minutes (Local, Cross-Network, International), SMS (Local, Cross-Network, International), and Data Plan Megabytes, thus allowing their customers to control their Plan more effectively, especially with the Global Recession showing no end in sight. Then the Big News came.

AT&T has decided that the days of “all-you-can-eat” Data Plans are over and that they would be introducing Data Caps, essentially what Telecoms Providers in Jamaica have being doing since the inception of 3G Wireless Broadband as stated in the article “For New AT&T users, no more "all you can eat" data”, published June 2 2010 By PETER SVENSSON, AP Technology Writer, Yahoo News (https://news.yahoo.com), in the article “AT&T phases out unlimited data plans”, published Wed Jun 2, 12:07 pm ET, by Ben Patterson, Yahoo News (https://news.yahoo.com), in the article “AT&T to end unlimited use of mobile data plan”, published Thursday June 2 2010, by Ryan Kim, Chronicle Staff Writer (https://www.sfgate.com)

More news from my favorite news aggregator, CNET, come the following article on the subject entitled “AT&T's new pricing takes smart phones to the masses”, published June 3, 2010 4:00 AM PDT by Marguerite Reardon, CNET News - Signal Strength, (http://www.cnet.com) and in the article “New AT&T data plans for iPhones, iPad, more”,  June 2, 2010 2:39 AM PDT by Matt Hickey, CNET News - Crave, (http://www.cnet.com) more than ample proof that this announcement is huge in its implications and scope. With the overload of details from these various news sources, it confirms earlier worries with regards to the strain that the Apple iPad and Apple iPhone was having on AT&T’s network as stated by the FCC (Federal Communication Commission) in the article “FCC: iPad use could further strain AT&T 3G”, published February 6, 2010 4:56 PM PST by Jim Dalrymple CNET News – Apple, (http://www.cnet.com).

AT&T CEO  Randall Stephenson also predicted lackluster subscriptions for the Apple iPad possibly as a means of comforting investors in AT&T as stated in the article “AT&T CEO sandbags iPad 3G subscriptions”, published March 3, 2010 12:30 PM PST by Erica Ogg  CNET News - Circuit Breaker, (http://www.cnet.com), even going to the point of instructing Apple on how to make the Apple iPhone efficient in its usage of broadband, which is mostly out of their control, as stated in the article “Report: AT&T schooled Apple on iPhone issues”, published March 30, 2010 10:44 PM PDT by Steven Musil, CNET News – Wireless, (http://www.cnet.com).

The Lower pricing points aside, their Data Caps differ, however, in the fact that upon coming close to exceeding the overage set for the Data Plan, the customer is advised via SMS, a move that AT&T has wisely decided to adopt that which is yet to be accepted as gospel among certain Jamaican Telecom Providers such as LIME and FLOW as it relates to Data Services: Unlimited data going forward to 4G and higher speeds is unrealistic.

Even LIME ADSL or FLOW Cable Internet will soon have to start “capping” their internet access services, as people may have the thought in mind to use their LIME ADSL and FLOW Cable Internet to provide Municipal Wi-Fi (IEEE 802.11n) services using a Residential LIME ADSL or FLOW Cable Internet, such as what seems to be occurring in May Pen, instead of purchasing a Business ADSL LIME ADSL or FLOW Cable Internet Package. Some amount of user backlash was expected as reported in the article “AT&T Sparks User Backlash With End to Unlimited Plan (Update1)”, published June 4 2010, by By Hugo Miller and Olga Kharif, Bloom Berg Markets (https://www.bloomberg.com). The “all-you-can-eat” experiment is now officially over.

Thus it should not come as a surprise that Skype 2.0, which is finally being allowed to use AT&T’s 3G service is no longer free for VoIP over AT&T’s network as stated in the article “Skype for iPhone now support 3G, but free ride's ending”, published June 2 2010, by Ben Patterson, Yahoo! News (https://www.yahoo.com), as previously all Skype calls were over the Wi-Fi (IEEE 802.11n) on smart phones and netbooks using Telecom Provider AT&T wireless 3G network.

This is good, as not only will this result in AT&T being able to make revenue from Legitimate VoIP, but also control Data usage giving them a bit of rest while Telecom Provider upgrade their network. A leaf out of the book of the Telecom Provider AT&T that local Telecom Providers can emulate, as currently VoIP, albeit not free, as it does use megabytes, needs to have its users registered via the current plan for MRSI (Mandatory Registration of Subscriber Information) as suggested by Senator Dwight Nelson, Minister of National Security and Justice as stated in the article “CLARO Backs Cell Phone Tracking Plan; Digicel, LIME in Wait-And-See Mode”, published Sunday May 16, 2010 by Mark Titus, Business Reporter, the Sunday Gleaner, making it difficult for criminals to organize crime internationally.

Possibly later, MNP (Mobile Number Portability) the proposal for which being slated to come to the attention of John Public’s in June 2010 as stated in the article "Paulwell calls for number portability", published, Wednesday April 21, 2010, Daraine Luton, Senior Staff Reporter, The Jamaica Gleaner and charged on a Plan basis for its usage, or have it blocked from their smart phones and modems, a revenue increase for foreign calling that should make the Telecom Provider more easily taxable by the Government of Jamaica. A move John Public welcomes, as nothing is certain but death taxes.

MNP, Supreme Ventures Limited, Internet Gambling and the Royal flush of Smart phones

{7:1}  Judge  not,  that  ye  be  not  judged. 

{7:2}  For  with what judgment ye judge, ye shall be judged: and with what measure  ye mete,  it  shall  be  measured  to  you  again. 

{7:3}  And  why  beholdest  thou  the  mote  that  is  in  thy  brother’s eye, but considerest not the beam that is in thine own eye?

{7:4}  Or how wilt thou say to thy brother, Let me pull out the mote out of thine eye; and, behold, a beam [is] in thine own eye?

{7:5}  Thou hypocrite, first cast out the beam out of thine own eye; and then shalt thou see clearly to cast out the mote out of thy brother’s eye.

Matthew 7 vs 1 to 5

The Apple iPad launched worldwide with much fanfare in Britain with the excited long lines of tech crazed Apple Fanboys as stated in the article “Crowds gather for UK iPad launch”, published Sunday May 30 2010, BBC News.

This is also shown in the YouTube Video entitled “Excitement as iPad reaches Europe”, by Chalie Angela, Al-Jazeera and “Fanfare greets Global Debut of iPad” by Millar Sega, VOA News with similar bleary eyed jubilant long lines of Apple Fanboys in Tokyo Japan as shown in the YouTube Video entitled “Tokyo fans snatch Apple's iPads” by AFP News.

Already, the Apple iPad has smashed previous sales record for the Apple iPhone, selling more than one million (1,000,000) units within the space of twenty eight (28) days as stated in the article “Apple sells 1 million iPads”, published May 3, 2010 6:16 AM PDT by Jim Dalrymple, CNET News since the debut of the device on the weekend of Saturday April 3^rd and Sunday April 4^th 2010 cementing the fact that this device is not only the future but also a game changer.

This confirms earlier reports of the devices “zippy” interface as stated in the article “Early reviews: iPad is 'beautiful', 'blazingly fast', 'has a touch of genius'”, published Wednesday April 1 2010 by Ben Patterson, Yahoo! News. The fact that it is changing the way developers are building apps and websites as stated in the article " iPad Already Changing the Way Web Sites are Built", published Thursday April 1, 12:01 pm ET Dan Hope TechNews Daily Staff Writer, Yahoo! News.

In fact it’s already beginning to look like the next gaming platform of the Summer of 2010 as stated in the article “iPhone vs iPad: 20 games compared”, published April 6, 2010 4:00 AM PDT by Josh Lowensohn CNET News bodes well for the future of computing as per my blog article entitled “Apple iPad and the future of computing”.

But the greatest potential of this device which is merely a bigger Apple iPhone, as it runs a modified Apple iPhone OS, is that, despite not having Adobe Flash support (who needs that third party 90’s throwback anyway when HTML5 is coming?), no video calling or phone calling capability, no E-Ink and an apparent lackluster Wi-Fi (IEEE 802.11n)  as stated in the article “Apple Addresses Complaints about Weak iPad Wi-Fi” published Wednesday April 7^th 2010 by Barry Levine, newsfactor.com, Yahoo! News, it has done what it has set out to do.

This was to offer an alternative to the Amazon Kindle eReader device, with even Marvel Comics, now owned by Walt Disney, on whose board CEO Steve Jobs sits as stated in the article “Disney to Buy Marvel for US$4 Billion”, published August 31, 2009, 10:10AM EST By Ronald Grover, Business Week – Entertainment.

They are planning to make a comeback as stated in the article “Comic Book Publishers Plot comeback via Apple iPad”, published Wednesday April 7, 2010 By Douglas MacMillan Business Week - DIGITAL ENTERTAINMENT. The New York Times is also betting on the Apple iPad as the means for its revival and Hulu, which is CBS owned, is looking to serve up content on the Apple iPad. Thus Newspapers and Broadcasters are saved.

Apple is apparently so overwhelmed by the apparent unexpected incredible demand for its “new” product in places as far away as Australia and Japan that they are splashing on the release of another twenty four million (24,000,000) Apple iPhones running iPhone OS 4.0 as stated in the “Report: Apple readying 24 million units of next iPhone”, published May 17, 2010 10:25 AM PDT by Erica Ogg, CNET News.

The Apple iPhone will sport multitasking, folders (finally), and the new Apple advertising platform called Apple iAd, a game social Network called Game Center, similar to that of Microsoft Xbox 360, iBook, similar to the iBookStore App on the Apple iPad with a free complimentary book Winnie the Pooh (first thing Apple has ever given away for free!!) as suggested in the article “Will iPhone 4.0 derail Microsoft's phone plans?”, published April 9, 2010 10:24 AM PDT by Ina Fried, CNET News.

Signs of a big rush for the newly upgraded Apple iPhone can be seen from the recent pricing of the Apple iPhone 3GS, which has now fallen to US$97 on a two (2) year contract from AT&T as stated in the article “Get a new 16GB iPhone 3GS for US$97”, published May 25, 2010 5:18 AM PDT by Rick Broida CNET News.

The recent murmuring of a possible Verizon supported Apple iPhone after AT&T exclusive contract expires this year 2010, speculation fuelled by recent comments by Verizon CEO Ivan Seidenberg expressing an interest in having the Apple iPhone on their Telecom Network as stated in the article “Verizon CEO has told Apple of iPhone interest”, published Tue Apr 6, 10:28 am ET, Yahoo! News.

Even opinion pieces by such noted journalists as David Carnoy as elaborated in his article “Verizon iPhone: Sooner or later?”, published May 24, 2010 1:33 PM PDT by David Carnoy by Marguerite Reardon, CNET News. Further hints can also be seen from the recent rise in Pre-Paid phones as stated in the articles “Prepaid wireless outpaces contract services”, published April 5, 2010 3:35 PM PDT by Marguerite Reardon, CNET News.

It’s also stated in the article “Smart phones come to prepaid wireless market”, published May 19, 2010 4:00 AM PDT by Marguerite Reardon, CNET News which is a temporary trend lemming-like reaction of people looking for deals but still wanting to have a high-end phones, as Contracts merely need only minor adjusting to the ETF (Early Termination Fees) to make them more attractive after the Recession abates.

Statistical proof, however is provided by Gartner, who have compiled statistical data confirming beyond a shadow of a doubt that this Summer of 2010 will see a surge in the purchase of smart phones with Apple makers of the Apple iPhone, RIM makers of the Blackberry , also showing healthy signs of growth as stated by NPD in the article “RIM's strategy to stay on top in smartphones”, published May 12, 2010 4:00 AM PDT by Marguerite Reardon, by Marguerite Reardon, CNET News.

There are other smart phones that run Google Android leading the charge and confirming the shift towards Pre-paid as stated in the article “Cell phone, smartphone sales surge”, published May 19, 2010 10:01 AM PDT by Lance Whitney, by Marguerite Reardon, CNET News.

Even Google’ Android OS despite its support by a hodgepodge of  different phones with different screen sizes from such Mobile Handset Makers as diverse as Motorola, Samsung, Sony Ericsson and HTC has shown potential for growth as stated in the article “Analysts predict bold growth for Google Android” published January 25, 2010 2:18 PM PST by Marguerite Reardon by Marguerite Reardon, CNET News.

This was later confirmed by a study done by ComScore that showed that Google had posted a 5.2% increase in its subscriber percentage of the smart phone OS Market within the period November 2009 to February 2010 as stated in the article “Google Android growth outpacing the industry” published April 5, 2010 2:36 PM PDT by Tom Krazit by Marguerite Reardon, CNET News. Google is seemingly on its way to beating out Apple and Microsoft for the number two (2) spot in terms of smart phones OS and phones running the Google Android OS

Google Android OS, however, has strongest support in the United States of America, as stated in the article “Android ownership hottest in North America”, published May 26, 2010 8:14 AM PDT by Lance Whitney by Marguerite Reardon, CNET News with 75% support in North America as confirmed by AdMob.

AdMob is an advertising firm that was recently purchased by Google for US$750 million as stated in the article “Apple to buy Quattro Wireless for US$275 million” January 4, 2010 8:25 PM PST by Kara Swisher, by Marguerite Reardon, CNET News.

Google OS will be supporting Tablet challengers after Microsoft with their Courier and HP with their Slate as stated in the article “HP preps its would-be iPad Killer, the Slate” published Tuesday April 6, 11:13 am ET By Ben Patterson Yahoo! News all backed out of the race at the last minute. Dell and their Streak  as stated in the article “Dell's Streak Tablet headed to UK first”, published May 25, 2010 8:12 AM PDT by Erica Ogg, by Marguerite Reardon, CNET News and other tablets supported by Verizon.

One thing is for certain, the Apple iPad and its Tablet-pc wannabees copycats have the potential to dampen Netbook sales, if the price is right as stated in the article  " iPad, tablets expected to dampen Netbook sales", published April 6, 2010 8:17 AM PDT by Lance Whitney by Marguerite Reardon, CNET News and " Netbook Sales Sag as the iPad Arrives” published April 7, 2010, 12:27AM EST By Cliff Edwards, by Marguerite Reardon, CNET News.

Thus, most Apple Fanboys in Jamaica are probably still awaiting a public declaration from Telecom Provider CLARO or any of the Telecoms Providers who may have an interest in carrying the device, as in my mind it is already a done deal, albeit Telecom Provider CLARO now has to confirm whether they plan to support this device, specifically the Apple iPad 3G + Wi-Fi (IEEE 802.11n) versions, as the Apple iPad Wi-Fi (IEEE 802.11n) version obviously will not need Telecom Provider CLARO support.

But as Telecom Provider CLARO is the retailer for Apple in Jamaica, there is the possibility that they can support the device by simply selling 3G-to-Wi-Fi (IEEE 802.11n) routers to provide the Wi-Fi (IEEE 802.11n) service, as unlike the United States of America as alluded to in the article “AT&T offers free Wi-Fi in New York City”, published May 25, 2010 7:04 AM PDT by Marguerite Reardon by Marguerite Reardon, CNET News free Municipal Wi-Fi (IEEE 802.11n) does not exist in Jamaica……….at least not yet.

Local interest here in Jamaica is predicted to be mostly among college students and Seventh Day Adventist and other similarly organized Christian groupings, such as possibly Jehovah’s Witnesses and WorldWide Church of God (Armstrongites), who are currently the only demographic spanning all age ranges and demographics that read books, as they typical members of John Public does not read at all, merely subsisting on Television and radio, seemingly disinterested in the world around them.

But there is still one industry that is still struggling that also needs to be salvaged and that is the Gambling Industry and curiously enough, support is coming from an unlikely source supporting the move towards Online Gambling as stated in the article “Congress may roll dice, legalizing Net gambling” published May 18, 2010 11:14 PM PDT by Declan McCullagh by Marguerite Reardon, CNET News the Government of the United States of America.

This support for Internet Gambling, as laid out in a bill being championed by Rep. Barney Frank (D-Mass.) in a bill titled H.R. 2267, which would allow Internet casinos to obtain licenses from and be regulated by the federal Government.

It is thus on this basis that Telecoms Providers in Jamaica and Supreme Ventures Limited (SVL) should take the opportunity to more aggressively lobby for support for a similar legislative push to legalize Online Gambling as well as allow televised off track horse betting, as similar to the United States of America, it could be a tremendous source of taxable revenue not to mention a source of employment as well as a means of paying police, nurses and teachers money owed to them.

With the tremendous wave of smart phones and tablets to soon hit our shores by early Christmas of 2010 and accelerate by the second quarter of 2011 with the expected launch of LIME TV and Digicel 4G WiMaX (IEEE 802.16m) as state in the article “Digicel to offer mini Laptops with 4G service next year”, published Friday September 4, 2009, the Daily Gleaner.

ZTE Corp of China is their build out partner of their new WiMaX 4G Mobile (IEEE 802.16d) Network as stated in the article “Digicel signs ZTE as 4G Mobile WiMaX internet partner”, published Sunday, September 27, 2009, The Jamaica Observer.

Internet Gambling, combined with Senator Dwight Nelson, Minister of National Security and Justice and his intended implementation of MRSI (Mandatory Registration of Subscriber Information) as stated in the article “CLARO Backs Cell Phone Tracking Plan; Digicel, LIME in Wait-And-See Mode”, published Sunday May 16, 2010 by Mark Titus, Business Reporter, the Daily Gleaner.

A move that will eventually lead to MNP (Mobile Number Portability), most desirable from Telecom Provider CLARO’s point of view and which is priority as alluded to in the article “OUR signals policy shift on portability - Says Jamaica running out of phone numbers”, published Friday November 20, 2009 by Mark Titus, Business Reporter, the Daily Gleaner.

This proposal for which being slated to come to the attention of John Public’s in June 2010 as stated in the article “Paulwell calls for number portability”, published, Wednesday April 21, 2010, Daraine Luton, Senior Staff Reporter, the Daily Gleaner.

This would create a secure platform where under eighteen (18) gamblers could be identified and blocked from gambling via Mobile smart phones and modems used to access the SVL Gambling Platforms, with further security being provided by requesting the persons enter their TRN for Taxation and verification purposes before persons would be allowed to placed bets via the internet. Curiously a similar solution exists to make Social Networks profitable and secure…..but that is another article.

CLARO and ETF - Pro-Rated Dutch Auction is prefered

{41:25}  And  Joseph  said  unto  Pharaoh,  The  dream  of Pharaoh  [is]  one:  God  hath  shewed  Pharaoh  what  he  [is]about to do.

{41:26} The seven good kine [are] seven years; and  the  seven  good  ears  [are]  seven  years:  the  dream  [is]one. 

{41:27}  And  the  seven  thin  and  ill  favoured  kine  that came up after them [are] seven years; and the seven empty ears  blasted  with  the  east  wind  shall  be  seven  years  of famine. 

Genesis 41 vs 25 to 28

Opinion pieces are not usually my thing, but since the story about the Verizon Customer who was over billed to the tune of US$18000 shown in the video CNET Buzz Report, aired Thursday May 13 2010, by Brian Cooley, CNET News (CBS) (https://www.youtube.com/cnettv) and the trending in the United States of America towards Pre-Paid Plans (equivalent to Jamaican Postpaid, but more flexible) both in the feature phones and the smart phone market as reported in the articles “Prepaid wireless outpaces contract services”, published April 5, 2010 3:35 PM PDT CNET News - Signal Strength by Marguerite Reardon and stated in the article “Smart phones come to prepaid wireless market”, published May 19, 2010 4:00 AM PDT by Marguerite Reardon, CNET News - Signal Strength, (http://www.cnet.com), it has me taking my painkillers again – for a headache.

Thus the FCC (Federal communications Commission) is running like the errant Knight in shining armour to save the Americans suffering under the wilting heat of what I would like to call the “seven years of famine” in the United States of America, much as was the dream by Pharaoh that Joseph interpreted as slyly alluded in the article in the article “FCC says consumers are 'bill shocked'”, published May 26, 2010 9:41 AM PDT by Marguerite Reardon CNET News - Signal Strength, (http://www.cnet.com). Thus, in short order, there will be the coming of SMS (Short Messaging Service) to alert people just as they are about to exceed their Minutes (on-net, cross network, International), SMS (on-net, cross network, International)  on their Voice Plans and Modem Megabytes Data Caps on their Data Plans.

The FCC also plans to force Telecom Providers to simplify its Voice and Data Plans by revealing to Customers hidden cost and more transparent billing to aid Customer navigate the confused myriad of choices that now exist among Customers. But there is one impediment that is a factor that is weighing heavily in the minds of many Customers that is making them opt for Pre-Paid Plans as opposed to Contract Plans is the onerous ETF (Early Termination Fees) associated with Contract Plans, about which the FCC had recently sent letters to AT&T, Google and Verizon as stated in the article “Mobile carriers, Google defend cancellation fees” published February 25, 2010 1:17 PM PST by Marguerite Reardon CNET News - Signal Strength, (http://www.cnet.com).

The ETF comes into effect when a Customer, upon discovering that they are being overcharged or just simply wish to change their contract from one Telecom Provider to another Telecom Provider, can apply for the early termination of their service and the transfer of their contract to the Telecom Provider of their choice with more favorable terms, a feature that is possible due to the fact that Contract Plans require identification verification via a Credit Card, which could be easily be achieved by using other Government of the United States of America approved Identification i.e. Driver’s License, Passport, Social Security Card thereby allowing cash transactions, albeit Apple’s long time policy of refusing cash transactions is perfectly legal as reported in the video report CNET Buzz Report Thursday 20-05-2010 by Brian Cooley, CNET News (CBS) (https://www.youtube.com/cnettv).

The reason why is simple: some of these ETF rates are so high, US$200 and upwards as per the article that most Customers are now opting to just purchase the smart phones on less prices and easier-to-control Pre-Paid Plans as stated in the article “Prepaid wireless outpaces contract services”, published April 5, 2010 3:35 PM PDT by Marguerite Reardon, CNET News - Signal Strength, (http://www.cnet.com) as more and more Americans are opting to go Pre-Paid with Budget Carriers such as Sprint and MVNO (Mobile Virtual Network Operators) such as Leap Wireless, MetroPCS and Virgin Mobile. These Pre-paid plans, which are structured in a tiered manner similar to LIME UltraPak (Post-Paid), are getting the bulk of new Mobile Phone subscriptions as Americans seek to cut their costs.

Even typical big spenders on Mobile Phones such as Apple iPhones and Blackberrys are now opting to have these high-end smart phones on a Pre-Paid monthly plan as stated in the article “Smart phones come to prepaid wireless market”, published May 19, 2010 4:00 AM PDT by Marguerite Reardon, CNET News - Signal Strength, (http://www.cnet.com) which albeit more expensive in terms of having to purchase the mobile instrument as opposed to it being free under a Contract Plan is apparently preferable to Americans wary of higher ETF (Early Termination Fees) from the Big Four (4) Telecom Provider – AT&T, Verizon, Spring and T-Mobile. A similar trend is happening here in Jamaica, with a trending towards cheaper Pre-paid (equivalent to Pay-as-you-Go) as opposed to monthly Postpaid (Prepaid in America) and Contract Plans for which the only provider in Jamaica is Telecom Provider CLARO.

Telecom Provider CLARO has the distinction currently of being the only company to offer Contract Plans, which are rather convenient as it allows Customers to own a high-end smart phone without having to purchase the phone full price. Telecom Provider LIME is also rolling out 3G and wary of the difficult economic times brought on by the Recession in the North, have begun offering unlimited uncapped 3G data with one (1) day, seven (7) day and thirty (30) day pass at severely discounted prices as stated in the article “LIME LAUNCHE PREPAID MOBILE INTERNET” , published Friday, April 09, 2010 The Jamaica Observer (https://www.jamaicaobserver.com), which curiously enough is structured somewhat similarly to Telecom Provider AT&T and Telecom Provider Clearwire’s Prepaid Internet offerings alongside its Contract Plans for modems and smartbooks. 

Telecom Provider Digicel might be considering using Plans similar to Telecom Provider CLARO to make Netbook and smart phone ownership a bit less taxing on the consumer as suggested in the article “Digicel to offer mini laptops with 4G service next year”, published Friday September 4^th 2009 by Lavern Clarke, The Daily Gleaner, (http://www.jamaica-gleaner.com), with ZTE Corp of China as their build out partner of their new WiMaX 4G Mobile (IEEE 802.16d) Broadband Network as stated in the article “Digicel signs ZTE as 4G Mobile WiMaX Internet partner”, published Sunday, September 27, 2009, The Jamaica Observer, (http://www.jamaica-observer.com).

Making the ETF more flexible, such as reducing the value of the ETF in a sliding scale would be nice, as John Public is definitely not buying the excuse of a subsidy as enunciated by Robert Quinn, AT&T's Senior Vice President who wrote back to the FCC stating “Customers clearly understand that they have choices. While the vast majority of Telecom Provider AT&T's subscribers choose term commitments and discounted or free handsets, Telecom Provider AT&T has millions of month to month and prepaid subscribers.

Still, overwhelming consumer demand for such bundled discounts drives carriers to make even highly sophisticated and costly devices like smart phones and Netbooks available at steep discounts, even from the moment they are introduced”. That is some serious “animal dung” as during the lifespan of any typical Contract Plan, the Customer has paid for not only the full price of the phone, but also for the minutes as well, thus leaving the Customer with the only true benefit of being able to have a cool expensive phone – and a large unpayable bill.

Thus, to be fair to loyal Customers, the ETF should decrease on a pro-rated deal from the discount value to zero on the two (2) year anniversary, somewhat like a Dutch Auction, a phrase alluding to an auction that decreases the value of the product as opposed to increasing. On the day that the Customer decides to early terminate, the Telecoms Provider should be able to tell the customer the ETF via a SMS service being sent on request by the Customer at any given time as Brian Cooley so famously rants, as expounded in the video CNET Buzz Report, aired Thursday May 13 2010, by Brian Cooley, CNET News (CBS) (https://www.youtube.com/cnettv).

Combined with the above mentioned SMS and even an option to part pay down on the contracted cost of Plan and even swap you phone for another cool smart phone of your choice with the same value without incurring a cost, Contract Plans can not only be made less hair and blood pressure raising but even attract more people, even in a recession by virtue of a more transparent, paperless and friendly offering that would help people to “Move Up” without moving into the dog house every time their bill arrives.

CLARO and Telecom Providers - FCC taking action on overcharging

It seems no sooner had I written my article on Telecoms Provider sending SMS (Short Messaging Service) or “text” messages to alert Customers and Subscribers of the coming of “overcharges”  or sudden increases on their Mobile, modem and landline bills that Chairman of the FCC, Julius Genachowski had released a study recently commissioned by the FCC (Federal Communications Commission) as detailed in the article “FCC says consumers are 'bill shocked'”, published May 26, 2010 9:41 AM PDT by Marguerite Reardon CNET News - Signal Strength.

In this study it states that one in six (1 in 6) Americans, or nearly thirty million (30,000,000) American citizens have experience unexplained spikes in their bills unrelated to changes that had made or requested on their relevant calling plans.

84% stated that their Telecom Provider did not contact them when they were about to exceeded their Mobile phones plan allotted minutes, texts or modem caps and worse, 88% of the Telecoms Providers did not make contact with their Customers and Subscribers after the increased bills had been sent out.

Here in Jamaica, at least LIME contacts UltraPak (PostPaid) Customers and Subscribers when their bill is due, but like Verizon and the man with the US$18,000 bill, they do not contact Customers and Subscribers whenever they exceed their Mobile minutes and text allotments as well as their Mobile data caps either via calling or via SMS, the cost of the call or SMS being borne by the customer.

Thus if anyone had doubts that this was a real problem, this story effectively provides statistical evidence to put clothes on the argument as it relates to the effect of overcharging customers and their health.

Interestingly enough, the FCC is taking action. Joel Gurin, chief of the FCC Consumer and Governmental Affairs Bureau has stated that there are plans underfoot to require that Telecoms Providers make it mandatory to send an SMS alerting Customers and Subscribers and of when they are about to go over their allotted minutes, texts and cap megabytes so that the Customers and Subscribers can brace for the increase.

A simple common courtesy that one would expect Telecom Providers would logically extend to its Customers and Subscribers, especially as the Recession show no signs of letting up any time soon and money is tight, even among Americans. But the other thing which he mentioned which brings peals of joy to my ears is the increased regulation of the Telecoms Providers.

This time with an emphasis on making their Contract Plans and Pre-paid offerings more transparent, in terms of indicating hidden costs and fees with the possibility of going as far as implementing transparent paperless billing which is part of a globally conscious trending towards companies appearing to be environmental conscious as stated in the article “Why all the requests for paperless billing lately?”, published September 24, 2009 8:16 AM PDT by Candace Lombardi CNET News - Green Tech.

A more simplified bill, as LIME, a subsidiary of C&W Plc has done in Jamaica via their launch of their MYLIME portal as stated in the article “LIME launches MYLIME Customer Portal” published Monday, 08 March 2010 by TechJamaica.com.

Telecoms Providers need to be more aware of the fact that the difficult economic times is making Customers and Subscribers think twice about splashing on Mobile Phone plans.

More and more Americans are opting to go Pre-Paid with Budget Carriers such as Sprint and MVNO (Mobile Virtual Network Operators) such as Leap Wireless, MetroPCS and Virgin Mobile getting the bulk of new Mobile phone subscriptions as stated in the article “Prepaid wireless outpaces contract services”, published April 5, 2010 3:35 PM PDT CNET News - Signal Strength by Marguerite Reardon as American seek to cut their costs.

Even typical big spenders on Mobile Phones such as Apple iPhones and Blackberries are now opting to have these high-end smart phones on a Pre-Paid monthly plan as stated in the article “Smart phones come to prepaid wireless market”, published May 19, 2010 4:00 AM PDT by Marguerite Reardon, CNET News - Signal Strength.

Albeit more expensive in terms of having to purchase the Mobile instrument as opposed to it being free under a contract is apparently preferable to Americans wary of higher ETF (Early Termination Fees) from the Big Four – AT&T, Verizon, Spring and T-Mobile.

Generally, it is felt among the Telecoms Providers that have Voice and Data Plans e.g. CLARO, that this is just a minor trending in the grand scheme of things, as eventually when the American Economy returns to better times, Contract Plans will also see resurgence, a point to which I agree, as Customers and Subscribers are fickle and will generally go where the better deal price during an Economy that has them jobless or earning less, hence they cut spending on perceived luxuries.

Therefore, it is a good bet that the trending towards Pre-Paid will not last for very long and by this observation, CLARO is best to also hold on to its use of Contract Plans.

To do otherwise would jeopardize its playing into the hands of the Senator Dwight Nelson, Minister of National Security and Justice and his intended implementation of MRSI (Mandatory Registration of Subscriber Information) as stated in the article “CLARO Backs Cell Phone Tracking Plan; Digicel, LIME in Wait-And-See Mode”, published Sunday May 16, 2010 by Mark Titus, Business Reporter, the Sunday Gleaner.

A move that will eventually lead to MNP (Mobile Number Portability), most desirable from CLARO’s point of view and which is priority as alluded to in the article “OUR signals policy shift on portability - Says Jamaica running out of phone numbers”, published Friday November 20, 2009 by Mark Titus, Business Reporter, The Jamaica Gleaner.

The proposal for which being slated to come to the attention of John Public’s in June 2010 as stated in the article “Paulwell calls for number portability”, published, Wednesday April 21, 2010, Daraine Luton, Senior Staff Reporter, The Jamaica Gleaner.

Thus Telecoms Providers in Jamaica, namely CLARO, Digicel and LIME would best to ride out this trend by sticking to their Contract Plan offerings but also make sure that they begins to offer more of the lower end brands phones and even smart phones on Pre-Paid [American] or flexible PostPaid [Jamaican] equivalent plans similar to LIME SupaPak (Pre-Paid) LIME UltraPak (PostPaid).

Even opting to offer less complicated Contract Plans similar to CLARO’s, with flexible part-payment for the phones, free 3G data phones upon the surrender of a Mobile phone from the competition once the users registers using Government of Jamaica identification i.e. NIS, TRN, Birth Certificate, Driver’s License with adjustments to the ETF to make it less onerous would be excellent.

Telecom Providers need to be as understanding to its Customer and Subscriber base as possible, making sure to implement a program by which Customers and Subscribers are informed via SMS whenever their Voice Plan minutes and text are about to be exceeded and when they are about to exceed their allotted caps on their Data Plans on their modems.

But already, there is the coming of Municipal Wi-Fi (IEEE 802.11n) Networks on the horizon that will successful compete with Telecom Providers and their 3G and Wimax 4G Mobile (IEEE 802.16m) Networks for the lucrative and now exploding Data Market using, ironically, head end originating from the very same Telecom Providers themselves.

Namely LIME ADSL (Asynchronous Digital Subscriber Line) and FLOW Internet………for which words I have written I will write at the appointed time on this growing phenomenon.

MNP and US Authorities - MRSI Bill to be passed to catch criminals

Don’t cry over spilt milk

Anonymous (which means it was done by your truly, Lindsworth Deer)

Senator Dwight Nelson, Minister of National Security, has realized the untapped potential of MRSI (Mandatory Registration of Subscriber Information) as stated in the article “CLARO Backs Cell Phone Tracking Plan; Digicel, LIME in Wait-And-See Mode”, published Sunday May 16, 2010 by Mark Titus, Business Reporter, the Sunday Gleaner

This after having made his intention clear some weeks  ago to pursue the same Crime strategy as Mexico as there is an obvious link to criminals or “badmen” as laid out in my blog article entitled “Mexico and MNP: A solution to crime in Mexico” , who use Unregistered Mobile Phones, Phone Instruments (mobile, fixed line mobile, landline or wired /wireless modems) IMEI and SIM Cards (mobile, fixed line mobile, landline or wired /wireless modems) IMSI to organize crime.

His idea was suggested in the Reuters report that as mentioned in the news report by CNET Loaded aired April 12 2010 by Natalie Del Conte, CNET News and confirmed by the article “Mexico may shut down 25.9 million Cell phones which haven't joined Registry”, published April 11, 2010 - 11:45pm by MacRonin.

The legality is easily argued in the United States of America jurisdiction as it is legal and unlike a wiretap does not require a warrant as is currently the case in the United States of America. The Obama Administration has argued that warrantless tracking is permitted because Americans enjoy no “reasonable expectation of privacy” in their cell phones' [mobile devices] whereabouts.

The U.S. Department of Justice lawyers argue that “a customer's Fourth Amendment rights are not violated when the phone company reveals to the Government of the United States of America State Department its own records” i.e. mobile device placed and received calls as stated in the article “Feds push for tracking cell phones”, published February 11, 2010 4:00 AM PST by Declan McCullagh, CNET News - Politics and Law.

Thus it is not surprising that the Government of the United States of America has now caught on to this idea of MRSI and has realized after the failed bombing plot in New York Time Square  by alleged bomb plotter, Faisal Shahzad as stated in the article “US lawmakers target pre-paid cell phone anonymity”, published Wednesday 26-05-2010, Yahoo News! (AFP).

As in Jamaica, it is felt that the registration of Pre-Paid mobile phones, a more flexible equivalent to our PostPaid phones in Jamaica, were too easily purchased, requiring no identification and no credit card checks and thus legislation on the Pre-Paid Mobile Phone industry was long overdue, as Democratic Senator Chuck Schumer was quoted as saying “this proposal is overdue because for years terrorists, drug kingpins and gang members have stayed one step ahead of the law by using prepaid phones that are hard to trace”.

Jamaica’s problem is a bit more unique, as people are not only able to purchase phones from any Unregistered Third Party retailer of mobile phones, often cheap Chinese knock-offs, but also, shockingly, they can get functional SIM cards from off the street for LIME and Digicel, which is action that is in contravention to the Telecommunications Act of 2000, which states that Mobile Phones, Phone Instruments (mobile, fixed line mobile, landline or wired /wireless modems) IMEI and SIM Cards (mobile, fixed line mobile, landline or wired /wireless modems) IMSI need to be registered.

But, like Jamaica, the problems faced by law enforcement with criminals and drug kingpins, is that “while most Americans use Pre-Paid mobile devices lawfully, the anonymous nature of these devices gives too much cover to individuals looking to use them for deviant, dangerous means” as Republican Senator John Cornyn was quoted as saying.

It seems that despite all the squabbling over how to deal with the Gulf of Mexico Oil Spill of the coast of Louisiana, which has at the time of writing this short commentary, BP (British Petroleum) was finally able to stop as stated in the article “Oil well plug 'going as planned'”, published Thursday 27 May 2010, BBC News.

President Barak Obama recent announcement of a six (6) month moratorium on the granting of oil prospecting licenses! This is an issue upon which the both sides of the House on Capitol Hill, Republicans and Democrats in the Government of the United States of America were able to find common ground, as crime, as in Mexico and Jamaica, is a problem which the three (3) countries have in common. BP has since successfully capped the oil well, as stated in the article “BP installs new cap on oil well”, published Wednesday July 14 2010, BBC News.

That it took so long for politicians in all three (3) sovereign states to realize that Telecoms Providers were in effect aiding and abetting the activities of criminal networks, should strike an odd sounding chime in the minds of many. Politicians turned a blind eye to regulation of Public Sector companies in the Telecommunications and Oil Mining Sector and allowed the regulators and these multi-billion dollar companies to be “in cahoots”.

They are only now scrambling to regulate them after the baby and the bathwater had long been thrown out and milk had already been spilt and started to go stale, and the connection to the lack of proper regulation becomes glaringly obvious. A lesson to us all as to the power of money and how it corrupts people in power, a fact self-evident also by the recent actions of lobbyist Jack Abramoff as parodied in the movie Casino Jack and the United States of Money (2010).