Flow raises internet rates, scraps unlimited social media

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Flow Jamaica plans to raise internet prepaid rates on Wednesday and ditch its offerings of unlimited social media, as part of its efforts to grow its share of the $60-billion internet market.

“These updates are part of our commitment to delivering value and maintaining affordability while expanding and improving our mobile network,” Flow said on its website.

The new rates took effect on Wednesday, January 15. The “removal” of what Flow called “individual buckets of data” for social sites comes with the doubling of data allocation for many plans. In defence of its new direction, the company later told the Financial Gleaner that “other players in the market do not offer unlimited plans”.

Its two-day plan now offers 10 gigabytes of data, up from 4GB. Its top 28-day plan doubles to 40GB. That’s about 40 hours of standard streaming, according to third-party data from United Kingdom-based telecoms, Three.

“Our plans are no longer separated into specific categories for different activities such as Snapchat, WhatsApp, X, Facebook, Instagram, YouTube and Spotify,” Flow said.

Flow Jamaica’s two-day plan will rise by four per cent to $400; the seven-day plan by five per cent to $1,040; the 28-day plan by 10 per cent to $3,300 for 15GB, and eight per cent to $3,700 for 20GB.

“We’ve increased your any-use data allotment, giving you more freedom to use your data however you choose – whether it’s for streaming, browsing, or gaming,” the telecoms said.

Digicel Jamaica, which also offers internet services, increased its rates last May.

The latest industry data released by the Office of Utilities Regulation, OUR, which monitors and oversees the telecommunications sector, indicated that over 12 months ending June 2024, telecoms operating in Jamaica generated $59.6 billion from internet services, which is the fastest growing revenue line for telecoms.

Within the April-June 2024 quarter, internet revenue rose 14.5 per cent to $6.8 billion, mobile services increased by four per cent to $10.75 billion, while landline revenue fell 11 per cent to $1.1 billion.

Behind the rise in internet revenue is institutional usage for distance learning, and increased consumer use of unlimited bundles and plans, according to Natalie Rose, president of the Internet Society Jamaica chapter, which raises awareness of the uses of the internet and lobbies for the removal of barriers to equal access.

Rose said organic growth in usage outweighs the impact of Elon Musk’s Starlink, which offers satellite internet services.

“Flow and Digicel are offering plans that are driving sales,” said Rose who is also an assistant professor in ICT. “People know of Starlink and it’s catching on in underused communities, but it’s still expensive for the hardware,” she said.

steven.jackson@gleanerjm.com

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