How much does data usage actually cost the carrier?

combat_chuck

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Hey, sorry if this is in the wrong spot, but this seemed like the most general forum. I am trying to find out how much our data usage actually costs a company like Verizon, like maybe when I use 1GB it cost them 50 cents, idk. I tried searching for it on google but every page it finds is for signing up for a service. So if anyone has the info that would be great or just give me a link and I'll read it myself. Thanks!
 

dezymond

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no idea to be honest

I do know they make quite a pretty penny when it comes to text messaging though.
 

takeshi

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It's really difficult to assess. You're assuming that a carrier's costs are static when they're not. Consider that the carriers are busy building out their 4G networks, among other things.
 

sarreq

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short answer, near nothing. it's equipment and greed we're paining for, mostly greed.

long answer. they have to pay money for new equipment capable of the faster speeds and to maintain that equipment (I'm counting wiring as equipment, before anyone asks).
next is greed. they have to pay various taxes and regulatory fees AND their upper executives big money. if it weren't for all that, we wouldn't be paying nearly as much as we do.
 

jjkrzmar

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Why would you own a business and invest money in it if you could not make a profit?

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sarreq

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nothings wrong with profit itself, but when you're making multiple-millions a year screwing your customers, there's a problem.
 

sharkerbaby

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more specifically...

priced according to what the market will bear

fundamental concepts of free market
 

hgaskins

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"priced according to what the market will bear "

As long as the government continues to turn a blind eye we will continue to be victims of price gouging. Thee is a limit as to how much profit can be made from a service'

"Price gouging is a pejorative term referring to a situation in which a seller prices goods or commodities much higher than is considered reasonable or fair. "
 

zomnomnombie

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-If you don't like a company's business model; do not support that company.

-If your luxury item is causing you difficulties in paying your bills; rethink the wisdom is keeping said luxury item.

-If you can't bring yourself to get rid of luxury item or find a cheaper alternative; seek professional help for lack of will power, need for status item and/or addiction.
 

hgaskins

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"If you don't like a company's business model; do not support that company."

Wouldn't it be nice if everything was that simple, and I suppose to the simple minded it is that simple. Almost all cell phone companies are gouging the public so this is not just a problem with Verizon. There are laws that the FCC could bring into question regrading some of the charges cell phone companies are levying against the public. The fact that I don't like being unfairly charged doesn't mean that I can't afford the item, it means that I will be among those who raise their voice loud enough to get the attention of those charged with oversight. The reason I've chosen Verizon is because my mother, my brother, and my two sisters all use Verizon and as you know Verizon to Verizon calls saves money.

Zomnomnombie:

I don't mind when people disagree with me because I'm not always right, but I do mind when someone's disagreement is packaged with unnecessary insults. BTW, you only use a semicolon to separate independent clauses not dependent clauses. Have a good day!
 

Dalvik_Cache

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Well kama on average it cost Verizon Wireless approximately 2.2 million dollars to build a brand new tower. it cost in hundreds of thousands year to maintain it. at any given METSO they tend to have on average no less than 4 fiber providers. On top of that there's salaries for engineers support people technical folks, sales, customer service , etc. Is there a fee that have to be paid to the government to maintain their Spectrum. So, while I can't give you an exact number I would venture to say that data cost them a lot. While this is true of all carriers Verizon is unique in the regard to say invest in a specially large amount of money into their network infrastructure. It is a fact that they have the largest and best network, that comes with a price.

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Dalvik_Cache

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Please forgive the poor spelling and punctuation in my last post, I'm using voice to text.

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