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Cell Phones Companies Fight Number Portability

andy1307 writes "The Washington Post is reporting that wireless companies are opposing mobile number portability. According to the law as it is being written, customers would be able to transfer wired phone numbers to a wireless service. Not surprisingly, Verizon is the wireless company opposing the law."

27 of 256 comments (clear)

  1. The US Again... by Woxbert · · Score: 5, Interesting

    Not only am I going to try for first post, I'm also going to try and point out that us Europeans have had this for years...

    If only global companies would look outside of national markets for best practice, consumers would have a much better life.

    1. Re:The US Again... by clonmult · · Score: 5, Informative

      We've had it for years, its been handy to take my number between networks without problems, but the whole cost of cross network charges is a pain. You used to know which network someone was on by their prefix, now you haven't got a clue, and its almost worth asking "what network are you on" when you first call someone, just to keep call charges down.

    2. Re:The US Again... by JaredOfEuropa · · Score: 4, Interesting

      We've had it for a few years in Holland, and it works wonderfully well. All you need is to sign a release form with your new provider, and (provided all your bills with the previous provider are settled), the number is transferred within 10 days. This is one of the few actual successes of our Competitive Practices Watchdog.

      I had the dubious pleasure of working on the NP project for corporate customers of one of our telco's. The telcos' claim that NP is an expensive requirement that will bring zero ROI is true... this was not a simple project to do, and the marketing guys explained that NP allows you to steal customers from competitors but that it does little for your bottom line, as you'll have to lower prices.

      We are already working on the next step: number portability for bank accounts!! Oh yes, finally I can go to my bank and tell them to get stuffed, while keeping my bank account nr. Switching bank accounts is an even bigger pain than switching telephone numbers, especially in the Netherlands where people tend to use lots of direct debit invoicing. The banks know this, and banking service in Holland is generally dismal compared to other countries.

      --
      If construction was anything like programming, an incorrectly fitted lock would bring down the entire building...
    3. Re:The US Again... by 6hill · · Score: 4, Insightful
      Making a call within the same operator can be half the price of calling to another operator. One operator has one area code, so you know how much the call will cost you.

      IIRC this feature of financially "binding" customers to their existing networks (or encouraging e.g. families to use the same operator) is under investigation as a possibly illegal marketing strategy. 5 minutes of googling didn't help in finding a reference, but I recall reading about it in the paper here. So it could be merely a temporary anomaly in mobile pricing.

    4. Re:The US Again... by rf0 · · Score: 3, Informative

      Yeah going to have to agree here. However for the UK (and maybe other EU) countries it is a general rule that mobile number begin with 07xxx. If you see a phone number you can tell if it is a landline or mobile. Within the US all the numbers are intermingled and you can't tell what a number connects to short of asking

      Rus

    5. Re:The US Again... by Dot.Com.CEO · · Score: 5, Interesting

      I live in Portugal too. A friend did change operators while keeping his phone number. Apparently, he cannot get reliable service, his phone numbers gets disconnected for days with no explanation other than "technical difficulties" and when he asks what a permanent solution would be, they say (yes, you guessed it) that he should have a number in the block allocated to his current operator...

      --
      Mother is the best bet and don't let Satan draw you too fast.
    6. Re:The US Again... by Kenneth · · Score: 4, Insightful

      Maybe Slashdot should adopt a category for US centric news?

      FAQ

      --
      There is a civil war coming in the United States. Remember which side has most of the guns
    7. Re:The US Again... by _Spirit · · Score: 3, Interesting

      Eehm I don't know what Holland you live in but having been exposed to banking all around the world I am grateful that I live in Holland. I can transfer money now from my account to yours (or anyone else in Holland) within a few hours at no cost (or instantly for a small fee) with only a name, a number and a few clicks. If you think this works in the same painless way in other countries I would suggest living abroad for a while. I don't think you would ever complain about Dutch banks again.

      Oh and by the way we don't have number portability between wired and cell phones, just between cell phone providers (that's what the article is about)

      --

      beauty is only a light switch away

    8. Re:The US Again... by sql*kitten · · Score: 4, Informative

      igh roaming costs: happens when there is not enough competition between telcos (or worse, secret agreements to keep prices high). This is a matter of antitrust authorities.

      The problem isn't roaming per se. In a given European country, all telcos operating within the country will have (almost) complete coverage. Roaming only happens when you are in another country, and even that is going away (pretty much everywhere has a Vodafone-owned operator now, for example). I can't remember when I last had to even think about roaming, it's all very transparent, and doesn't even cost that much if your operator is set up for it.

      The issue is calling a phone on a network operated by another company. The precedent for this is the difference in cost between calling locally and nationally. Now the distance isn't so much physical as it is topological. Calling someone on your own network is like a local call, routing it to another operator is like a national call. It is fair that this costs more (but not much more), because the telco (or rather, the telco's equipment) has to do more work to connect a cross-network call. It's like peering arrangements between ISPs, it will almost always be cheaper (in bytes per day per dollar) to move data around within your own network than to route it via a peering point.

  2. US phone technology by Anonymous Coward · · Score: 3, Funny


    if(article.story.indexOf("phone")!=-1 && user.location.ToLower()=="usa"){
    phone.advancemen t("years") -= 10
    }

  3. What I'd rather have than portability... by aquarian · · Score: 4, Interesting

    ...is a national area code not tied to area. This makes sense because if you're calling a Verizon customer, for example, you're connecting with their network locally anyway. From there it's all within Verizon's network, so the area code shouldn't make any difference. The only real use cell phone providers have for geographic area codes, is for marketing purposes.

    The problem now is that while I have a national calling plan where calls anywhere in the US and Canada are the same price, people calling me from the next street may have to pay long distance charges. This is absurd -- though I live on the east coast, people calling me locally have to dial a California number. And keeping my number is important -- it's my established business and personal number, wherever I happen to be.

    So, why can't we just have national area codes for cell phone users with national plans?

  4. Why not as the same way on the 'net? by Anonymous Coward · · Score: 5, Insightful

    I had the same problem with emails.. Change ISP, and you have to change email accounts. Similar problem ,as your correspondance and cards all have to change. You also have to alert everybody that olduser@oldisp.com is now gone. Pretty much a pain in the ass.

    Well now, I purchased my own domain name and I run my own mail server. If somebody wants to email me, they aim it at user@mydomainname.com (my domain hidden to protect from /.ing ). My IP's can change ill it wants, I can simply use an auto-update daemon.

    What I'm saying, is have the similar sort of dial-setup. You can either buy a phone redirection circuit, or if there's dealers out there, buy a redirection phone number.

    Old style=
    Caller => You

    New style=

    Caller => Redirection service => wherever you specify

    My plan's sort of like DNS for phones.

  5. Okay. WHY?!?! by philovivero · · Score: 3, Insightful

    Considering reading the article before commenting? Don't bother. They haven't done their homework. The reason they're fighting the number portability laws? Because it would increase their costs... I'll let the cognitive dissonance batter your brain a little bit on that one.

    Lame, lame, lame mobile phone providers. Get a clue. Service your customers. Provide value for the money. How about more anytime minutes per month? Or how about if you don't use your anytime minutes this month, they roll over to next month?

    Come on, people. Stop sitting comfortably on your piles of ill-gotten profits and serve the customers like you're supposed to be doing. I swear, the way our legislature is bending over and taking it from the corps in this country is astounding.

  6. The real reason for the phone number shortage by aquarian · · Score: 3, Insightful

    ...is that phone companies, pager companies, etc., buy numbers in blocks of 10,000 and have rights to them forever, so whether they're used or not they don't return to the pool. Because they hold your number they can hold you hostage. God forbid they should compete on service.

    If we didn't have this situation, there would be no need for the constant splitting of area codes.

  7. Sigh by CaptainZapp · · Score: 4, Insightful
    Wireless companies say the mandate will increase their costs and do little to promote competition in an industry already battered by a price war.

    Er, yes your honour each customer who intends to keep his number due to crapp^H^H^H^H^H reasons, which we really don't understand will cost us 2$37.

    Lawyers for the CTIA and Verizon Wireless claim the rule is unnecessary because competition for the nation's 144 million wireless subscribers remains robust.

    Yes guvernor, we spent 230'000'000$ annually for lawyers and lobbying in order to fuck^H^H^H^H provide for better customer service...

    --
    ich bin der musikant

    mit taschenrechner in der hand

    kraftwerk

  8. If only this passes.. by mcesh · · Score: 4, Insightful

    Just think - the ability to keep numbers allows anyone to switch to the cheapest price plan du jour, until the price war bottoms out. Then what? Maybe certain companies (anyone? anyone? ) would have to stop competing on pure price and actually start to offer services valuable to customers, such as the ability to make and receive calls reliably.. the horror! (in fact, the telcos could even realize that if thousands of people in a certain area code are ditching, then perhaps it's time to buy a few more towers there?)

    never underestimate the powers of condescension - It knows not the bounds of time or space

  9. Hong Kong by yehim1 · · Score: 5, Interesting

    In Hong Kong, they have had it since the beginning.

    The country code is +852, and mobile phone numbers always start with either 9 or 6. All the numbers are governed centrally in a pool by a regulatory body.

    When you subscribe to a network, you would pay a surchange to the regulatory body for the "number", and then it belongs to the network you are subscribed to. When you change networks, you keep your old number but you have to pay about US$10 to the regulatory body to change your information.

    In this way, there is better competition between operators (there are 7 in this small country!!), and the users are not bound in anyway to an operator that offers shitty service.

    There is a flip-side, however. Here SMS'es between networks are charged at about USD 0.20, but SMS'es in the same network are charged USD 0.10. There is no way of determining whether your receipient is in the same network! Even if you know, they might have changed their mobile network...

    Also, with MMS coming up, it gives additional problems if you do not know which network your receipient is in. But the networks are opening their MMS services for inter-network sending soon, so it would be solved (just like SMS'es).

  10. Australia introduced this recently by EvilMike · · Score: 4, Informative

    ...and Australia is roughly the same size in area as the contiguous United States, so the argument that it is only due to small coverage for telcos in Europe (that some people have been posting) is hogwash.

    Some more information:

    http://www.aca.gov.au/consumer_info/publications/b rochures/mnp.htm

    You can move phone numbers between GSM and CDMA in Australia as well as between Telcos. There are about four-five players competing for mobile telephony in Aus, but they have national reach and aren't fragmented like the mess in the USA.

  11. Portability rules! by nordicfrost · · Score: 5, Informative

    Number portability and virtual networks is the key to a healthy and competitive cell market. I live in Norway, where we have two networks (Telenor (former state monopoly) and Netcom). These companies have the GSM infrastructure and rents out air time to virtual operators such as Chess, Sense, Carrot and You. Combine the vitual networks with law-mandatory number portability and you've got some good competition going on. The prices have gone down a bit after the portability was introduced. When there was only Telenor and Netcom, you had an effective oligopoly.

  12. I work for a Telco by Anonymous Coward · · Score: 5, Informative

    here in Canada, and I think one of the main issues here we're (as in slashdot) ignoring is the simple less sinister one: cost.

    Number portability, atleast for us, is a major expensive pain in the @ss.

    We are planning on moving towards number portabilty, because we feel it's ultimately good for everyone involved - new cutomers that move into our area can keep old numbers etc. etc. We also get a happier customer out of the deal, if he/she can choose us over another competitor simply because they can keep their phone number - we feel that will offset the cost of churn.

    The problem is, billing systems need to be updated, massive changes in the switching equipment need to be maintained AND - we need cooperation from other Telco's. In Canada as well, there's the legal issues of satisfying the government, (CRTC), so unfourtunately everything moves at a snail's pace.

    I'm not sure about other companies in the US, but I don't think it's a typical problem of the "huge corporations trying to screw the customers" in this case, which is often trumpeted by the majority of slashdotters. Basically a major rework of the phone system needs to be done throughot North America to make this work properly, and sadly this is going to take some time.

    1. Re:I work for a Telco by amcguinn · · Score: 4, Interesting

      This is consistent with my experience working for a small telco in the UK when portability was coming in for non-geographic numbers (0800 etc)

      We were strongly in favour of it, as it made it easier for us to take business from competitors, but it was a lot of work -- I was working on the issue for more than 6 months, plus a lot of bedding in afterwards, and that was just the billing and inter-company charging infrastructure. If exchange upgrades are needed, that's a very large delay and expense.

      Obviously that's not much excuse for opposing it, and consumers need to keep pushing for it, but it's worth hanging on to a reasonable amount of patience...

  13. Playing Devil's Advocate by john.wingfield · · Score: 3, Insightful

    Let's just play devil's advocate for a minute. In the UK it used to be the case that you could tell the mobile operator from the dialing code of the number, e.g. 07866 for Orange, 07788 for Vodafone. (This can still be done at UK Phone Information.) This was useful, since many tariffs give you free or cheaper calls to numbers belonging to the same operator. Since numbers became portable, you can no longer make an assumption as to the operator.

    While it certainly an advantage for the consumer for his/her number to be portable, it may end up costing him/her more.

  14. Good idea, hard to implement by tigress · · Score: 3, Insightful

    Number portability is a very good idea. Unfortunately, there's some real costs and problems involved in implementing it.

    For instance, operators get large series of numbers. This can be blocks of tens of thousands to tens of millions of numbers, with a specific prefix. Just like Internet routing, those blocks (or prefixes, if you want to think that way) decide where a call goes.

    Now, what happens when you want to make a number portable? Well, those blocks still exist. The problem is that whenever you make a phonecall, the connection goes to the operator who owns the block. That operator, in turn, looks up the number and decides what to do with it. If it's a number that's moved to another operator, they either redirect the connection, or establishes additional connections to the new operator (depending on the technology used). The costs of doing so is sometimes greater than just accepting a call to one of their own customers.

    Now, add the cost of updating the exchanges, the billing systems, educating the staff and so on and you'll quickly realise that this is not a trivial task. Also remember that this adds a huge amount of complexity to the telephone system, a system that's already overly complex.

    Compare this, for instance, with trying to implement portable IP-numbers. It's not the same thing (different technology among other things), but the complexity issues are similar.

  15. I work in the U.S. wireless telecom industry... by mosburger · · Score: 5, Informative
    ...I write billing and customer care software. We've been ready for WNP for years now. Thought I could maybe clear a couple of things up...


    A lot of people are complaining about the fact that in the United States, we only give out blocks of 10,000 numbers. That simply isn't true anymore. Most people don't realize this, but last November, all non-GSM (more on U.S. GSM in a sec) U.S. Cell companies 'split' their phone numbers into two identical numbers... one called the MDN (Mobile Directory Number, or Mobile Dialable Number), and the MIN (Mobile Identification Number). The MDN is what you actually dial when you call your friend on their cell phone, and the MIN is (sort of) what the call routes on (actually, it routes on a different number called the Local Routing Number or LRN, which is associated with the MIN, but I digress...).


    Anyway, when the numbers got split, it because possible to dole out phone numbers in smaller blocks... if someone needs a block of 1000 numbers and it's in the same cost center (think long distance charges) as someone else who needs 1000 numbers, they can share the same block of 10000 MDNs and use different MINs with different LRNs. This whole process is called 'Number Pooling'.


    All of this also allows for WNP. So essentially, the software is already doing all of the 'hard stuff' today... we've been using two phone numbers since last November. On Nov 24th 2003, you will be able to port your MDN. Your MIN will change. So your dialable number might go from Verizon to Cingular, but your MIN will change from a Verizon MIN to a Cingular MIN. You and your friends don't notice any difference... think of your dialable number like a pointer to a MIN.


    Confused? See why Verizon doesn't want to do this? I think WNP is a good thing, but I barely understand this stuff, and I helped write the damned software that's supposed to do all this... imagine training hundreds of customer care staff on how this stuff works.


    GSM in the U.S. is a little less scary 'cuz it was designed from the ground-up to route on a separate number from the dialable number (they call the diable number the MSISDN... forget what it stands for off the top of my head... it's pronounced 'Mizz-din'.) GSM routes (again, sort of) on the IMSI, which is programmed into the SIM card. It's kinda sorta like combining the ESN (serial number on the phone) and the LRN from the TDMA/CDMA world into one number.

  16. US cellular plans in a nutshell by cgenman · · Score: 4, Informative

    Just pointing out, in the US there are no cross network charges. People pay a per-minute outgoing charge defined by the carrier they signed up with irrespective of whom they are calling. Cellphone owners pay the same to send or recieve calls as defined by their carrier. This leads to a small degree of double-billing, but when comparing 5c per minute landline long distance vs 60c per minute cell times, the billing is academic.

    But the cell phone industry in the US is a scam. Here's how it works. First off, you estimate your usage... be it 100 minutes, 400 minutes, or 1,000 minutes. If you are too high you are charged every month for minutes you don't use. If you are too low... and you really don't want to be too low... you spend about 75c per minute. 300 and 500 minutes at the beginning of the month might be 20 and 30 dollars, but at the end of the month a 300 minute plan going to 500 minutes will cost you 170 dollars.

    That's not all. Going from local to state-wide to nation-wide roaming might cost 5 - 10 dollars per month in advance, but if you take a trip outside your calling area, and give a loved one two 30 minute update calls, expect to pay an extra 40 dollars. Larger calling areas don't necessarily mean no roaming as companies have implemented plans with off-network roaming in your home calling area... that dead zone at your favorite resturant now costs 40-60c per minute.

    They also charge for long-distance, which is an example of the aformentioned double-dipping. If a person is calling you, they are paying long distance to reach you (5-15c per minute), but you are paying long distance charges to recieve the call too (15-25c per minute). Thankfully many cellular companies have plans that include this "service" for a small fee, though the fact of the matter is that they just want your money.

    To lure people into using their cellphones more frequently, all carriers offer promotional night and weekend minutes. The night time has slowly crept from 6PM to 9PM, and the morning from 9AM to 6AM, but the offer is valid... usually for a limited time. AT&T is famous for cutting off promotional night and weekend minutes when a contract expires without telling the customer, which generally leads to one multi-hundred dollar bill per customer.

    The upsetting thing is that of course this is all a paper exercise. There is no resource that is allocated at the beginning of the month, no bandwidth that your carrier has to purchase at truly tremendous rates if you use more than your allotted space. They don't have to send a lackey from New York to Boston to buy emergency extra air time from a carrier there. It's just a form of billing, and nobody would put up with it in any other industry.

    Landline portability has been a reality for many years here... I know people who have taken their number with them throughout several locations without any sevice degradation. The article cites the %25 turnover rate as a sign of healthy competition, but numbers that high are a sign of very unhappy customers. I don't know anyone who owns a cellular phone and who hasn't been hit with at least one ludicrously high bill... $100 dollar bills are common. And while friendly, support always refuses to do anything about it except bump you up to a more expensive plan for the coming months so that you can hope it doesn't happen again... of course when you move up a plan you automatically make another one-year contract so that you can't join that ticked-off %25 churn without paying the hefty "cancelation" fees to pay for services not rendered.

    Cellular companies don't want anything that would allow people to leave because they know they treat us badly, plain and simple.

  17. Voice over IP by dotslash · · Score: 3, Interesting

    Do you know what really pisses me off? For the last two years I have been paying $3 a month on my phone bill for "Number Portability Charge". Whenever I have actually tried to "port" my number there is always a reason why it can't be done.

    I'm sick and tired of telcos. This month I am moving to a new home so I did some research into VoIP. I found a service from Vonage which allows me to setup a VoIP connection to a POTS system over broadband. It is SIP and H323 compatible. It costs only $39.99 a month and gives me unlimited free calls everywhere in the US and Canada, anytime. Not only that, but because it isn't classified as a communications service there are no surcharges. Just for comparison, Verizon offers a similar flat fee package for $64.99. The taxes and surcharges that they conveniently separate from the price add another $40 per month.

    Good riddance...

  18. Phone Identities via DNS by Nurgled · · Score: 4, Insightful

    We should add a new DNS record type for international telephone numbers. It'd be reasonably easy to have a DNS gateway over cellphone networks so that phones can resolve the phone number from a name before dialling.

    Sure, it would be harder to enter the number the first time on a numeric keypad, but you'd store the name in your phone's memory so that you only have to type it once, and those with phones with QWERTY keyboards would be set!

    It sure would be nice to be able to dial sales.somecompany.com rather than having to look up their number first. The main benefit, though, is the abstraction -- people can change their numbers and only be out of touch for the time it takes for the DNS record to expire.

    The benefit of using a separate record type is that, like with MX records, it could coexist with other record types so that, for example, support.ibm.com could resolve to both an IP address and a telephone number.

    I'm sure some company would soon step in with cheap 'catchy' phone hostnames in similar vein to free, throwaway email for those who don't have the know-how, desire or funds to run their own domain.

    Why DNS? Because it's already there, and it works well.