Verizon Wireless to levy new fee for sending text messages to VZW customers
In a move sure to rock the wireless industry, Verizon Wireless announced yesterday that they will start charging content and messaging companies a fee for sending text messages to Verizon Wireless customers. Beginning November 1st, Verizon will charge a 3 cent per message fee for each Mobile Terminated message processed by its network. This fee will be levied on top of the current MT messaging fees (usually a fraction of a cent) already paid by companies. Talk about stifling a booming industry. These new fees will affect a whole range of text messaging services, including search results (Google), sports updates (ESPN), news alerts (CNN), auction alerts (eBay), bank account balance alerts, credit card transaction alerts, and any other company or service that want to use text messaging alerts as a value added service for their customers. Verizon claims the new fee is necessary to cover their overhead in delivering these MT messages. Sounds more like Verizon has found the ultimate cash cow and is looking to “double dip” even further. We can only hope this new practice is met with widespread rebellion and not with widespread adoption by other wireless carriers. Heck, we were even looking at doing SMS updates for BGR. Anyone interested in that?
That’s going to hurt business.
Whatever happened with that iPhone app?
Almost done!
i have verizon and their service is pretty good, but this is an idiotic move.
“cover their overhead in delivering MT messages” is a lousy excuse. please come up with something clever and legitimate or stop thinking ass-backwards.
The VZW network is great. But these micro charges make it so I can’t say VZW is the best. This is BS.
So, just putting my 2 cents in. Doesnt this somehow go against Verizon subscriber contract and give customers a 30-day window for exiting Verizon with nno ETF charges??!!..
The carrier that already sticks it to their customers with fees for ALL their services now wants to stick it to all the other companies for delivering messages requested by their customers.
Another reason for me to dislike Verizon.
Their service may be good, but they want to shove their fist up everyone’s behind that does business with them.
No because the charges don’t directly affect you–they affect the companies that send you SMS messages updates and such.
BTW, I think text updates would be great. Do it now while the other three carriers don’t do the same as Verizon!! LOL.
@Indelus
Jeremiah is correct they will be levied against the companies sending the messages…so if you want to get the latest news sent to your phone, then CNN is going to have to VZW 3cents for every message they send to you.
What will happen is that these big companies will either stop offering text messaging updates to VZW subscribers because it costs too much or they will pass the cost onto you…want to get news updates from CNN then that will be $5/month please.
To indelus.
If you are looking for away out of a Verizon contract this won’t be it. Verizon changing what they charge MT companies for incoming sms alerts is not really subscriber inpacting, as it not going to increase what Verizon charges it subscribers for text and isn’t any type of breach of contract.
I use the words “not really” in the above sentence because most likly a spike like this effect anyone who has subscibed to free alerts. How I see it if verizon increases what they charge the MT companies, those companies will most likly be forced to increase what they charge or stop offering free alerts all to gether.
This cost will be past down to all phone users not just to Verizon customers.
VZW is just a bunch of money hungry whores! Scumbags.
Couldn’t have said it better myself. But hey, its the network!
So long Twitter. You were a good service.
I think Verizon is having congestion issues on their SMS network… consider that they were attempting to get rid of notifications earlier, and now this… pricing can serve to reduce demand.
Even though it is just the companies that send texts through verizon that are going to be doing the paying, in the end we’re all going to get screwed. Now when I want check my checking account balance, my bank is going to say to me, “have account balance sent to your phone for only 3 cents a message, or $5 a month!” just like others have mentioned.
If verizon wants to reduce overhead, how about getting rid of unlimited texting for those damn little kids that instead of using a phone to TALK, they fucking text. There’s several million dollars in text fees right there!
This is so stupid.
EPS you might be right. I’m glad that it is not being levied against the customers but this is still dumb. I love Verizon but they charge for every single thing. Like come on!!!
Any article that opens with “Verizon Wireless to levy new fee…” doesn’t really qualify as news.
“This just in. The sun came up this morning & revealed a blue sky!”
More @ 11.
Once again, you guys hate on verizon for everything. All this is, is a creative new revenue stream, which may actually allow verizon to keep YOUR costs lower. Stop whining and realize how business runs. Trust me, Att will follow suit within a month.
Get over it. Verizon is a business. and there is a reason why they are the most profitable wireless company and Sprint is going bankrupt.
The timing is particularly suspect. The Obama campaign used SMS in the primaries to remind newly-registered voters to go the the polls and vote. They are expected to do the same thing on a massive scale on election day (November 4th).
It almost seems as if Verizon is rolling this out just in time to capitalize on election day and then roll it back after if there is an uproar.
Of course, that is assuming that the Obama Campaign (and other campaigns) would be subject to the fee.
@Jackson Miller:
OMG!!! This is simply a RIGHT-WING, RACIST ATTACK on the O’Biden campaign!!!!
What FASCISTS!!!!!!
/sarc
Actually, as others have said, the costs will simply be passed on to us, the customers/recipients. But, why does this not make sense, when any out-of-network messages are individually charged, coming AND going??
@djohns505
“how about getting rid of unlimited texting for those damn little kids that instead of using a phone to TALK, they fucking text”
Are you kidding me? I suggest you crawl back into the hole you crawled out of this morning. If you think it is just the “damn little kids” that use the unlimited txt msging to their advantage you are sadly mistaken and out of touch with reality.
“Verizon claims the new fee is necessary to cover their overhead in delivering these MT messages.”
Um, I thought that’s why they charged subscribers to receive text messages. Apparently I was mistaken.
@djohns505
“how about getting rid of unlimited texting for those damn little kids that instead of using a phone to TALK, they fucking text”
It costs the carriers a mere fraction of bandwidth to deliver a text as it does voice. So they should be rejoicing in the fact that texting has taken off and is so popular. It actually brings their overhead down and frees up valuable bandwidth for better voice and more data flow!
Just use sites like jygy.com where you can text anyone in the US for free? not to mention the other cool texting features you cant do anywhere… just a thought.. fight the fees!
Can’t fault a company for trying to generate new revenue in times like these. However I agree that at some point the affected companies will eventually bust the consumer for the cost.
ATT PLEASE DON”T FOLLOW SUIT!!
@BGR I say yes to SMS