Verizon Communications recently increased the price of local payphone calls from 35 to 50 cents in Maryland and 32 other states. At Blair, the price change took effect on Sept 10.
The increased charge was an effort by Verizon to combat declines in payphone revenue resulting from competition from wireless services. According to a Verizon news release, "payphones just aren't profitable anymore."
According to the release, payphone usage has declined 23 percent since 1998, when the wireless industry began offering special packages that included unlimited phone usage. "We want to remain in the payphone business, but, as you can imagine, with the competition from wireless services and dial-around 1-800 calling and prepaid cards, [the decrease in payphone usage] has severely tested our ability to retain a profitable payphone business," said Melissa Barran, a spokesperson for Verizon Communications.
The repricing process will take several months to complete, according to the news release. The increases have already taken effect on all Blair payphones.
Although the raise was initiated two months ago, many Blair students had not been informed of the cost and were outraged when they discovered that 35 cents would no longer be enough to make a phone call.
Senior Alice Dorman believes that the increase will not boost Verizon's revenue. "Now that we are allowed to bring cell phones to school, I don't think their plan to raise revenue will even work," said Dorman. "I think the price increase will just cause even more people to go out and buy cell phones," she said.
The additional 15 cents allows callers unlimited time for local calls. Before the price increase, coins had to be inserted into payphones every three to five minutes.
Still, students continue to respond negatively to the price climb. Many said that they would rather use a cell phone than pay more to make a call. "I'm going to definitely start bringing in my phone," said junior Julio Martinez.
Other companies, including Qwest Communications and SBC Communications, have also been affected by the decreased usage of payphones and raised their calling services to 50 cents.
Iris Flores. Iris Flores works as a proud design editor in Silver Chips' prestigious staff and is currently enrolled in the Communication Arts program at Blair. Born in the Philippines on February 6, 1984, she is the third of four CAP daughters in her family. She has … More »
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