WEBVTT

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You know what really boils my peanuts? I can't take a trip anywhere without being

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charged where the sun don't shine with roaming fees. Even though calling home

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or sending a text is an incredibly trivial matter from a technical

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perspective. I mean, I can hop on Facebook Messenger right now and have a

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voice conversation with my homeboy in Italy for absolutely no additional

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charge, zero. But, if I flew to Rome and

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tried to use my data connection, I'd get a bill that might make my mortgage

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payment look like chump change. Seriously, years ago a guy traveling to

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Mexico on business got a bill of over 275

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thousand dollars just for streaming a hockey game. What possible reason could

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your carrier have for charging so much?

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Okay, so get this. Even though the bill you get might have the name of your home

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wireless carrier on it, the responsibility for this kind of price

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gouging ultimately lies with whatever foreign carrier owns the network that

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you were using. And it used to be the case that the logistics of providing

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roaming service were a little more difficult for mobile carriers. During

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the earlier part of the 2000s, it was difficult for them to track just how

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many minutes or how much data was being used as communication between networks

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wasn't very good. So, these logistical issues made it a lot more tempting for

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mobile carriers to try and recoup any losses by jacking up prices. But these

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days, improvements in technology have made it such that it's really easy for

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mobile networks in Australia to talk to one in the US for example when someone

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travels between the two countries. So, why are we still paying so much?

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Part of the issue is the way deals are done between providers from different

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countries. You see, if you use a major carrier in your home country, they

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probably have dozens or even hundreds of contracts in place with foreign

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providers. These are all negotiated individually and although it doesn't

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cost very much more to connect a call across the world than it does in the

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same city, foreign carriers have no incentive to charge reasonable prices to

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folks who are roaming. And the home carrier doesn't want to make it super

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cheap to roam on their own networks as a foreign carrier could then swoop in and

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undercut them, potentially siphoning off local customers. For example, if a US

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carrier was able to offer extremely cheap roaming across the border in

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Canada, a Canadian user might just buy a

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US cell service and permanently roam in Canada on a Canadian company's cell

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towers. Making matters worse, many countries only have a very small handful

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of major carriers servicing them. Think about how the US mobile market is

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essentially a four-way dance between Verizon, Sprint, AT&T, and T-Mobile.

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This means that when a carrier picks an out-of-country roaming partner, they may

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only have one or two choices, making it difficult to negotiate a good deal for

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the home country's customers. And unlike at home where you can pick between at

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least two or three providers, you're just going to automatically connect to

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whoever the foreign partner network is when your plane lands abroad. So,

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there's no consumer choice when you're roaming overseas. The result is that

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your home carrier gets charged a huge amount for access to the foreign network

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even though the actual cost that the foreign carrier has to bear isn't very

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high. And of course, that gets passed on to us, the hapless

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consumers. And because carriers view international roaming as a luxury that's

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more often used by business customers who will just have their company foot

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the bill, it's hard to see them cutting us a break anytime soon. Now, of course,

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there are certain ways around this. If you have access to Wi-Fi where you're

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going, you could just make voice over IP calls over like WhatsApp or the

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aforementioned Facebook Messenger. Or you could offer buying a local or

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traveler SIM card or even a cheap pay-as-you-go phone. Alternatively, many

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major carriers offer temporary travel packages that will give you limited

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access overseas at much more reasonable rates. And in all cases, you're trading

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in the convenience of having your phone simply work as soon as you get through

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customs for not having to pay a freaking kidney just to check Twitter.

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Okay, I've calmed down now. Thanks for watching, guys. Like the video, subscribe to our channel, and hit us up

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in the comments for any suggestions that you might have for future videos.
