Posts tagged bell

Two Years Later: HSPA+ Comes to Canada

Two years ago this month I wrote a piece about Bell & Telus’ shiny new shared HSPA+ network (here October 7, 2009); let’s take a reality check to see how much has changed since then.

In that piece I explained that Bell and Telus had separate CDMA networks which they would be abandoning in favour of a new HSPA+ network, which has happened very smoothly.  At the time Rogers had covered about 84% of the Canadian population with HPSA (3.6 and 7.2mbps) and had just opened their first city with some HSPA+ support (Ottawa, if I recall correctly) and over the next six months upgraded many other cities that had existing 3G service to HSPA+ (in May 2010).  Rogers has also since expanded their 3G coverage to include the province of Manitoba (through a partnership with TBayTel) and some other areas on Ontario, thus leaving the Maritimes with unchanged 3G service areas (though they promise this will change “soon”).  Neither Bell, Telus, or their subsidiary brands have offered Rogers customers a means out of their existing contracts.  Rogers has also launched LTE 4G in 4 cities in 2011: Ottawa, Toronto, Montreal, and Vancouver.  Rogers data packages are typically 500MB or 1GB for the two most common smartphone packages; LTE starts at $52.93/10 GB.

Bell and Telus have also had a busy few years; let’s start with Bell.  For years Bell had a 50% share in Virgin Mobile Canada, a MVNO that used Bell towers and cellular equipment on the “no-frills” wireless service plans offered by Virgin.  In 2009 BCE Inc. bought out the remaining shares of Virgin Mobile Canada to make it a full subsidiary company and began to offer HSPA/HSPA+ phones in late 2009.  Today, Virgin has very competitive phones and plans, and is a serious wireless provider that offers “tab” service rather than traditional termed contracts (whereby 10% of your bill each month pays off the balance remaining on the purchase cost of your phone).  Bell still maintains Solo Mobile in central/western Canada, though they’ve fallen by the wayside in light of the Virgin brand.  Bell continues to activate, sell, and service CDMA phones and has no current plans to discontinue service for these phones in the near future, though they do no longer service analog phones.  The average package with Bell and Virgin is 1GB with the typical smartphone package ($60 and $65/mo respectively).

Telus has also been busy: Koodo, a “no-frills” affordable service provider they created in 2008 to attract younger, cost-conscious consumers has taken off; as of today they offer a vast selection of smartphones with data plans starting at $5 (a flexi-plan that increases with usage) as well as a 2GB/$30 plan which far-and-beyond beats typical dataplans with Bell, Telus, Rogers, and Virgin.  Telus now offers a nearly HSPA-only line of phones, with a selection of HSPA+ handsets.  I had imagined that there would be more of these phones by now, however they’ve only really come out in great numbers in the past year after AT&T announced their use of HSPA+.  Typical data packages remain greatly unchanged for Telus, with approximately 1GB being the average allotment for most consumers (as is bundled with their $65/mo smartphone package).

The strange development in Canada in the past two years has been new entrants with HSPA+ on the AWS (T-Mobile) bands, notably Wind Mobile and Public Mobile.  Wind greatly focuses on unlimited services, such as unlimited data, messaginng, and calling within Wind-zones (where Wind has towers; the phones will still function outside of these, though will be roaming with increased airtime rates).  Rogers has launches a competing brand, Chatr, aimed at this “unlimited  in zones” mentality which is a scam: Wind has to do “zones” because they only have towers in those areas yet still wish to offer nationwide service.  Rogers has nationwide service (to some degree) and arbitrarily enforces “zones” on Chatr customers.  Wind has now accumulated more than 317,000 subscribers (here) and is still going strong.

In the near-to-mid-term future we have the Maritimes’ largest cable provider, Eastlink, launching some sort of cellular network.  Currently Eastlink offers a Motorola Canopy network for rural broadband across Nova Scotia and is partnered with Rogers Wireless to offer discounts for bundle customers.  Eastlink has cable/internet/home phone service in nine provinces, though is most predominant in Atlantic Canada (Nova Scotia, New Brunswick, PEI, and Newfoundland).  Given that Bell or Telus are the only real options for cellular service in the Maritimes, there are high hopes for Eastlinks forthcoming service.  Notably, in 2005 Eastlink began offering home phone service and made the 902 area code (for Nova Scotia, New Brunswick, and Prince Edward Island) the most competitive in North America.  Hopefully the 902 area code will once again be the most competitive in 2012 with cellular service.

 

Solution to AT&T Data Usage Problems

These are my thoughts on AT&T’s issue with smart phone data usage.  If you don’t know much about me; I am Brad Arsenault of Nova Scotia, Canada.  I am an avid iPhone user.

I am probably not wrong in making the assumption that most Americans don’t fully understand other cellular data model from around the world, and I’d like to illuminate the Canadian cellular service model in hopes that it will prevent more issue from coming.  I know that Rogers isn’t a stellar cellular provider, but I challenge me to show me one that is.

My current understanding of AT&T’s cellular data model is this: you pay a flat rate for unlimited wireless data usage.  With the original iPhone that was $30/mo, then when the new iPhone 3G was released you had to upgrade to a $35/mo service to get access to 3G service.  I take this to mean that you pay one tier for EDGE/GPRS and another for 3G (ignoring 3G coverage).

Here’s how the Canadian system works: you sign up for a data contract and have two basic options:

  • Fixed amounts of data for a fixed rate.  Using more than your allotment results in an overage by the MB. *Rogers only
  • Flex rate plans. You advance through definite tiers of data quantity, priced at definite amounts.  No overages.  These tend to be a premium on fixed amounts of data. *Rogers, Telus, or Bell

I’ve found that in data-only plans (where you purchase a voice and a data plan separate from each other) the data pricing (for smart phones, Blackberrys are excluded from this category by some carriers) goes as follows (Rogers plan stated):

  • $25 – 500MB fixed
  • $30 – 500 flex rate, 1GB fixed
  • $35 – 1GB flex
  • $50 – flex 2GB
  • $60 – 3GB fixed
  • $65 – 3GB flex
  • $80 – 5GB fixed
  • $85 – 5GB flex

Canada and the US are very similar, correct? There are similar mobile services to be enjoyed, correct?  The cultues of smart phone use are very similar in the US and Canada, correct? Then it can be assumed that Canadian and American “data hogs” use approximately the same amount of data, correct?  Rogers has stated that 4% of their smartphone customers exceed data usage of 500MB/mo.  –meaning in a room of 100 people (selected at random) only 4 people would have used more than 500MB, and 96 having used <500MB.

I can presume that AT&T, Verizon, and Sprint are all looking into this model, however if it would sell, they’d need ads out the wazoo to prove that they aren’t swindling customers AND can’t apply it to current contracts (whether renewing customers would be forced into this pricing plan? No idea.)

The problem is that I’m proposing anti-net-neutrality.  And that could be true, same with I could be proposing limitations that would limit clients from accessing web content (such as TWiT; Leo Laporte having said many times that net-neutrality is good because it doesn’t limit people from consuming his and other content).  But I’m not.  It’s just like saying that having limited amounts of minutes on a cellular voice plan will destroy families by not allowing people to reasonably keep in contact, especially long-distance families.  Remember that data could be looked at in the same light as voice is.

Let’s look at the voice system: there are landlines and cellular phones.  They are interconnected, provide a common ringtone, and also provide the same dialing system.  The difference being that cellular phones are accessible anywhere where as to use your landline you must be near it.  Another difference is that landlines phones have unlimited local calling, cell phones don’t (typically).  This has rarely been called on as a question of debate.  This could be debated as talk-neutrality; “why are there two tiers of voice? –landline and mobile.”

Are there really two tiers of voice?  Yes, because of human behavior.  When was the last time you talked for hours on end around town on a phone? (let’s ignore vacations, hotel stays, and talking on a cell phone at home.)  When was the last time you called somebody on your landline to ask them if they wanted you to pick up a coffee on the way home?  For me, that second one, never.  The tiers of voice have been created by design, especially where cell phones only started sounding decent since the introduction of UMTS/3G.

Lately AT&T and Rogers (and some other carriers) have introduced products which allow you to chat using VOiP at home; Rogers calls this “Home Calling Zone” and AT&T calls this the Microcell.  Both of these use your internet connection to carry voice to the call servers.  In both cases you get reduced long-distance rates and unlimited local calling (I don’t know about AT&T, but Roger’s charges $15/mo + hardware for this service; $25/mo for unlimited Canada-wide calling).  Why are these cheaper than using the cellular towers?  Because you are keeping your voice off of the towers.  Infrastructure.  Let’s apply the same process to smart phone data.

Let’s think in this new mindset, using the infrastructure of least resistance: when you’re at home you’re connected to WiFi for your data, and this is probably faster than any 3G you can get now.  When you go to get a coffee you leave your home WiFi as you leave the driveway and you’re now on the cellular network.  When you get to Starbucks you connect to their WiFi which AT&T has graciously given to you for free as part of your cellular package.  You return home without having used nearly as much data as you would have before, and got better data speeds.  This system works, especially if you only get EDGE/GPRS/1x.  I’m not saying to boycott the cellular towers entirely, just be more frugal with your bits.

Thinking of two tiers again; yes, there are two tiers for data–landline and mobile, just like voice.  Having mobile more limited than landline probably won’t matter, unless we go to an Australian-like data model where ALL data is capped, tiered, throttled, and expen$ive.  There needs to be some balance, and I think Canada happens to be it.

Just my thoughts.

Bell & Telus HSPA+ Network

Last October two of Canada’s three major national wireless providers, Bell (BCE Inc) and Telus Mobility, announced a joint venture to build a shared next-generation network.  This partnership started in 2001 and was supposed to increase competition against Rogers Wireless (Canada’s #1 wireless carrier by subscribers), since 2001 Telus and Bell have erected shared towers, specifically in the Atlantic Canada region.  Because of the shared network Bell and Telus were able to introduce 1xRTT in the early part of the decade and EVDO in 2005 very rapidly.  Telus and Bell operate CDMA networks (CDMA-2000 with 1X and EVDO support to be specific).  However that seemed to be changing in October of last year (2008). [read this for more information]

In October of 2008 Bell and Telus announced that they would be building a shared next-generation network, using HSPA+.  Let’s take that piece by piece:

  • Bell and Telus are currently CDMA carriers
  • EVDO is the 3G data network for CDMA
  • HSPA+ is a 3G GSM-based technology
  • Verizon uses CDMA in the US
  • Rogers Wireless currently operates Canada’s only GSM network (ATT, T-Mobile in the US)
  • Rogers has HSPA+ sectors in major Canadian centers, 3G in most major centers, and EDGE covering the remaining area

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