News

WiFi pricing report: Europe is being ripped off.

by Guy Kewney | posted on 05 June 2003


A report from Telecom.Paper now out says that European prices for public "hotspot" are out of line with prices in Asia and the US - and forecasts that high prices will remain for some time.

Guy Kewney

A report from Telecom.Paper now out says that European prices for public "hotspot" are out of line with prices in Asia and the US - and forecasts that high prices will remain for some time.

"Public WLAN prices are very heterogeneous. The current pricing structure offers simple Internet access mostly for 2h or 24h and monthly flat rates," says the research brief.

Germany, Austria, Switzerland are offering public WLAN access at a price at the upper end, while at the same time providing some remarkably cheap access, it adds.

The authors say: "We believe that the market will split into two segments at least: high-end for top locations with guaranteed service plans geared at business travellers and corporates and low-end at an affordable price for consumers and occasional users."

But it suggests that as the number of sites goes up, prices will drop. "In comparison to the US and Asia the European price level is high. There is a significant positive correlation between the price level and number of hotspots employed."

Order a copy at this address for 39 Euros.


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