Optus accused of 'price gouging' on data roaming

 

Australia's most expensive network for travellers.

Optus is Australia’s most expensive mobile network for data roaming, according to a study by Australian Business Traveller.

The business travel site analysed the price of data roaming on Optus, Telstra, Vodafone and 3, including various discounted plans on offer.

 

Data roaming prices
Basic data roaming prices of Australia's major telcos. Credit: Australian Business Traveller

 

Optus customers fared the worst on basic data roaming pricing, paying a flat $20 per megabyte worldwide.

Telstra and Vodafone charged $15 and $10 per megabyte respectively, while 3 charged $20 in most countries and $0.50 per megabyte in countries where 3 Mobile networks were available.

Prices fell significantly with pre-paid, discounted roaming plans, under which Optus customers paid between $9.09 and $10 per megabyte worldwide.

The price fell further to between $2 and $2.67 per megabyte with Optus DataRoam offers that covered 11 Asian countries.

According to Australian Business Traveller deputy editor Dan Warne, the telco could be “dragging its heels” on introducing a new ‘DataRoam Unlimited’ plan that would provide unlimited internet access in those 11 countries.

An Optus spokesman told iTnews that the plans were scheduled for release later this year. "Optus also plans to develop other data related packages that will make data roaming much more affordable," he said.

Telstra’s discounted roaming packs covered 15 countries in Asia, North America and Europe, and cost between $2.67 and $2.90 per megabyte, depending on the customer’s plan.

Vodafone’s prepaid data roaming bundles worked in 50 countries, and brought data prices down to between $1.65 and $2 per megabyte.

Warne urged business travellers to consider using prepaid SIM cards in their destination country, or to purchase prepaid roaming packs from the Australian carrier with the most competitive rates in that country.

Copyright © iTnews.com.au . All rights reserved.


Optus accused of 'price gouging' on data roaming
"Sorry Rhody but I agree with the others. Global roaming charges have been around since dialup and have always been expensive. Is it a ripoff - yes. Did you use the data - yes....pay the bill. ..."
By CabbagePatchKid
 
 
 
Comments: 11
cootified
May 13, 2011 4:40 PM
I think the important question is:
Why are you still with Optus?
zyberdez
May 14, 2011 12:48 AM
Even though Optus (as shown here 'may' be the most expensive) you need to get your facts right. It isn't a 'flat' rate of $20 per mb its actually $20.48.

(Source: www.optus.com.au/autoroam)
jeffy83
May 15, 2011 6:21 PM
Telstra offers it for $15/mb is still VERY expensive when the raw cost really wouldn't be anywhere near as high right?
I am in NZ now using an NZ Telecom Sim in my iPhone4. Much cheaper/easier. I got 4gb Prepaid for $80... that same 4096mb via Telstra roaming is $61,440 - Thats more than my annual salary as an IT slave. So its price gouging regardless of who/where you are.
Rhody
May 15, 2011 6:45 PM
My wife just received a gloabl data roaming bill from Optus for $6,734.56 whilst we were in NZ a couple of months ago. Despite being told by an Optus Call Centre Operator that they would reduce the bill by 50%, Optus is demanding we pay the full amount or else late payment charges would apply.

I understand there is a focused debate between Australian & New Zealand Governments on the issue of global roaming charges between the 2 countries, so if anyone has anymore details on this, I would appreciate it. What is also Interestng, is that KPMG conduced a study in 2007/2008 on the excessive charging by mobile phone carriers for their customers using their services whilst overseas & it was revealed even back then that Optus was one of the highest rip-off merchants - evidently nothing has changed. Any comments, feedback or recommendations would be greatly appreciated as we have no intention of paying this excessive bill.

Edited by rhody: 15/5/2011 06:48:02 PM

Edited by rhody: 15/5/2011 06:49:12 PM
sputnik
May 15, 2011 9:27 PM
The charge is probably fair since it's clearly stated on their web page, contracts etc. However, if you plead ignorance, or that you were unaware the device was using data you *may* get away with a reduced bill.

I'm responsible for all our companies Optus mobiles and we ensure data roaming is kept to a minimum through a combination of a ban on iPhone use, (they are really bad for data usage) and an insistence on Blackberry which use very little data. Prepaid data packs for roaming which basically grant a 50% discount are good too.

It's generally a good idea to disable data when overseas. Just turn it on when you have to check emails etc. Then off again.
rninne
May 16, 2011 2:31 PM
This brings to the front of my mind another question I would like answering; "Why am I still being charged 20c for a bloody text?" we're talking bytes of data here. . .

On a recent trip to Japan I hired a mobile broadband USB device, dual band (WiMax and CDMA) best travel investment I've ever made.

For $60, during my 2 week stay, I had unlimited data and flawless coverage, it worked in remote areas like Mt Koya and on the bullet trains (although some of the really long tunnels were, obviously, an issue).

Vodafone wanted to charge me $50 for 20mb roaming on my iPhone!!! 20 effing meg! One visit to that social networking site and it would be 1/2 gone!

The WiMax was fast (comparable to my home internet connection) and in areas that were not covered by WiMax, the CDMA option was just as reliable.

My tips for travelling are:
1. Turn off cell data on you phone. Only use it for text.
2. Hire something locally!!! (I can't stress this enough) just be sure to hire direct from a local telco (do some research before you go) and confirm with them your data limits.
3. Avoid the hotel internet (as it can be just as expensive) and take a walk down to a local internet cafe instead.
longsword
May 16, 2011 2:59 PM
What a lot of people forget is that Optuas charges in 10MB chunks when roaming. So if you check 1 email at say 20Kb you get charged 10MB so $200
Rhody
May 16, 2011 8:03 PM
No offense Sputnik, but that's not the sort of response that I was looking for. I am sure that Optus rips off people like my wife all the time & they simply pay the bill. Yes, Optus may well publish their global roaming costs on their website, but its hidden in the fine print. Unless we stand our ground, the Carriers like Optus are going to continue ripping off their customers - like you & me. When was the last time you paid over 6k for a single mobile phone usage in 1 month? But maybe you're just one of those people who just pays without flinching. I appreciate your recommendations for the future, but what I am looking for here is solutions - not simply a stereotype attitude that we need to accept being ripped off & shut up! The actual article in relation to this discussion is "Optus accused of 'price gouging' on data roaming" & that's exactly why I have taken the time to comment about a real live situation to prove that it's not just sensationalised media.
Ace
May 16, 2011 11:13 PM
It is certainly clear that carriers are doing little to avoid customer 'bill shock'. Given the number of people getting this 'bill shock', you'd think the data roaming implications should be spelled out loud and clear at the time a contract is signed. If they really cared about their customers.
MissionMan
May 17, 2011 3:00 PM
Sorry, Rhody, while I agree their pricing is a rip off and borders on ludicrous, its also up to the consumer to check pricing prior to travelling. You can't blame Optus because you didn't bother to check their international roaming rates.
CabbagePatchKid
May 17, 2011 3:21 PM
Sorry Rhody but I agree with the others. Global roaming charges have been around since dialup and have always been expensive. Is it a ripoff - yes. Did you use the data - yes....pay the bill. Sorry no sympathy for you not performing your due diligence
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