Is “unlimited” good for Canadian consumers and businesses?

Guest blog post By Hernan Popper
Strategic-Partner – Schooley Mitchell of Winnipeg

From the early beginnings of wireless services in Canada, Canadians have been counting… Minutes first, texts later, roaming, and, of course data.

With new technologies and enhanced services, we got used to unlimited. Now we have unlimited calls, unlimited texting, even unlimited international calls with a cheap add-on to many plans.

Not having to count brings peace of mind, and previsibility. It’s like an all inclusive vacation, which may or may not be the best option. We don’t really think anymore before making that call or sending that text. We do still worry, every time, when we are using data intensive applications like video calling, online gaming, remote work and other applications.

The response to excessive charges, overages and ugly invoice surprises was data pooling (or data sharing). A shared amount of data to be shared among all users in the account, so heavier users can benefit from the unused allowance from light users.

This works, and has been the norm for many years.

Yesterday, wireless vendors announced “Unlimited Data” as the next big development to help Canadians compete in a digital world. The question is: “Is unlimited wireless data good for Canadian consumers and businesses?”

Rogers announced yesterday the availability of the new “Infinite plans”: https://www.globenewswire.com/news-release/2019/06/12/1867543/0/en/Rogers-Introduces-Infinite-Wireless-Data-Plans-With-No-Overage-Charges.html

Later yesterday, Telus also announced their unlimited plans: https://mobilesyrup.com/2019/06/12/telus-promotional-plan-75-15gb-byod/

Early this morning, Bell posted their own unlimited plan: https://www.bell.ca/Mobility/Cell_phone_plans/Unlimited-plans

Is it really unlimited? Debatable, as users will be able to use as much data as required, but will receive a significant decrease in their download speeds after a set amount 10GB for Rogers, 15GB for Telus at this time. Speed will drop to almost unusable after this threshold. Of course, you can always buy more!

Is it good for consumers and businesses? Not necessarily.

These new plans come at a significantly higher rates than existing data share plans, starting at $75 without any hardware subsidy.

What this means is that, even if not required to have access to “unlimited”, consumers and businesses will pay significantly higher amounts for the same usage.

All those businesses, consumers and organizations who had actively controlled and monitored their usage, will undoubtedly pay more. Only exception are those users who had no control and kept paying for overages at outrageous rates.

At this time, it is understood that current packages will be grandfathered and not available in the future.

Paying more for something that you don’t need, is simply not good for you, nor any business or organization.

Before adding additional expenses categories and becoming “Your Vendors Watchdog”, Schooley Mitchell was, for over 30 years, “The Telecom Experts”. We’ve analysed invoices for over 21,000 clients. We know every telecom rate available in Canada, even before cellular services existed. Our clients know they are getting the right service, by the right vendor, at the right price.

If we have not had the opportunity to help your business or organization control your expenses, make sure, before signing any renewal, proposal or long term commitment, that you explore all options.

Because simply paying more is not an option.

#spendsmarter

Hernan Popper

Telecom Expert

Strategic Partner – Schooley Mitchell of Winnipeg