This was a strong seller for T-Mobile priced at just $100 on-contract (and $50 elsewhere).
But price differences are large, says a new report on "Cellular Mobile Pricing Structures and Trends", published by the OECD.
Mobile prices are among the lowest in the EU and 4G technology is among the most widespread.
Convergence of networks implies convergence of prices, argues Cyrus Mewawalla, an analyst at Westhall Capital, and mobile prices are typically three to ten times higher than fixed-line prices.
Google's ads are sold at auction, and one reason mobile prices have been low is that there has been less demand.
In Austria, which underwent a similar four-to-three consolidation, mobile prices have risen 15%, with light users – often the young and the old – suffering steeper increases.
Europe has forced through mobile price cuts, most recently on roaming, and revenues are falling across the board just as operators need to spend money installing 4G equipment.
Meanwhile Investec downgraded from hold to sell with a 120p price target and said: Caribbean operations are being hit hard by the economic downturn and a mobile price war in Panama could spread from low-end users.
She said there was growing evidence to suggest consumers elsewhere are paying the price for mergers, with mobile prices in Austria, for example, rising by 28% after a 2013 deal reduced the number of networks to three.
My company, Three, is part of a broad campaign along with BT and 65 other organisations – ranging from charities to financial advisers – that recognise high termination rates as a barrier to lower mobile prices.
A model implementation has also been built for a mobile price comparison to test our proposed architecture and solutions.
