Good News/Bad News: Virgin raising prices as well

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  • Updated 5 years ago
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http://mobilesyrup.com/2013/07/16/vir...

Bad News: Virgin is following suit. They're getting rid of the super tab and moving to two year agreements. They're also raising the prices of all their plans. However, the raise is only $5 across the board and doesn't look like it includes additional monthly fees. The current packages and features remain unchanged. No mention of device price increases.

Good News: The changes don't go into effect until August 1st. So, if the new Koodo plans are turning you off Koodo and you're looking for an alternative, or you're shopping around for the best value, you can still get on the old Virgin plans and take advantage of the Super Tab program for another 2 weeks.
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mattjs

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Posted 5 years ago

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EDITthis

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Another good news (maybe) prices on the phones they offer not rising too!
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mattjs

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No mention of it yet, so I guess that's a good sign...
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Steven

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Well it was never mentioned by Koodo either...
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mattjs

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This is true. However we never saw am internal memo from Koodo prior to the launch. The virgin memo notes the 'key changes' and doesn't mention anything about additional monthly fees or an increase in device prices. Time will tell what exactly happens of course, but it's nice to have a few weeks notice with the old system still available...
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Steven

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Yeah, I agree. But I believe there was an internal memo posted on MobileSyrup a few days before launch. It just covered the new tab system however, and did not mention any plan/device pricing changes.
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Dennis, Mobile Master

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This change by Virgin will lessen any pressure for Koodo to re-think their own changes
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Some random Mobile Master, Mobile Master

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Alright, I'll pitch in $50. Let's get this rollin'! I heard there's a bunch of AWS emitters available on the cheap... :D
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Curtules

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You know, if everyone got together and started a "by the people, for the people" cell carrier -or any service for that matter- the big corporations would be crushed almost instantly.
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Curtules

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Also, that's $50 from Topper and I guess $999,950 from Dennis? Thanks for the help, D!
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Some random Mobile Master, Mobile Master

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I, for one, welcome our Dennis overlord!
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Dennis, Mobile Master

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It is with great reluctance that I have agreed to this calling.
I love fair BYOD wireless service. I love the Republic.
Once this crisis has abated, I will lay down the powers you have given me!
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Marcus Fenix

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If I lived in Thunder Bay, I would so take TbayTel's $50 promo right now. 200 minutes, 6 gb of data, unlimited texting, voicemail. No Canadian Long Distance though.
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Dennis, Mobile Master

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But then you would have to live in Thunder Bay LOL.... Kidding :p
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Curtules

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CRTC's new wireless code: The subsidy has to be cleared within 24 months, but the provider doesn't have to be generous about it.
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Robert, Mobile Master

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We all saw it coming!
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JC C

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the CRTC should get rid of the "must clear subsidy after 24 months" part and just stick with the the "cancellation fee cannot exceed current subsidy amount" part. It's the first part that's going to raise the price for everyone.
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Dennis, Mobile Master

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Best comment here
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EDITthis

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good point!
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Ivan, Mobile Master

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I disagree. The carriers will be forced to lower their prices. Otherwise, Wind may become a more attractive alternative. I don't care if the carriers raise the device prices, but there is absolutely no reason to raise plan prices as well.
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EDITthis

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Wind has a long way to go, coverage is lacking big time. Only issue they have for me is that
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Chad Burr, Mobile Master

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Actually it may cause Koodo to make changes. Let's keep Xmas of last year in mind when Koodo and Fido went nuts trying to top each other. Remember the 53$ plan?

I have a feeling they will all be scrambling to top each other and Koodo will have to adjust to competition as well.

But yeah, the crtc just made cell service plans in Canada much worse.
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mattjs

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Is it fair to blame the CRTC though?

I genuinely think they had good intentions with this initiative. It's pretty clear that their goal was to make subsidized device pricing more transparent and less of a burden with long term contracts. Fair play in my books.

However, its equally clear that regardless of what legislation is brought into play, the carriers will attempt to circumnavigate it any way possible, in order to maintain, and in this case, maximize profits.
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Chad Burr, Mobile Master

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They're in business to make money and I'm sure they didn't want to cut their profits. I'm also sure the crtc didn't think this through. It's feel good legislation.
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mattjs

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This is true. Truth be told, I'm not sure what can be done short term, carriers essentially have a license to print money in this country and operate as they desire. What we need is either more stringent regulation (with all the problems that potentially brings), or much more competition so that the market operates in a manner that's 'free' and based on supply and demand. The current model just doesn't work, for consumers at least.
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Some random Mobile Master, Mobile Master

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It won't be working for the carriers either soon, too. DennisL mentioned in another thread that according to a Koodo kiosk rep (ok, there are better sources, but hey!) sales/activations have plummetted since last Sunday. I really, sincerely hope people will wisen up and continue to NOT sign up for such deals.
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Curtules

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I'd say that the CRTC aren't the ones to be blamed here. They did what they could reasonably do to address the concerns that were presented to them. Customers didn't want 3+ year terms anymore, fine they're gone. But customers are also constantly pushing the providers to subsidizes the phones more and more.

The only thing the CRTC could've done to mitigate these plan hikes would be to also cap the profit margins of cellular providers, but whoops they can't do that so the companies are trying to maintain (or possibly increase, i don't know the numbers) their already excessive profits by driving the plan price up.

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