Competition creates better prices

May 30th, 2009 by tokyosoon

Cellular technology has evolved a great deal. You probably remember our phones’ heavy, pricey ancestors of the 90s.

People were forced to walk around with heavy back backs which had the cell phones nested in them. In addition to that you had to pay in excess of 1 dollar for a single minute. Back during those days you had to be part of the elite circle in order to own one.

But as we all know, the only thing that’s constant is change. The average cell phone of today is super light and extremely cheap. They’ve become so accessible that it’s not unusual to see children who own them.

The transformation from expensive to cheap was initiated by competition. The more companies compete with each other in price and quality the less we pay. Another big factor was the price of the mobile networks. It is a lot cheaper to build a wireless phone infrastructure than a land one. This is why cell phone usage is said to explode in third world countries that don’t have existing land lines. This is the reason why many people predict a boom of cell phone use in developing countries.

Unfortunately cell phones are not all fun and games. People need to pay attention to health related risks of cell phones. Some doctors link cell phone use to brain tumors for example. Another big risk are the next generation cell reverse phone look ups. Depending on the cell phone you can now trace a person’s location. Before you were only able to get the name and the address, but now you can pin point locations with a click of a button.

Many technology gurus predict that the personal cell phone will soon look a lot more like a personal computer. Steve Jobs, the founder of apple believes that soon the cell phones will be used for some pretty serious tasks. For example it’s already possible for you to check your email and browse the web on your cell phone. Application downloads for Iphone are booming and are not showing any signs of a slow down. As more and more developers get involved we will see even more amazing features. If the trend continues, some years from now people will look at todays cell phones with disgust. That’s pretty scary huh?



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