AT&T to Make Millions Thanks to New 'Administrative Fee'

It might not seem like much, just a measly sixty-one cents a month, but AT&T is apparently going to make a killing with its new administrative fee. The company tacked this $0.61 fee onto customers' wireless bills effective May 1, 2013, and calls it a "Mobility Administrative Fee." Speaking on the AT&T forum, an AT&T employee said that the fee is consistent with similar fees from other carriers. It will cover expenses that AT&T incurs, including charges associated with cell rent sites and maintenance, as well as charges the carrier pays to interconnect with other carriers when delivering calls.

 

While customers may not be happy with the additional charge, it's unlikely this will affect their relationship with AT&T. After all, as AT&T itself pointed out, other carriers have a similar charge in place, and customers won't be able to break their contract without paying a hefty fee just because of this change. (Because it is labeled as an administrative fee and not an increase in service charges, it doesn't constitute a breach of contract.) From AT&T's perspective, it's about to get a pretty sizable bump in revenue. According to Boy Genius Report, this new charge will bring in roughly half a billion dollars per year. That's a lot of money.

Create a new thread in the Streaming Video & TVs forum about this subject
This thread is closed for comments
46 comments
    Your comment
  • rodney_ws
    Capitalism run amok!
    -2
  • mrmike_49
    yeah, typical way the big companies "nickel and dime" you!
    0
  • TheCapulet
    "It will cover expenses that AT&T incurs, including charges associated with cell rent sites and maintenance, as well as charges the carrier pays to interconnect with other carriers when delivering calls."
    Because they were doing this for free, out of the goodness of their hearts before now. I mean, because my already $70 bucks a month bill is more like giving to charity for them, huh?
    Now I'll just look forward to seeing the next bit of related news telling me that AT&T gets their asses handed to them in class action fees and everyone who's stuck with them gets to drop them and move to a fair carrier due to the Breach of Contract. (because calling it by another name doesn't make it any less a price hike)
    7