suntimes
BUMP 
Weather Updates

Demand for Web, TV content drives bills for wireless, TV service

Wireless phone bills

Average monthly charges increased 34 percent last year and 64 percent from 2007 to 2011.

2007: $67

2010: $82

2011: $110

Source: J.D. Power and Associates

Cable/satellite TV bills

Average bills for bundled cable, telephone and Internet service. Prices grew 6.4 percent last year and 11 percent from 2007 to 2011.

2007: $135

2010: $141

2011: $150

Source: J.D. Power and Associates

Updated: February 8, 2012 5:27PM



Some bills are going up — because consumers want more.

Demand for Internet and TV content has driven up bills for wireless and cable and satellite TV services, data show.

The wireless-phone bills have risen as people demand greater bandwidth so they can access video, social media sites and instant access to information, say analysts at marketing information services firm J.D. Power and Associates.

A recent example of the trend is AT&T’s decision to hike rates on its smartphone and tablet data plans for new customers, starting Jan. 22, because customers’ data use is growing by 40 percent each year. Last June, AT&T introduced tiered pricing and stopped its unlimited data options. Verizon also canceled its unlimited data offerings, while all carriers have raised prices, dropped perks or upped penalties in the past year.

Cable and satellite TV have seen new players become more established, which has allowed all carriers to drop their promotional introductory pricing and raise rates, the J.D. Power and Associates analysts said.



© 2014 Sun-Times Media, LLC. All rights reserved. This material may not be copied or distributed without permission. For more information about reprints and permissions, visit www.suntimesreprints.com. To order a reprint of this article, click here.