How is mobile data so cheap in Thailand?

Discussion

In the States I pay $55 for 2GB of mobile data per month on my AT&T plan, and an additional $60 for the international plan which comes with a generous heaping of 1GB of data per month.

Last week I unlocked my phone and got a dtac SIM card with 30GB of data for only 100 baht.

What gives? Why is data so much more expensive in the US?

Posted Jul 28, 2019, 3:12 PM UTC

732
oodoylerules•

Because the US cellphone service providers are a cartel, and they lobby against any regulations to make it easier for other smaller companies to enter and compete.

55$ for 2GB is also a rip off, there are much cheaper plans available in the US.

31
GoTransOrRopeOP•

I have a hard time buying the cartel argument because there are too many players for them to all agree to restrict output or keep prices high. It's pretty well known that cartel agreements favor those who break the agreement first.

If all carriers agree to charge $60 for 2GB of data per month, the first carrier to break the agreement and charge $30 scoops up alot of business.

There has to be another reason.

-14
ResponsibleSteak•

The answer is literally in front of you, and you refuse to believe it. No wonder US is in its current state.

21
SirTinou:SNK:Sakon Nakhon•

he refuses to believe it because he bought the most expensive plan and tries to find a way to cope

i know many canadians that drive to the us and setup unlimited data overthere to use in canada.. meanwhile you have this genius american getting this horrible plan.

4
sbrider11•

Same reason healthcare, insurance, food, banking / financial fees, medication, cable fees, internet fees and on and on are over priced in America. America is a Corporate State where profits are placed as the absolute number #1 priority. Actual competition doesn't exist aside for consumer goods at places like Walmart.

With a brainwashed population it's easy pickings.

7
svenska_aeroplan•

The competition is an illusion. Those smaller budget providers all resell service from Verizon, ATT, T-Mobile, or Sprint. Many of them are even 100% owned by one of the big companies. Sprint is an also ran and is merging with T-Mobile.

5
civicmon•

US cell phone companies are wildly profitable. There are deals if you shop around.

The OP really is overpaying by American standards tho.

5
OMGsoSteamy•

You probably thought CDs needed to cost $20 in the 90s too.

Price fixing is real.

3

the first carrier to break the agreement and charge $30 scoops up alot of business.

Tell that to Sprint. They offered unlimited talk/text/data for $15 last year (that's better pricing than a lot of the world, including Thailand), with the only catches being that you had to switch from another company, and bring your own phone or buy one full price, and they were still losing customers. They bumped it up to $25 and removed the switching requirement (EDIT:so people getting their first phone plans or wanted a clean break from their old provider were welcome too) and still not enough customers to keep them in business. Now they're merging.

3
[deleted]•

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1
[deleted]•

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1
windupcrow•

Similar prices to Japan/Singapore/Taiwan. America is just expensive sadly.

8
jandetlefsen•

One reason might be that there are no long contract lock-ins in Thailand. Crazy subsidized phone plan with cheap hardware never been a thing here much. So users have been more likely to switch networks if the prices suck = better competition. What you see in Thailand is close to the real costs to run a network. You can find similar prices in other countries.

7
assetsequal•

Check out straighttalk through Walmart. I get 25gb a month with unlimited talk and text for $45. Walmart basically has a deal with all the major carriers so when you register the phone with your zip code you will get service from whoever is the strongest carrier in your area. For example in my area Verizon is the best so I get Verizon service.

4
GoTransOrRopeOP•

Great tip. Thanks.

1
ndreamer•

30gb 100baht is not normal, tourist sim ?

There is unlimited plans for less then 1000baht.

Back in Australia I was on a $10 1gb/unlimited call prepaid and it had some really cool features. If you refer someone you get $20 and they get the same so effectively making my bill free for near on 2years.

3
GoTransOrRopeOP•

I just went to a dtac store in one of the malls. The SIM card was 49 baht. The 30GB data plan was 100 baht. I dont have a phone number though, which is ok because I rarely ever got calls that weren't telemarketers, and I use LINE for all my audio/video calls.

1
JacKnifer•

You’re getting ripped of for 55$ for 2 gigs. I have like 50 gigs for 60$

2
[deleted]•

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2
runescapianab•

Are you paying for 5G? Is there a “free” phone included in your contract? Cause if not, you are severely over paying for being in the states.

Canada is where the cellular cartels reside.

1
lmunchoice•

Pretty bad in both countries. I was surprised that data was cheaper when I vacationed in Australia. It was the only thing.

2
StrawoftheMonkey7-Eleven•

There used to be 1 month unlimited 4G for $22 here but it is going away on 1st of August.

Internet in the US is a scam in general. "Data caps" sums everything up.

1
JayBird1138•

The percentage of population that could afford US rates is too small. Therefore they found a way to be efficient and keep costs down enough that everyone can afford it. Therefore profiting from saturation.

In US enough people will pay the rates, so why lower it?

1
show76•

I think it also comes down to bandwidth and coverage area. The average transmission distance of a cell tower is about 35-70km. With a much smaller country you can saturate the available spectrum easier with either fewer towers (cost savings) or more (more bandwidth). Also you have much less restrictive regulations for erecting cell towers in Thailand and therefore have more/better coverage with less expensive technologies.

1
ResponsibleSteak•

Data is cheaper pretty much in every country. I'm currently in China, which is slightly larger than US, and I'm paying ~$6 for 20gb sim.

As far as I know, only US and Canada has these outrages data plans.

2
Nick3191:BKK:Bangkok•

Roaming/international packages are for amateurs. Always buy local SIM cards. Google Fi is great for international travel though.

1
Aerics•

Germany is really expansive, too. I was the last 5 weeks in Thailand and enjoy the AIS 100GB. In Germany we don’t have plans for such amount.

1
cowp13•

Thailand is a small country with a high concentration of users. The US is super spread out. Also the cost of doing business especially the labor is cheap here. For example, a Thai technician might get paid 800 USD a month. A us technician will make many times more money than that..

0
stKKd•

Also mention taxes needed to pay the US worker. What he receives is just a part of the iceberg.

-1
MrSoloqueue•

Capitalism

-2†
stKKd•

It is more corporatism actually. Under free market there would be more actors and thus better competition/price

3
GoTransOrRopeOP•

There's still capitalism in Thailand.

2
revwatch•

How many cell towers do you need to cover Thailand?

How many cell towers do you need to cover the US?

What is the average salary at AT&T/Verizon/TMobile/etc?

What is the average salary at True/DTAC/AIS?

-2†