Even as some operators debate whether to raise
mobile broadband prices to boost revenues, a new report has
found that attractive service bundles are driving mobile broadband
adoption.
One of the bedrocks of the
mobile computing revolution, mobile broadband, according to the
report by the Tariff Consultancy, is prospering due mainly to the
growing number of flat-rate packages and the increasing value of
the service offered.
Among the main findings from the survey of users in 33 European
countries is the fast that
mobile broadband flat
rate bundles are now the norm across the continent and are the
most common form of price package.
Pricing in 2008 has fallen by an average of 4% across all
countries when compared with the previous year even though the
average flat rate package bundle provided has doubled over the last
12 months to almost 4GB. Specifically for the UK, average mobile
broadband prices have fallen by 35% in the last year.
The most common monthly user allowances on offer across Europe
are 5GB and 10GB, closely followed by 1GB and 500MB allowances.
Additionally, there are at least 20 mobile operators across all
countries which are now offering an “unlimited” user allowance for
their Mobile Broadband service
Four-fifths of mobile broadband operators in Europe charge on a
per mega byte out of monthly allowance – for national traffic -
with charges ranging up to 3.27 Euro per MB although typical rates
are between 10 and 20 Euro cents.
Commenting on the research findings, Tariff Consultancy Ltd
Managing Director Margrit Sessions said, “Although mobile broadband
pricing has continued to decline overall, the most striking feature
has been the continued increase in monthly user allowances which
have more than doubled in the course of a year.”
Tariff Consultancy predicts that with more mobile operators
deploying HSDPA networks, theoretically supporting download speeds
of up to 7.2 mbs, the increase in flat rate packages is likely to
continue. Yet this will only take place if operators take steps to
ensure that mobile computing users enjoy both value and quality
services.
“Mobile operators have to ensure that they provision the network
capacity to meet the demand that flat rate pricing will create and
also safeguard against over-selling their service,” Sessions
added.
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