Your thoughts on Millenicom...
I've been investigating data plans. While Verizon is on the short list, Millenicom is now showing up as a possibility. From what I know, cost is about the same, there are no contracts and coverage i...
Forum Discussion
The point about overselling bandwidth is a valid concern. That's why the major players (Verizon, AT&T) are buying smaller providers like Alltel and soon Clearwire. By purchasing these companies, Verizon and AT&T gain the additional bandwidth of these smaller players.
It was only a few years ago that if you had AT&T in New York City, the odds of getting a signal was 50% at best. AT&T scrambled to increase its bandwidth before they lost too many subscribers. Also, that's one of the reasons that AT&T dropped their 4G technology and embraced the 4G LTE technology that Verizon uses.
The 4G technology operates on a different frequency than regular cell, text and 3G technologies use. This opens up a lot of bandwidth for the 4G technology.
Regarding the reselling of services and specifically why Verizon would do this, imagine that Millenicom has 100 subscribers. Verizon leases the bandwidth to Millenicom at a reduced rate. Verizon doesn't have to worry about customer support, preparing billing statements, collecting amounts due, etc. from these 100 subscribers, Millenicom handles all that. So it is "cheaper" for Verizon to sell some bandwidth to Millenicom. Now multiply this by the hundreds, thousands, etc. of Millenicom subscribers. So Verizon makes more money and there must be enough left over for Millenicom to make money.
It was only a few years ago that if you had AT&T in New York City, the odds of getting a signal was 50% at best. AT&T scrambled to increase its bandwidth before they lost too many subscribers. Also, that's one of the reasons that AT&T dropped their 4G technology and embraced the 4G LTE technology that Verizon uses.
The 4G technology operates on a different frequency than regular cell, text and 3G technologies use. This opens up a lot of bandwidth for the 4G technology.
Regarding the reselling of services and specifically why Verizon would do this, imagine that Millenicom has 100 subscribers. Verizon leases the bandwidth to Millenicom at a reduced rate. Verizon doesn't have to worry about customer support, preparing billing statements, collecting amounts due, etc. from these 100 subscribers, Millenicom handles all that. So it is "cheaper" for Verizon to sell some bandwidth to Millenicom. Now multiply this by the hundreds, thousands, etc. of Millenicom subscribers. So Verizon makes more money and there must be enough left over for Millenicom to make money.
