Wireless carriers have traditionally made money off lengthy two-year service agreements, rather than physical device sales. In the age of smartphones, however, carriers are footing the bill for expensive handsets that result in smaller margins, while phone makers such as Apple reap the benefits. To combat traditional phone subsidies, carriers in the U.S. have continued to raise monthly rates and employ new and higher fees. In Europe, service providers are taking more aggressive measures, with some carriers re...

A new study from Parks Associates found that two-thirds of U.S. consumers are unwilling to spend more than $50 per month on mobile data plans, while almost half of smartphone users were unsure how much data they consumed each month.  The report highlights the risks carriers face as they try to shift consumers from unlimited data plans to usage-based ones. “Moving mobile users to usage-based plans will be difficult and painful, but changes are necessary for operators to maintain revenues,” said H...

Former Research In Motion co-chief executive Jim Balsillie sought a radical shift in strategy before he stepped down, Reuters reported on Friday. Citing two unnamed sources, the publication claims Balsillie wanted to allow wireless companies in North America and Europe to use RIM’s proprietary network for services on non-BlackBerry devices. The plan would help carriers entice customers to upgrade from feature phones to smartphones and allow them to offer inexpensive data plans that were limited to socia...

Following a huge week that saw Apple’s stock climb above $630 amid a fresh round of analyst upgrades, one analyst isn’t sold on the notion that smooth sailing is assured in the immediate future for the world’s most valuable company. BTIG Research analyst Walter Piecyk thinks Apple is set to report blowout earnings for the second fiscal quarter — he sees Apple earning $10.75 per share on sales of $40 billion in the quarter, versus Wall Street’s consensus of $9.81 and $36 billion — b...

The United States Department of Commerce and National Telecommunications and Information Administration on Tuesday announced that the federal government has repurposed 95MHz of “prime spectrum” within the 1755-1850MHz band. As per President Obama’s request, the NTIA has been collaborating with the FCC in an effort to make 500MHz of spectrum available for commercial use over the next 10 years, nearly doubling the amount currently available. “Today’s report sets a path for putting prim...

The Federal Communications Commission announced on Monday the reformation and modernization of the Lifeline program. The revamped program will ensure affordable phone service is available to low-income families. Lifeline is a “universal service program that fulfills Congress’s mandate to ensure the availability of communications to all Americans.” The percentage of low-income households with phone service has increased dramatically since the program began in 1985, from 80% to nearly 92% las...

Democratic Representative Edward Markey of Massachusetts released a draft of his cell phone privacy bill on Monday. The Mobile Device Privacy Act is designed to protect consumers from tracking software such as Carrier IQ, which caused an uproar late last year when it was discovered to be secretly monitoring 150 million smartphone users. The bill would require companies to disclose the use of such tracking software and clarify exactly what information the software collects. Customers would have to consent to a...

If you are an everyday wireless consumer walking into a store to purchase a new smartphone, the terms HSPA+, WiMAX and LTE may mean very little to you. Yet, each of those networks is different and each is being advertised as “4G” in the United States, thanks to an International Telecommunications Union policy that allows carriers to market newer 3G technologies as “4G” networks. A new bill presented to the U.S. Senate this week hopes to force wireless carriers to clarify what exactly t...

Google may be preparing to take its mobile efforts to the next level as it tests a Google-branded MVNO in Spain. Unconfirmed reports accompanied by photos of a Google SIM card and a Nexus S running on a “Google_Es” network suggest that Google is toying with the idea of becoming a Mobile Virtual Network Operator, or a company that provides cellular service by leasing capacity from existing wireless carriers and piggybacking on their networks. The photos suggest that testing is in the late stages as...

Sprint’s already been very vocal about its opposition to AT&T’s planned purchase of T-Mobile from Deutsche Telekom, but on Tuesday the carrier officially asked the Federal Communications Commission to step in and block the purchase. In its 377-page filing, Sprint argued that the acquisition would make AT&T the nation’s largest carrier with a total of 118 million subscribers and a 43% grip on the postpaid market. The carrier added that Verizon and AT&T would earn 78% of all wirele...

AT&T, the nation’s second largest wireless provider, has just announced that it will acquire T-Mobile USA from parent company Deutsche Telekom in a cash and stock deal worth approximately $39 billion. With all of the talk of Sprint and T-Mobile joining up, the AT&T news comes out of the blue — though strategically it makes more sense due to both carriers’ spectrum and network technology. It has been widely reported that Deutsche Telekom was looking to get rid of T-Mobile USA for various ...

According to information garnered by UK paper The Independent, Apple will not include Near Field Communications (NFC) technology in its next generation iPhone. Citing sources at “several of the largest mobile operators in the UK,” the paper states that Apple informed mobile carriers of its decision to forgo NFC over several meetings. Analysts suspect that Apple may be working on its own NFC-like payment system — one that routes payment through the company’s iTunes Store — as it has been ...

According to a report on Wednesday from industry watcher DigiTimes, Acer is seeing higher than expected interest in its upcoming line of tablets. Demand is so high, the report claims, that it exceeds the initial supply Acer has ordered from its manufacturing partners. The strong demand comes from various cellular carriers around the world that are seemingly eager to bundle Acer’s upcoming devices with data plans. According to the report, Acer plans to launch four devices between now and April: The 10-in...

The recent resurgence of “iPhone nano” rumors has Wall Street analysts working overtime. They already love Apple, which has basically been printing money lately, and rumors of Cupertino cooking up a smaller, cheaper iPhone could certainly send Apple’s mobile profits even further skyward. In fact, one analyst thinks a cheap version of Apple’s iOS-powered smartphone could expand its addressable market by a whopping 600%, therefore potentially giving iPhone profits a 250% boost. Bernste...