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Cellular Phone Forum / Providers / ATT Wireless / April 2004

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Go Phone now charging taxes

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Eric - 10 Apr 2004 16:34 GMT
I got a letter in the mail today saying that my Go Phone service rate
plans would be increasing because they are starting to charge taxes,
fees and surcharges like regular postpaid plans.  My number of available
minutes per month will not decrease however.

GoPhone is getting more and more like postpaid plans by the day, with
the exception of the no contract thing.  And that free nights are no
longer being offered.  I wonder what Cingular will do with the Go Phone
product.

Eric
LithiaSpgs - 10 Apr 2004 16:49 GMT
>GoPhone is getting more and more like postpaid plans by the day, with
>the exception of the no contract thing.  And that free nights are no
>longer being offered.  I wonder what Cingular will do with the Go Phone
>product.

They will probably do away with it. The providers are trying to move away from
the pre paid gigs.
John S. - 11 Apr 2004 15:48 GMT
>The providers are trying to move away from
>the pre paid gigs.

Actually that is not the case. More and more you are seeing Pre-Paid coming
into it's own. Pay As You Go is the largest method of payment in the rest of
the world and the American cellular/PCS companies are starting to take note.

--
John S.
e-mail responses to - john at kiana dot net
rfgdxm/Robert F. Golaszewski - 11 Apr 2004 22:43 GMT
>> The providers are trying to move away from
>> the pre paid gigs.
[quoted text clipped - 3 lines]
> in the rest of the world and the American cellular/PCS companies are
> starting to take note.

  Yep. And there is now Virgin Mobile reselling Sprint PCS in a prepaid
form. Without the prepaid plans, they lose that part of the market that uses
cell phones occasionally, or just for emergencies.
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Kevin D. Davis - 12 Apr 2004 04:47 GMT
This made me decide to switch to a contract plan (that and the
attractiveness of the shared plans).  But you can't keep your number and get
a new phone.  And you really have to do strange things to get the Web
Exclusive Bonus items.

Finally ended up calling and just cancelling the gophone.  When I did, they
told me I might get charged for another month.  Or maybe not.

> >> The providers are trying to move away from
> >> the pre paid gigs.
[quoted text clipped - 7 lines]
> form. Without the prepaid plans, they lose that part of the market that uses
> cell phones occasionally, or just for emergencies.
Todd Allcock - 12 Apr 2004 05:12 GMT
> > I wonder what Cingular will do with the Go Phone
> >product.
>
> They will probably do away with it. The providers are trying to move away from
> the pre paid gigs.

Just the opposite.  The wireless business has matured to the point
that pretty much any elligible person who wants a contract cellphone
HAS a cellphone.  The major carriers are just trading churn customers
now.  The only real growth in the industry comes from additional
features (text and picture messaging, PTT, wireless internet, etc.)
and prepaid.

The carriers are experimenting with various prepaid options to see
what works- cheap minutes, long expiry dates, with data, without data,
etc, in attempts to expand the prepaid market as much as possible
without gutting their bread-and-butter contract business.

That's probably what makes the prepaid business seem like it's being
ignored- the carrier's fears that really attractive pre-paid plans
might actually cause them to "steal" business from themselves- hence
AT&T's decision to add taxes, etc. to GoPhone.  Perhaps consumers in
high-tax markets like NY may have discovered GoPhone was actually more
attractive than standard AT&T service!
 
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