“Both plans include a new iPhone 5S with 16 gigabytes of memory. Both require a two-year commitment and allow unlimited voice minutes and unlimited texting,” Anna Bernasek reports for The New York Times. “The plan offered by the British provider, Three UK, offers unlimited data and requires no upfront payment. With Britain’s 20 percent tax included, the plan costs 41 pounds a month, or $67.97 at current exchange rates.”
“The plan provided by the American carrier, Verizon Wireless, has an upfront cost of $99.99 and then $90 a month, not including taxes,” Bernasek reports. “Spreading the upfront cost over 24 months and adding 17 percent tax — typical for the United States — comes to $109.47 a month. But while the British plan includes unlimited data, the American plan does not. It includes two gigabytes a month, with an additional gigabyte free during an introductory period.”
“So why the $41.50-a-month difference in price? Several factors are involved, but an important one is regulatory policy,” Bernasek reports. “Britain has forced companies to lease their networks to competitors at cost. The United States has not, allowing a formidable barrier against competitors.”
Read more in the full article here.
[Thanks to MacDailyNews Reader “Lynn Weiler” for the heads up.]