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Massachusetts Plans a Cell Phone Bill of Rights

freaktheclown writes "Via Engadget, the news that Massachusetts' state legislature is considering a cell phone bill of rights, which would 'limit contracts to one year, require easier to understand monthly bills, and force carriers to fix dead zones.' You may recall that California adopted a similar bill of rights last year before it was shelved last January."

38 of 258 comments (clear)

  1. All of these "rights"... by jxyama · · Score: 5, Insightful

    Are carriers "allowed" to adhere to offer these "rights" by raising the price? Why don't we let the economics of the industry take care of this? T-Mobile offers one year contracts, but makes you (generally) pay more for the phones. You can't eat the cake (heavily subsidized phones) and have it too (short contract).

    1. Re:All of these "rights"... by robbyjo · · Score: 2, Interesting

      Discounts or free phones are disappearing? Maybe in a short term. Later they will reemerge as the competition goes fiercer. I wouldn't worry for that.

      --

      --
      Error 500: Internal sig error
    2. Re:All of these "rights"... by Peyna · · Score: 2, Interesting

      I think the competition is already fierce, as many consumers that bought a plan over 2 years ago are now finding themselves free to switch. For example, I recently contacted Sprint PCS to cancel my plan entirely as I now use Vonage for most purposes and only need the phone for emergency purposes. The offered me in succession upon denial of the previous offer: a $15 a month plan, one free month, two free months. I decided there was no harm in taking the 2 free months to decide if I wanted to keep the phone. They just lost $60 worth of revenue on the off chance that they might keep a customer they already had.

      To me, that says there is definitely competition brewing, but it's more on the lines of attracting customers that already have a plan elsewhere. This is probably because the number of households without a mobile phone is quickly dropping.

      --
      What?
    3. Re:All of these "rights"... by Qzukk · · Score: 3, Insightful

      Because the economics of the industry has failed to fix the dead zones or convice carriers to allow people to use any phone they want with any carrier that it's compatible with. We pay universal access fees to promote network development yet that money seems to go into a big black hole, or a CEO's bank account, whichever is available.

      --
      If I have been able to see further than others, it is because I bought a pair of binoculars.
    4. Re:All of these "rights"... by squiggleslash · · Score: 2, Insightful
      The economics of the industry are not taken care of by allowing carriers to obscuficate their costs using increasingly bizarre tariff and contract systems.

      Two year contracts, right now, are about decreasing churn, not better amortizing phone subsidies. Phone subsidies are generally paid back within a couple of months of the user buying the phone. Usual subsidies are in the $100 range. With $50 being about normal as a monthly charge, you can probably figure out that phone subsidies are not, actually, that massive a proportion of your two year contract's revenue.

      Why are carriers worried about churn? Because they have an interest in reducing competition. If users can simply skip from one carrier to the next, they'll do exactly that, jumping to whoever does the best deal, and jumping from one carrier to another as their needs change. That creates uncertainty, and it also creates an environment in which mobile telephony is likely to become a commodity service. Nobody wants to be in a commodity industry.

      Two year contracts are an absurdity. Most people's needs change more frequently than that. If the cellular companies are able to get away with such things right now, it proves the system isn't working. People can come up with whatever free-market-solves-everything BS they want, the fact is that if the majority of people are doing something dumb, and the people persuading them to do so are doing so largely for the wrong reasons, then the free market is not being a "solution", it's exhibiting a problem. Laws that level playing fields are a good idea, and this is a good proposal.

      --
      You are not alone. This is not normal. None of this is normal.
    5. Re:All of these "rights"... by Dot.Com.CEO · · Score: 2, Funny

      In real conversation such delay is nonexistant. I will, however, avoid calling people standing next to me lest my poor brain gets confused.

      --
      Mother is the best bet and don't let Satan draw you too fast.
    6. Re:All of these "rights"... by Omnifarious · · Score: 2, Informative

      Network development != R&D. Network development means expansion of the network. And that's exactly what universal service fees are for.

  2. Fixing Dead Zones? by gbulmash · · Score: 5, Interesting
    Fixing dead zones? Then Anthony Michael Hall would be out of a job.

    But seriously folks...

    Also, fixing dead zones, AFAIK, would require more cell towers. If the lack in some areas was due to municipal zoning issues, how is that reconciled? Does the state bill allow the cell carriers to steamroll city/county planning commissions?

    The main question on my mind, though, is would the cell phone carriers offer fewer freebies and worse deals if contracts were limited to one year, or would the competition in the market end up causing Mass. consumers to get deals on one-year contract that the rest of the country only gets on two-year contracts.

    - Greg

    1. Re:Fixing Dead Zones? by Anonymous Coward · · Score: 3, Informative

      Also, fixing dead zones, AFAIK, would require more cell towers. If the lack in some areas was due to municipal zoning issues, how is that reconciled? Does the state bill allow the cell carriers to steamroll city/county planning commissions?

      That is a big huge if.

      The fact is that my town has been trying to get decent cell phone reception for years. We even offered a company rent-free, tax-free use of the land for 50 years. We'll secure it, and bring power to it.

      And we'll let them put the blasted thing just about anywhere.

      They just aren't interested, as "the service offered is adequate".

    2. Re:Fixing Dead Zones? by Secrity · · Score: 2, Insightful

      But for services like cell phones and mail, people have a legitimate right to expect they can get the same service (for approximately the same cost) in Tinytown, Wyoming as in Megalopolis, New York.

      Why? It may be that the economics balance out between providing mail or telephone service in Tinytown and Megaopolis and the charges would be similar. If the economics do not balance out there there should be NO guarantee that the charges to customer should be expected to be similar for the two localities. Just because the USPS charges uniform rates and the US government forces telco subsrcibers to subsidise rural telephone service (the the Universal Service scam), there is no reason to expect that wireless service also be subsidised.

  3. Reasons for complaint by gunpowda · · Score: 2, Insightful
    The bill would address common cell phone annoyances...
    Industry sponsors say they'll fight the bill.

    The only grounds they really have for complaint here is the economic feasibility of allowing one year contracts - the longer the contract the easier it is to subsidise the cost of the phone and still obtain a handsome profit.

    But arguing about dead zones and refusing to offer bills consumers can understand? What could the possible justification there be?

    1. Re:Reasons for complaint by mi · · Score: 3, Insightful
      But arguing about dead zones and refusing to offer bills consumers can understand? What could the possible justification there be?
      That's a wrong question. They should not be forced to justify anything. If you don't like them, you can live without a cell phone.

      There is no physiological addiction to the phones, nor are these companies government entities. They don't owe you anything.

      If they don't care to fix "dead zones" and want to send out "cryptic" billing statements (I never had a problem with mine, though), then so be it. The competition is healthy -- either the consumers will switch in droves, or these are not really problems.

      Now, the requirement to allow the phone-number transfer was a good thing, because there was no incentive for a single one company to offer that, if all competitors did not. Better coverage and easier to read statements are quite different.

      --
      In Soviet Washington the swamp drains you.
    2. Re:Reasons for complaint by ElBuf · · Score: 2, Insightful

      While I find this line of argument compelling in a lot of instances, this isn't one of them. Wireless companies' entire business is predicated on their access to a public asset, spectrum, which is finite and is licensed (in the US) by the federal government. IANAL, but my understanding is that this comes bundled with a number of obligations under the Federal Telecommunications Act of 1996, one of which is to provide universal service. So, in this instance, it's not a simple as "if you don't like it, go somewhere else". Under current law, they do owe us some things, though I'm not sure easy-to-read bills is one of them.

      el buf.

  4. Maybe it will go federal someday by dj245 · · Score: 3, Insightful
    Enough states do this and maybe the feds will take note and Congress will do something. The do-not-call list started this way, and I have gotten no more calls.

    On the other hand, this bill sounds a little vague and doesn't do enough. The pricing schemes of cell companies are terrible, and pay-as-you go plans suck monkey balls in the states. You should be able to buy a sim card and use whatever phone you choose, like the Europeans do. They have it good over there!

    --
    Even those who arrange and design shrubberies are under considerable economic stress at this period in history.
    1. Re:Maybe it will go federal someday by griffjon · · Score: 4, Interesting

      Definitely. The cell phone market is not a good example of a free market system due to the former monopoly players involved, and the monopoly practices they are able to use through tower control.

      I predict that US cell companies will one day soon be revealed to be colluding and price-fixing, and doing all sorts of nasty oligopoly/monopoly illegal things.

      e.g. why the fuck is text messaging on most carrier 5-10 cents to send and again to receive? that's pure profit (excepting when people are flooding the text channel, evidentally). Why do they charge from opening the line as opposed to the receiver picking up the call? How do they magically attribute 20 minutes of calltime in chunks to my own number? (I don't have that much voicemail!)?

      Why do they lock down phones and features within phones?

      I'm disgusted with the US cell phone companies compared to options abroad. We as consumers are getting screwed over, and most people don't even realize it.

      --
      Returned Peace Corps IT Volunteer
  5. A bad idea by Snamh+Da+Ean · · Score: 3, Insightful

    Why should the government get involved with a market like this? Where is there evidence of market failure, such as excessive market power by the cell companies? Why does the state think people necessarily want to have only one year contracts, and why does it think it knows better than consumers? If the market is competitive, then it should be able to provide most of what people want. If the market is not competitive, the state should encourage entry, but it should not get involved with dictating the terms of businesses to those better qualified to assess their reasonableness. TFA article makes no mention of customer groups complaining about these features - is it a case of politicians throwing their weight about unneccessarily? Anyone from MA know of consumer initiatives in this area. Right, that sould be about enough questions! Ok?

  6. These problems can be fixed by the market by Omnifarious · · Score: 4, Insightful

    I don't see a lot of strong evidence that that's not the case. One danger in imposing caps and restrictions like this is that it provides a convenient collusion point for all carriers. The government mandates this is the worst we can do, and gosh-darn-it, that restriction is awfully chafin, we would like to do even worse than that, but this stupid regulation prevents us, so we're stuck here doing the worst we're allowed.

    While doing things that reduce the barriers to switching to a competing carrier are good, and making sure that no one carrier can ever get a lock on a particular market would also be good, I don't see a lot of point in these other restrictions.

    What I would like to see in a 'cell phone bill of rights' are things like "I have the right to not be called for commercial (profit or non-profit) purposes by entitities that I have not given explicit permission to call me. And if you do receive any such calls, you have the right to not be charged the airtime for them.".

    Commercials are an ever-present creeping kudzu that will take over any vehicle of communication if given half-a-chance. Even google is starting to put commercials inline with search results and only marking them off with a colored box.

  7. There ain't no free lunch by John+Jorsett · · Score: 3, Insightful

    Long contracts are how cell companies manage to offer you "free" or low-cost phones, "free" minutes, etc. If contracts are limited to one year, you'll see those sorts of offers disappear or go up in cost. Maybe that's an acceptable result, but no one should expect that this regulation will somehow usher in a utopia for the consumer in which all sorts of new rights adhere at no cost.

    1. Re:There ain't no free lunch by Hektor_Troy · · Score: 4, Informative

      HRmm... odd. We have 6 month limit, and they are forced to tell you the total cost in those six months.

      And we still have 15 cents cell phones.

      That's in Denmark by the way.

      --
      We do not live in the 21st century. We live in the 20 second century.
    2. Re:There ain't no free lunch by JimBobJoe · · Score: 2, Interesting

      I don't buy it. If that were entirely the case, I should be able to go to any of the wireless provider's website or store and see them advertising bring-your-own-phone month-to-month plans.

      Technically, that is indeed the case. If you look closely at just the plans themselves, they often don't mention service contracts. The companies themselves don't necessarily want you to do things this way, so they don't draw attention to it, but it's very doable. (Verizon and Cingular, as I recall, offered the plans month to month gratis, Sprint charged an extra $5/month to do it.)

      People buy old cell phones off ebay all the time and mate them to month to month plans.

  8. How About a Non-Cell Phone Users Bill of Rights? by Anonymous Coward · · Score: 3, Insightful

    Like:

    - Cell phones prohibited in libraries, theaters, conferences, etc. punishable by death.
    - Cell phones prohibited while driving.
    - Loud ringers prohibited.
    - Obnoxious ringtones prohibited.
    - Make it legal to smack cell phone users for whatever reason.
    - Cell phone towers only allowed in yards of cell phone users.

  9. unlocked phones by pyros · · Score: 4, Insightful

    The only requirement I'm waiting to see is unlocked phones so the carriers can't keep stifling cool new technology. Verizon really screws customers be disabling/removing nice features that the manufacturers put in and advertise.

    1. Re:unlocked phones by MBCook · · Score: 2, Insightful
      Bingo. These are the rights that I care about:
      • If the feature is available on the phone, it must be enabled and not crippled
      • Data on the phone belongs to the user, not the carrier, and must be accessible by the user (to pull data off the phone/put it on without having to go through the carrier).
      • Use of one feature on the phone (such as downloading new games) should not require use of another feature (such as accessing the internet) that may cost extra.
      • If a user wishes to use a cellphone on your network that is compatible (i.e. use a CDMA phone on Sprint's network) the company CAN NOT refuse the customer on the basis that the phone was not purchased through the company's store. (This is to create a free-market of cell-phone suppliers)
      • If a feature is on a phone but does not work to the fullest capacity (see: bluetooth on most any phone is the US) these facts MUST BE EXPLICITLY STATED ON THE BOX.
      • Jamster is not allowed to operate in the US (OK, so I couldn't think of one more, but this one seems good enough).
      --
      Comment forecast: Bits of genius surrounded by a sea of mediocrity.
  10. Fixing dead zones... by doormat · · Score: 3, Insightful

    I moved into a new house 6 months ago, and low and behold, my cellphone doesnt work in all but one room of the house (no signal or emergency only). I'm locked into a contract with Cingular until next summer. So should I be charged $300 to get out of the contract because their service sucks at my new house?

    --
    The Doormat

    If you're not outraged, then you're not paying attention.
    1. Re:Fixing dead zones... by TheGavster · · Score: 2, Informative

      You're the one who signed the contract; it's your responsibility to negotiate an escape clause for the poor service after a change of residence. Or, when buying the house, you could have checked cell coverage when seeing how the neighbors are and if the faucets leak. Blaming the company for you not thinking ahead is kind of silly.

      --
      "Because Science" is one step from "Because old book". Try "Because of my experiment testing my falsifiable assertion".
    2. Re:Fixing dead zones... by hazem · · Score: 2, Interesting

      Negotiate? You're kidding, right? Negotiate with Verizon for different contract terms - when all they have is a generic, Verizon-friendly, contract that comes out of a receipt printer? Right. You say, "I'd like to ammend the contract.", and after consulting their manager, they'll say, "I'm sorry we can't do that."

      I know - I can walk away.

      Go to Sprint - same thing.

      Go to Cingular - turn around and walk away before you even talk to them...

      Negotiating a new contract is just not available. That's why I'm switching back to a pre-paid when my current contract expires.

      And someone should not buy a house because the cellphone company they're locked into has bad coverage? Why should that even have to be part of the calculus... "I can't buy this house because my cellphone company will fuck me out of $300". That's irrational! Why are we even stuck in a world like that? Hell, with a lease on an apartment, they can't stick it to you for the rest of your term when you quit unless they fail to fill the apartment after making a good-faith effort.

      The industry is working in a way that fucks the customers - the customers really want cellphones and they have few options. How is that nearly all the companies work in the same fucked-up way? It really looks like there is some kind of collusion - and that's when governments have to step in.

    3. Re:Fixing dead zones... by eliktronik · · Score: 2, Informative

      While going around and calling people dumbasses is fun and all, I must say the parent had a good point regarding your third statement. If you're about to build a house, it's a perfectly reasonable thing to walk around and check the strength of cell service before buying the property. After all, having cell service is pretty important to most people (myself included) and you are presumably going to live there for a while. If you barely get service on your property, then you will have none inside your future house.

      If the signal is just weak you may want to get an external cell phone antenna...

    4. Re:Fixing dead zones... by DAldredge · · Score: 2, Insightful

      If the damn cell companies would publish the maps they already have of where the dead areas are this would not be an issue.

      But they won't do that.

  11. Danish law by Waerloga · · Score: 3, Interesting

    Danish law limits contracts to half a year.

  12. Rights? by argoff · · Score: 3, Insightful

    With all due respect, things like free speech and posession of waepons are a right. Cell phone freebies coercively imposed on everyone else it not. How about MA start focusing on the real rights, like quit pouncing on everyone with high taxes and regulations, and stop focusing on pretend rights like cell phone freebies.

    1. Re:Rights? by argoff · · Score: 2, Interesting

      Like fuck it is. Freedom from harm is. Freedom from having to worry about armed losers who probably can't even spell "safety catch" should be.

      Do you even know why the 2nd amendment was placed into the US constitution? Do you even know why it's worded, "the right to bear arms shall not be infringed" instead of saying "the people may own shot guns" (hint, because it's presumed to be a right that exists above government). The right to bear arms *is* about freedom from harm, the right to bear arms *is* about having the freedom not to worry about armed loosers (especially armed loosers that govern). The right to secure your rights is a right, and because of that the 2nd amendment almost was made the first amendment.

      When the US became a seperate nation and the Brits invaded to take it back - they encountered something never encountered before. Citizens armed with guns.

      Year later, after the civil war, they were very quick to turn it back into a free territory, why? Because the army worried that it couldn't controll citizens with guns.

      After sanctioning the killing of indians for over 100 years, the US govt did an about face and decided to try and make treaties and peace with them, why? Because the indians were comming to posess guns and the cost of killing them became huge.

      What about how soviet invasion plans for american territories were scrapped time and time again, what about one of the reasons why the swiss were spared from the german advance during WW2, or how german citizens had their gun rights revoked just before ww2. What about countless other nations and, and countless other conflicts, and countless other genocides that simply could not have happened in a gun ownership environment. I think you're the one that needs to be educated.

  13. Oh God. by Renraku · · Score: 4, Interesting

    How about contract reform?

    Generally, contracts are very one-sided. I mean the cell phone company can cut you off at any time, but if you cut them off when on a contract, you must pay.

    Anything they can get their hands on means a swift and harsh punishment will be coming.

    I mean you can always say 'don't sign the contract!' that's fine and dandy, but the very act of looking at the contract usually means you want (and sometimes need!) whatever service is being provided.

    Look at any contract. When you apply for a job and get hired, you usually have to sign a contract saying something like 'everything i do on company time is owned by the company, even if i'm on break or lunch, i have the right to be fired at any time without warning or reason, i must donate all worldy goods to the company, etc.' in exchange for employment and getting paid for what you're working on.

    --
    Job? I don't have time to get a job! Who will sit around and bitch about being broke and unemployed then?
  14. Already happened by argoff · · Score: 2, Insightful

    The ironic thing is that people can already get these services if they pay a higher price.

    If someone wants simple billing and no contracts, all they half to do is get pre-paid cellphone service and pick up refil cards at any 7-11 (They got those in MA right?).

    If someone wants more coverage, all they half to do is get a satellite phone.

    All this is really saying is that people are entitled to cell phone freebies at soneone elses expense. Shure has gone downhill from the days where a right ment things like free press and free religion. If MA wants to think about rights, perhaps they should look at the economic freedom rankings of their own state.

    1. Re:Already happened by Fnkmaster · · Score: 2, Informative

      What Massachusetts does is essentially engage on behalf of consumers as a sort of collective agent. While you may think this is terrible, Massachusetts is one of the few states left in the union where an individual can actually get good health insurance by self-paying. Here in NY, the self-pay plans are all atrocious, the providers have terrible records of denying claims en masse, and your only choices are POS and HMO (i.e. bad and worse - the coverage sucks compared to BCBS/MA PPO Direct Pay). And an individual plan in MA, while expensive as hell, is still only 60% of the price of the best POS plan available here in New York.

      As for "economic freedom", there's generally plenty of it in Massachusetts. It's an incredibly entrepreneurial state, with large tech and life sciences industry presence, a huge venture capital industry, lots of financial services companies, etc. I don't know what kind of economic freedom you mean, but I don't need the freedom to deal with abusive cell phone companies that aren't upfront about their terms or real costs, or health insurance providers that shit on me as an individual consumer because I'm not in a group plan with buying power.

      I miss living in Massachusetts and would love to return at some point. If you don't like it, fine, don't go there.

  15. While we're at it... by KrackHouse · · Score: 2, Insightful

    I really hate how supermarkets close at night, we should create the Bureaucracy of Consumer Annoyances which will employ thousands of well paid experts to make sure lines aren't too long or fast food places never run out of diet coke.

    I can see it now, businesses will cower in fear as the regulators roll through businesses looking for anything that might cause consumer disgust.

    Nobody is dumb enough to actually try to enforce this which is why it died on the vine in California. France actually passes laws like this which is why they have 10% unemployment.

    --
    What if Digg added local news and a Slashdot inspired comment karma system? ---
    http://houndwire.com
  16. Re:mass is 32nd in tax burden by argoff · · Score: 2, Informative

    Taxes are just a part of the way people can have their economic freedoms restricted:

    http://www.pacificresearch.org/pub/sab/entrep/2004 /econ_freedom/00_summary.html

    They seem to be in the worst 10, so now who'se letting the facts get in the way.

  17. Right.. to bear arms... by Duncan3 · · Score: 2, Insightful

    What we really need is the right to bear arms against people using cellphones in a car, in a movie theater, or anywhere else they are yelling into one.

    I'm sure deaths by cellphone driver have long passed death by drunk driver, I get nearly run off the road by one of these morons at least a couple times a month. At least the drunk ones are _trying_ not to hit things, the cellphone users don't even know where they are.

    So save the innocent, kill all cellphone users. Think of the children!

    --
    - Adam L. Beberg - The Cosm Project - http://www.mithral.com/
  18. Yeah this is stupid. by fone · · Score: 2, Interesting

    Sorry but the only thing this will do is raise the end cost for consumers. First off understand I work for one of the bigger big 4 cell companies, but I'm not corporate coating any of this post =P .
    1.) 1 year contracts will make customers pay more for cell phones. We subsidize them based on the contract you sign. However its only about a 50$ difference, but expect that to change if they are forced into it.
    2.) fixing dead spots... ok this is the most economically and logistically unfeasible things I've ever heard of. I live in a dead spot.. know why? Cause my apartment building is in the bottom of a small valley. I walk a block up the hill and I have signal. So are they supposed to put a tower beside my house because I have a dead spot even though signal picks up strong less than a block away? It is wireless folks, there are going to be places you can't make a call live with it or don't get a phone.
    3.) The bills are not that difficult to understand. No more than any other utility. Just sit down and read the damn thing. There's no reason to legislate stupidity.

    --
    "You are only the sum of your thoughts."