Comments on: Snapshot: ITU findings on mobile broadband affordability in the Caribbean 2012 https://ict-pulse.com/2013/10/snapshot-itu-findings-mobile-broadband-affordability-caribbean-2012/?utm_source=rss&utm_medium=rss&utm_campaign=snapshot-itu-findings-mobile-broadband-affordability-caribbean-2012&utm_source=rss&utm_medium=rss&utm_campaign=snapshot-itu-findings-mobile-broadband-affordability-caribbean-2012 Discussing ICT, telecommunications and technology Issues from a Caribbean perspective Mon, 28 Oct 2013 18:39:32 +0000 hourly 1 By: John Thompson https://ict-pulse.com/2013/10/snapshot-itu-findings-mobile-broadband-affordability-caribbean-2012/#comment-170286 Mon, 28 Oct 2013 18:39:32 +0000 http://www.ict-pulse.com/?p=37091#comment-170286 The incidence of similar pricing in mobile broadband for prepaid and post paid really indicates the extent to which cost based pricing is not being maintained in the Region. because on a cost- based premise, both services could not possibly be the same. This is because of the fact that access costs were heavier in the prepaid prices cost profile, being previously absorbed in the usage minutes of the voice related services. Now with the always on broadband network transmission technology, access must be spread over a very longer time horizon and relate to different carriages cost (no circuit switching, TDM technology being superseded). Cost models would reflect these difference and show prepaid costs different to post paid. Post paid also absorbed big servicing of free usage minutes. The fact that these prices are level and level possibly at the higher end of the pricing range of the two, means costs are not being driven properly to services or, that either one of these service prices have elements of cross subsidy.

It is important that cost based pricing be elevated now in telecoms and in other all industries as this has a direct link to global resource efficiency and economically sustainable cost recovery strategies for the long term. This will help to remove uneconomic uses of natural resources as the world moves to deal with the more overarching issue of 1)deficit of natural resources(meaning they need to be utilised more efficiently and not used for excess pricing above what is intrinsic value, which in turn constitutes waste and a “sister ill”of 2) global and environmental climate problems, which too can also be traced to inefficient use and abuse of natural. resources

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