One of my professors made a very interesting point today.  We were discussing texting and he said it was how the mobile companies make all their money.  The reason they can afford to sell a $500 phone for $50 or even free is because they make it all back through texting.  The majority of people pay for unlimited texting which is roughly $30 on average.  So through a two year plan,  thats $720, let alone the money for regular calling or data plan.  The reason behind all of this is because it costs the mobile company virtually no money to add texting to a plan.  People can call in real time,  or at least 1 milli-second within real time, but texts sometimes are hours late, or do not get sent and received at all.  He basically said you are paying more money for less service.  This is just what my professor was telling us, but I can understand where he is coming from.  So does anyone else agree with this logic or not.

It's a possibility, but my unlimited texting is only $10 as well as the support of MMS. Those messages can cost quite a bit as it's a picture or video. While it is true that they make their money using similar tactics, it's just a cost leadership strategy (or razor blade model, whatever you want call it).

So many other companies do similar things, I don't think you can really call it out as a scam or anything like that.

Of course it's a scam!

But you know what? So are a lot of things... ever heard of bottled water? The two-party system? "Green" energy?

Doesn't make it any less likely that billions of people won't continue to do it, even if they're aware that they're perpetuating and encouraging a scam.

Total scam. Minutes are a scam too (at least on most 4G networks) as everything is just "data" (text, calls, IP packets) and should be treated as such. But with a lot of control we all get screwed until a competitor comes that shakes things up.

Texting makes it easier to hit on girls, so it's worth it

people still pay for texting??? Why not just get a decent data plan and use a application like whatsapp or BBM?

Well I think it is only so true in America. I did get a good deal on my phone, but for £21.50 a month, I got a top of the line smartphone (~£450) with 200 mins, unlimited texts and 500mb data (normally just £5)

Is unlimited texting really down to $10?  It was $30 when I upgraded my phone over summer, that's with ATnT.

He was actually defending his point on why he doesn't have an expensive plan.  He said he only pays 20 or something for talking and that's it.  But yea, he is easily making $100,000 if not more.  He worked for Intel for a number of years and still works as a contractor for similar companies on the side so I wouldn't be surprised if he is pulling in closer to $200,000.

T-Mobile I think it's Unlimited for 30$ on a Family Plan. 

No, I don't think it's a scam. You can drop calls but you really can't "drop" texts. I've been in a horrible place for reception (Dang you certain community that I can not say because then you would know where exactly I live!!!) and I dropped many calls but my texts always went through.... maybe it's just me?