59% of iPhone users spend more than $100 per month on carrier bills
iPhone users have the highest carrier bills among all smartphone platforms, with with 10 percent spending more than $200 per month with their carrier.
The data comes from the latest research by Consumer Intelligence Research Partners, which shared the info with All Things D. A total of 59 percent of iPhone users polled between October and December of 2012 indicated they spend more than $100 per month with their carrier, compared to 55 percent of Android users, 40 percent of BlackBerry owners, and 56 percent of Windows Phone users.
None of the iPhone owners polled by CIRP spend less than $25 per month on their bill, while just 6 percent fell in the $25 to $50 range. In comparison, 14 percent of Android users were under $50, and 30 percent of BlackBerry owners had that low of a monthly bill.
In the $51 to $100 range were 36 percent of iPhone owners, with the bulk ? 49 percent ? spending between $101 and $200 per month.
Carriers pay higher subsidies for Apple's iPhone to lock users into a new two-year contract. As a result, the carriers get customers to commit to monthly plans that are costlier on average than those used by owners of competing smartphones.
Michael Levin, co-founder of CIRP, told All Things D that he believes the difference comes from the fact that "all" iPhone users are on "expensive data plans," while some Android users are un prepaid or unsubsidized plans offered by regional carriers.
Carrier subsidy costs for the iPhone became a focal point for Apple last year, when some market watchers expressed concern that carriers could balk at Apple's higher subsidies. Apple Chief Executive Tim Cook downplayed those concerns last July, noting that the total subsidy that carriers pay is "fairly small" when compared with the monthly payments that carriers collect from their subscribers.
Cook also noted that the iPhone has a lower "churn rate," a term the wireless industry uses to describe the number of customers who leave a carrier in a given time period, He also said that iPhone users are also more likely to have an iPad with a data plan, while Apple's engineering teams work closely with carrier partners in an effort to find the most efficient way of handling data.
"At the end of the day, the carriers want to provide their customers with what their customers want to buy," Cook said. "And so the most important thing for Apple by far is to continue making the best products in the world."
The data comes from the latest research by Consumer Intelligence Research Partners, which shared the info with All Things D. A total of 59 percent of iPhone users polled between October and December of 2012 indicated they spend more than $100 per month with their carrier, compared to 55 percent of Android users, 40 percent of BlackBerry owners, and 56 percent of Windows Phone users.
None of the iPhone owners polled by CIRP spend less than $25 per month on their bill, while just 6 percent fell in the $25 to $50 range. In comparison, 14 percent of Android users were under $50, and 30 percent of BlackBerry owners had that low of a monthly bill.
In the $51 to $100 range were 36 percent of iPhone owners, with the bulk ? 49 percent ? spending between $101 and $200 per month.
Carriers pay higher subsidies for Apple's iPhone to lock users into a new two-year contract. As a result, the carriers get customers to commit to monthly plans that are costlier on average than those used by owners of competing smartphones.
Michael Levin, co-founder of CIRP, told All Things D that he believes the difference comes from the fact that "all" iPhone users are on "expensive data plans," while some Android users are un prepaid or unsubsidized plans offered by regional carriers.
Carrier subsidy costs for the iPhone became a focal point for Apple last year, when some market watchers expressed concern that carriers could balk at Apple's higher subsidies. Apple Chief Executive Tim Cook downplayed those concerns last July, noting that the total subsidy that carriers pay is "fairly small" when compared with the monthly payments that carriers collect from their subscribers.
Cook also noted that the iPhone has a lower "churn rate," a term the wireless industry uses to describe the number of customers who leave a carrier in a given time period, He also said that iPhone users are also more likely to have an iPad with a data plan, while Apple's engineering teams work closely with carrier partners in an effort to find the most efficient way of handling data.
"At the end of the day, the carriers want to provide their customers with what their customers want to buy," Cook said. "And so the most important thing for Apple by far is to continue making the best products in the world."
Comments
I doubt there are millions of people who pay $200 for an "expensive data plan" all for themselves.
I would suggest that the primary reason why a bill would be so high, is because it's for a family. E.g. add in the kids who got an iPhone.
Quote:
Originally Posted by AppleInsider
Michael Levin, co-founder of CIRP, told All Things D that he believes the difference comes from the fact that "all" iPhone users are on "expensive data plans," while some Android users are un prepaid or unsubsidized plans offered by regional carriers.
My 15€/mo "expensive data plan" would like to disagree, Michael.
Quote:
Originally Posted by KDarling
I doubt there are millions of people who pay $200 for an "expensive data plan" all for themselves.
I would suggest that the primary reason why a bill would be so high, is because it's for a family. E.g. add in the kids who got an iPhone.
Professionals maybe? Or people who can't live without checking AppleInsider and download TS's pictures several times a day?
Before my company picked up the tab (had to switch to Big Red from AT&T), my bill was between $134 to $136 a month with taxes. Unlimited (read throttled after 3 gigs) data and unlimited everything else.
I certainly would like to see figures for other countries, though I'm not surprised it's US-only.
It looks relatively platform agnostic. 59% iPhone vs. 53% with Android.
I didn't notice any mention in either article on multi-line / family plans, which should have been an obvious question to the writer at All Things D. The only way to get the full paper is to buy a copy, which is out of the question as far as I'm concerned.
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We have Verizon iPhone service and Verizon FiOS Internet, TV, Landline.
If you priced our home service based on their cellular plan, FiOS would cost us over three grand a month.
Currently, our 90+Mbps FiOS bill is about 25% less than our two iPhone plan.
When will the mobile data bubble burst? They have our you know what's in a vice.
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I am actually surprised by that!
I fall in to the $101-200 category myself. I have an iPhone 4S on AT&T's network with unlimited everything. I don't find this hard to believe at all.
Quote:
Originally Posted by JeffDM
I certainly would like to see figures for other countries, though I'm not surprised it's US-only.
It looks relatively platform agnostic. 59% iPhone vs. 53% with Android.
Exactly what I was thinking. This obviously is a US only, so with that in mind, we just learned that Android & iPhone control over 92% of the smartphone market here so to me... the other OS's are absolutely meaningless. What I see in this headline is a confirmation that cellphone bills are exceedingly expensive. Period.
I went from $129/month (original "unlimited" iPhone ATT plan, no text, some international calls, taxes, fees) to ~$50/month (Straighttalk + Google voice for international) on my out of contract IP4. Once Apple releases a phone that is truly worth the $700 price over my current IP4, I'll buy it unsubsidized and go with an MVNO or TMO (if they ever get their network in order) prepaid. If the only option is an expensive $100+ contract on the big carriers, I'll go Android.
Because those prices are an EXTREME RIPOFF.
Quote:
Originally Posted by KDarling
I doubt there are millions of people who pay $200 for an "expensive data plan" all for themselves.
I would suggest that the primary reason why a bill would be so high, is because it's for a family. E.g. add in the kids who got an iPhone.
So, that many customers have family plans?
3GB internet with tethering
Unlimited calls to all mobile phones in France, US and Canada
Unlimited calls to all landlines in 150 countries
Unlimited SMS/MMS
150 TV channels included
With two iphones, unlimited data for one, 2GB for the other, and the requisite 200 sms @ $5 for each, we're paying $120 plus taxes [as part of our $292/month Uverse bill]
Quote:
Originally Posted by CentralParkMac
I fall in to the $101-200 category myself. I have an iPhone 4S on AT&T's network with unlimited everything. I don't find this hard to believe at all.
I just checked and got up to $139/mo for unlimited calling, text messaging and the 5GB data plan. I didn't add international dialing. I would find a friend and check out MobileShare to see if you could drop the per phone costs down to a reasonable level.
Quote:
Originally Posted by desarc
Does this survey ask how many iPhones are on your plan?
With two iphones, unlimited data for one, 2GB for the other, and the requisite 200 sms @ $5 for each, we're paying $120 plus taxes [as part of our $292/month Uverse bill]
Wow that's a lot. In France we have packages at 30+15 euros for internet router + tv + unlimited calls on landline + unlimited everything on mobile.
http://translate.google.com/translate?sl=fr&tl=en&js=n&prev=_t&hl=en&ie=UTF-8&eotf=1&u=http://mobile.free.fr/
The reason I stayed with AT&T when I got my iPhone 5 was that Verizon couldn't come close to matching my grandfathered plan's $65/month bill with FAN discount: 450 minutes, 200 texts, and "unlimited" data (throttled past 5 GB). I use maybe 120 minutes, and on the order of 1 or 2 GB of data, but the real reason this plan works for me is that the lion's share my texting is through iMessage.
It would suck to have to buy one of the new plans today...
Quote:
Originally Posted by ClemyNX
Wow that's a lot. In France we have packages at 30+15 euros for internet router + tv + unlimited calls on landline + unlimited everything on mobile.
It does show Americans can really cut back on their costs. Free should expand in their developing economy!