Wednesday, January 14, 2004

Eircom - rip off

I can't argue with this headline from this morning's Irish Examiner, "Eircom phone charge hike a ‘rip-off’" It's hard to shake the feeling that Eircom is gouging the customers anyway they can. No longer in a monopoly position in the phone calls market, they are getting us to pay for their corporate fat via the only way left to them - the phone line rental. The sooner ComReg breaks Eircom's stranglehold on that market, the better.

The Examiner says Eircom's charge for phone line rental is already the highest in the EU. After this 7.5% increase, it will cost just under €20 (ex VAT) per month to have a phone line. This includes NO CALLS whatsoever! Why does it cost so much? {By way of comparison, Verizon in NY charges $35.95 per month, but that includes unlimited local calls.}

I heard some Eircom stooge, err, spokesman on the radio yesterday explaining that they had to recoup their costs - it is the law. Of course, the law doesn't stipulate that all your corporate fat be directed into the line rental costs, does it?

I was listening to Gerry Ryan this morning and he was discussing Eircom's rates. Apparently, Eircom is the only company that will not allow customers to bar calls to mobile phones. The discussion was about parents who are trying to rein in their phone bills when they have teens in the house. Generally, the discussion was about how these people were paying €100-200 every month in calls to mobiles alone. But, Eircom said they couldn't bar those calls. Apparently, ESAT and others can. Too much easy money for Eircom, methinks.