Why You're Still Paying So Much to Use Your Phone Overseas

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The price of wireless Internet access for most Americans going overseas has barely budged in the past decade -- since before Steve Jobs introduced the iPhone or Google helped make smartphones mainstream. The latest 4G cellular technology rolling out around the world ensures that the technical barriers to roaming are mostly out of the way. But without an incentive, don't expect carriers to voluntarily blow up an insanely profitable side business.

"It’s a complex system; there’s lots of different layers that determine rates, like regulatory and tax issues in different countries," says Debra Lewis, a Verizon spokeswoman. "Our goal, as always, is to provide the best value." Instead of lower prices, many carriers are adapting to changing mobile phone habits through notifications that provide more transparency about pricing, according to Roger Entner, an analyst at Recon Analytics. "There are now alerts when you land that inform you of how expensive it is -- to avoid any kind of nasty surprises," he says. So at least you'll know when you're getting screwed.


Why You're Still Paying So Much to Use Your Phone Overseas