Trouble Among the Text Messages
Monday, October 13th, 2008Looks like that AllTel deal is getting a little pricey for Verizon. They have decided to start raising the rates for for-profit companies that use SMS messages to communicate with their users. The fee is supposed to increase to 3 cents per message. This sound small, but it is a huge increase to companies that were just paying a fraction of a penny before. If the fee is put into place, it may force mobile content companies to abandon their Verizon customers.
Such a huge increase does seem weird. Is Verizon trying to get rid of third-party web sites and mobile content providers? I can see the short term biz plan to raise revenue in the short term, but at what cost in the long term?
