SMS marked up 4876%!
I’ve always wondered why text messages here in the US seemed so pricey. Now we all know why. Carriers mark up SMS (text messaging) 4876%… And we continue to pay for it!
Verizon and other cellphone companies mark up the cost of text messages by at least 4876% when compared to their rates for data transfer services. Verizon’s max text message size is 160 characters. At 7 bits per character, that’s 1120 bits or 140 bytes. Without a text messaging plan, those 140 bytes run you $.10 (ten cents), according to Verizon’s website. Compare that to the rate for data transfer (like when you would use your cellphone as modem). That rate is $.015 every 1024 bytes. That’s $0.0000146484375 per data byte versus $0.000714285714 per text message bytes. In other words, a markup of 4876%. Other cellphone companies charge comparable rates.
Any heavy text messagers out there? Dan and I send massive numbers of text messages per month. If you’re a heavy text messager, let us know how many you send / receive in any given month.
