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Old 02-21-2008, 09:18 PM
George
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Default Re: How many users actually benefit from $99 unlimited?

4phun wrote:
> On Feb 21, 11:53 am, SMS <scharf.ste...@geemail.com> wrote:
>> For the cost of one of those $99 unlimited plans (which will be about
>> $115 after taxes and fees), you could buy about 2150 minutes on a
>> prepaid network (at about 5.3¢ per minute). That's about 35 hours a
>> month. Other than certain business people, i.e. realtors, field service,
>> etc., how many users actually use over 2000 minutes per month?
>>
>> PagePlus charges as low as 5.3¢/minute for voice, and as low as 3.5¢ per
>> text message (when you buy the $80 "1400 minute" card at a discounted
>> price of $74). They also offer unlimited voice minutes for $2.49 a day,
>> or $75 for a 30 day month.
>>
>> It seems that too many consumers look at the "unlimited" part, without
>> understanding that $99 is a) not really $99, and b) not such a great
>> deal compared to non-unlimited plans, and c) a lot more than they have
>> to pay for unlimited voice.

>
> I think that with a low enough price point that unlimited becomes
> useful for those who want to drop a landline and go all cellular all
> the time.
>
> Unfortuantely I think that getting Magic Jack is a bigger bang for
> the buck in dropping a old fashioned landline then trying to cut the
> cord using a cell phone plan. You can't beat unlimited calling in the
> US and Canada 24 X 7 for only $20 a year. Plus you get all those
> advanced phone services thrown in for free also .
>
> Magic Jack is one kick ass phone company when it comes to net cost!
> Now if AT&T could drop the cell bill to only $20 a year that would be
> something.
>

But magicjack doesn't have a sustainable business plan. Also there is a
huge difference between a wireless carrier who has to have a massive
infrastructure compared to a VoIP provider who needs some equipment in
one location.

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