Feeds

US Senate wants answers on soaring text rates

us nets caLd 2 acownt

Providing a secure and efficient Helpdesk

The chair of the Antitrust Subcommittee in the Senate Judiciary Committee has written to the four largest US network operators demanding they explain why the cost of texting has doubled since 2005.

Text messages have been a nice little earner for European operators since cross-network connectivity became available, but txt is still a growing market in the US, and one on which American operators have been slow to capitalise - though the fact that texting rates have doubled from 10 cents to 20 cents since 2005 shows they're catching up fast.

The concern of Senator Herb Kohl is that all four networks seem to have increased their prices at roughly the same rate, and as the industry has seen consolidation reduces competition.

"I am concerned with whether this market consolidation, and increased market power by the major carriers, has contributed to this doubling of text messaging rates over the last three years," Kohl said.

AT&T, Verizon Wireless, Sprint, and T-Mobile have until 6 October to explain why the cost of texting has risen so much, and to demonstrate how they differentiate their pricing to ensure competition. ®

Security for virtualized datacentres

More from The Register

next story
HBO shocks US pay TV world: We're down with OTT. Netflix says, 'Gee'
This affects every broadcaster, every cable guy
Same old iPad? NO. The new 'soft SIMs' are BIG NEWS
AppleSIM 'ware to allow quick switch of carriers
Arab States make play for greater government control of the internet
Nerds told to get lost in last-minute power grab bid at UN meeting
iPhone 6 shunned by fanbois in Apple's GREAT FAIL of CHINA
Just 100 Beijing fanbois queue to pick up new mobe
Brits: Google, can you scrape 60k pages from web, pleeease
Hey, c'mon Choc Factory, it's our 'right to be forgotten'
Of COURSE Stephen Elop's to blame for Nokia woes, says author
'Google did have some unique propositions for Nokia'
It's even GRIMMER up North after MEGA SKY BROADBAND OUTAGE
By 'eck! Eccles cake production thrown into jeopardy
prev story

Whitepapers

Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Win a year’s supply of chocolate
There is no techie angle to this competition so we're not going to pretend there is, but everyone loves chocolate so who cares.
Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
Saudi Petroleum chooses Tegile storage solution
A storage solution that addresses company growth and performance for business-critical applications of caseware archive and search along with other key operational systems.