Is mobile telephony still expensive? Competition, MVNOs (similar to a type of collective purchasing) and regulation are pushing prices lower, including international rates. In the EU, the cost of data roaming fell to EUR 0.45 per MB from 01 July. In a year, EU roaming prices will drop again to EUR 0.19 per minute to make a call (now EUR 0.29), EUR 0.05 per minute to receive a call (now EUR 0.08), 6 cents a SMS (now 9 cents) and EUR 0.20 per MB. That last price means a cost of EUR 200 per GB still, so there are still opportunities for other providers to offer a cheaper service. It could all end quickly though if Neelie Kroes has her way and the difference in domestic and international roaming prices disappears from next year.
The EU wants to make it possible for mobile users to pick a different provider when they're traveling abroad, rather than relying on the default roaming network. The implementation of such a system is already underway, but progressing slowly. In the mean time, there are other possibilities. To start with, using Wi-Fi is increasingly common. For just calling, there are any number of apps available too, which offer calls over the internet at extremely low rates. Such apps, like RingCredible, Viber or Skype, are developed based on a healthy wholesale market for minutes.
CrowdRoaming
A new entrant, CrowdRoaming is offering an alternative. The company has developed an app that recognises other people using the service. Whoever installs the app agrees to make at least 20 MB per month of their mobile data plan available for the other users to share. The idea is that people roaming abroad can make free use of a local's mobile broadband. While the local may be giving up some of his data, he hopes to benefit when abroad from borrowing from someone else. CrowdRoaming's concept has a couple of major drawbacks: first, the users are asked to give up their own MBs, and second, the service will only take off once a true network effect is underway.
HolidayPhone
HolidayPhone offers customers prepaid Sim cards so they can stay in touch when abroad using their own numbers. At the same time, they can make calls, SMS and use the internet at local rates. The service is available in 29 countries.
Conclusion: over to the consumer
The high costs of using a mobile phone abroad are quickly becoming a thing of the past thanks to regulation - at least if you stay in the EU. Free Wi-Fi is another well-known solution, and VoIP/chat apps offer a low-cost way to make calls and SMS. The problem of expensive mobile data when roaming is addressed in another way by CrowdRoaming (sharing your MBs with tourists). HolidayPhone offers both SMS/voice and data at local rates by giving out Sim cards. And more solutions will be available.
Now it's just up to consumers to see what takes their fancy.
