Keep in touch on the road with Skype
July 2nd, 2010 by Tim Uden
There’s a lot of talk about international SIM cards and discount calling cards to help you keep in touch on the road; and, although these things can save you money, sometimes Skype is your best option if you need to maintain a single number that people can contact you on regardless of which country you are travelling in.
Skype is similar to other VOIP telephone services in that it saves you money by routing your calls over the internet, but unlike other VOIP services it doesn’t use the industry-standard SIP protocol. I’ve been playing with VOIP phones for the past ten years and during that time the call quality has improved a lot, but SIP phones aren’t the easiest things to get working. Several years ago, lured by the promise of cheap calls, I spent several hundred pounds on a couple of Cisco VOIP phones for the BUG office but found the service so unreliable that I looked at other options and ended up trying Skype. After downloading the software and trying it out I was impressed, unlike the alternatives Skype just worked. It was certainly the easiest of the VOIP services I have tried and the call quality was an improvement over other VOIP services that I had previously tried.
In fact I now rely on Skype so much that I’ve disconnected the three landlines that used to go into my home and office and I now find a combination of Skype and mobile phone are all I need. Skype is a lot cheaper than a regular phone and it allows you to keep the same number even when you move to the other side of the world. My London office number rings straight through to my home in Australia and my Australian Skype number rings to my office when I’m in the UK. Skype lets me travel without losing contact with business colleagues, friends and family.
At the most basic level Skype gives you free phone calls between Skype users, and if you have a webcam those free Skype calls can include video. Many travellers don’t go any further than this and end up paying nothing to Skype. This is ideal if your friends and family are also on Skype and if you’re travelling with a netbook computer or an iPhone or iPod Touch with the Skype app installed. Even if you’re not travelling with a computer you can use Skype at most hostels that provide internet access (I’ve found that most hostel computers are now equipped with headphones and webcams for Skype).
A lot of hostels are on Skype so you can call them for free to check your reservation or ask about directions. Hostels’ Skype contacts are included in BUG’s hostel listings; if you want to call a hostel for free, just go to that hostel’s page on BUG and click the Skype link and you’ll be connected for free.
I think it is worth taking it a step further and either adding credit to your Skype account or paying for a subscription. This lets you call anyone and subscriptions generally include calls to landlines in a specified country. Subscription prices range from £3.99 per month for unlimited calls to landlines in a specific country to £4.99 per month for unlimited calls to landlines in 20 European countries and £7.99 per month for unlimited calls to landlines in 40 countries worldwide.
Another advantage with a subscription is that it gives you a big discount on a Skype number. This means that you can have a regular landline number (in your choice of over 25 countries) attached to your Skype account so anyone can call you. A cool feature is that Skype lets you choose your number (you get a choice of numbers and can keep refreshing the screen until you find one you like). I’ve used it to find a really easy to remember number to replace my Australian landline. A lot of travellers get a Skype number in their home country so friends and family can call them for the price of a local call – some even convince their family to pay for the subscription based on the money they will save compared with calling an international mobile number.
When you have credit in your Skype account you also get cheap international calls. In many cases calls to landlines in the most popular countries are around 1.4p per minute and you can call toll-free numbers in many countries for free (even when you’re on the other side of the world).
Although calls to standard landlines are generally very cheap, calls to mobile phones and non-geographic numbers like 1300 numbers in Australia (which are similar to 0845 numbers in the UK) can be expensive (at 15p per minute this is 10 times the cost of a call to a regular landline and even more expensive than a call to a mobile phone). This is a big issue for anyone who makes frequent calls within Australia as 1300 numbers (which most people assume are the same price as local calls) are those most likely to put you on hold for 20 minutes or longer. I’m lucky as I have enough unused minutes on my mobile plan that can be used for any 1300 calls, but even then I usually call and ask if there is an alternate number I can call back on. For me this is the only real downside to Skype, but for some people it can be a major issue.
Overall I love Skype, it gives me a number that lets me run this site from anywhere in the world, people overseas can phone me for the cost of a local call (or for free if they are also on Skype) and I can make cheap international calls from my computer or my mobile phone (with the Skype iPhone app).
See www.skype.com to learn more about Skype.
Why you shouldn’t phone home with Mobal
December 10th, 2008 by Tim Uden
A couple of weeks ago I got an email from someone telling me that she was thinking about buying a Mobal mobile phone to use in Europe. She told me that she had considered her options and she thought she had found a great deal.
Mobal is an American company that sells GSM mobiles to travellers, primarily from the USA and Canada, to use while travelling in Europe. From reading their website you would think that it is a great deal; particularly if you read the reviews from what I would have thought would be independent sources such as MSN Travel “the most cost effective way to stay in touch when travelling abroad” and the Travel Insider ends their gushing review by calling it “a uniquely good deal”.
Their deal is that you pay US$49 (£33/€38) for a phone with a SIM card that can be used worldwide with no ongoing fees other than call charges. On the surface it seems like a good deal, but it’s a different story when you see the call charges. From looking at the call charges it is one of the most expensive options for North American travellers in Europe.
North Americans are at a unique disadvantage to other travellers to Europe. This is because most US and Canadian mobile phone networks don’t use the GSM standard that is used elsewhere in the world, and those that do (AT&T and T-Mobile in the US) operate at a different frequency (850Mhz and 1900Mhz) as opposed to the 900Mhz and 1800Mhz standard that is used in most other countries. This means that most Americans (without a quad-band GSM phone) cannot simply buy a local SIM card that will work in their phone when they travel around Europe.
This has led to the establishment of predatory companies like Mobal selling so called “world phones”, companies renting phones (often with a rental cost exceeding the purchase price of the phone) and companies like Cellular Abroad and Telestial that sell GSM phones and SIM cards at exorbitant prices that are sometimes 10-times more expensive than buying a SIM card at your destination.
These companies dangle the incentive of free incoming calls, which seems like a great deal to most Americans who are used to paying to receive calls; and a bit of fancy advertising copywriting can make some of these options seem like a good deal. But that is just not the case when compared with sorting out your mobile phone when you arrive in Europe.
How much will you use your phone while travelling?
Let’s assume that our traveller spends a month in Europe visiting seven different countries. For the basis of this comparison she will spend five days in the UK, five days in France, six days in Italy, two days in Switzerland, two days in Austria, five days in Germany, four days in the Netherlands and two days in Belgium.
Over the course of a month, a traveller visiting Europe from the United States can expect to make 40 three-minute local calls, 20 10-minute international calls home to the US and receive 80 five-minute calls.
For the following examples I have used the above call patterns with the calls spread evenly across the month.
You may make more or fewer calls than our example as everyone’s calling habits are different. If you are close to your friends and family back home you may make more calls; if you are more independent (or not so close to your family) you may make fewer calls. If you are travelling on business you will probably make many more calls than this example. However this gives you a good way to compare costs between your different options.
How much does roaming cost in Europe?
AT&T and T-Mobile are the two main US networks that operate a GSM network. If you are with one of these two networks and have a quad-band phone then you should have no problem roaming on your trip around Europe; but it is expensive!
A T-Mobile USA customer roaming in most European countries will pay an average of 99c (67p/€0.77) per minute for each call (including calls received). Using the above usage example this would come to a total of $712.80 (£484/€552) over one month.
Is Mobal cheaper than roaming?
Mobal makes a big song and dance about what great value they are, but how cheap are they really?
With Mobal local calls were $1.25 (85p/€0.97) per minute in most of the countries surveyed – $1.50 (£1.02/€1.16) per minute in Belgium – calls to the United States were $1.50 per minute from most of the countries surveyed – $1.95 (£1.32/€1.51) from Belgium – and in all the surveyed countries except the United Kingdom – which was free – it cost $1.25 (85p/€0.97) per minute to receive a call. This came to a total of $898 (£609/€695) for one month of travelling.
But that’s not including the $49 (£33/€38) for their cheapest phone, which brings the total to $947 (£643/€733).
Mobal are more expensive than roaming, even without the cost of the phone!
With the so-called cheaper alternative charging higher prices than T-Mobile’s very expensive roaming charges, surely there must be a better option.
Eurotariffs mean cheaper roaming charges within the European Union
Fortunately European Union regulation (EC) No 717/2007, which imposes maximum roaming charges within the EU, makes roaming more affordable if your mobile phone is from a mobile phone network based inside the European Union.
These Eurotariffs mean that EU-based mobile phone networks cannot charge more than €0.46 (31p/USD $0.59) per minute to make a call to a landline within the EU and €0.22 (19p/USD$0.28) per minute to receive a call while roaming within the EU. The maximum roaming charge gradually reduces each year until 2012 so next summer’s charges will be lower.
To take advantage of these savings you will need to get a new phone (or SIM card) from an EU-based network.
Roaming with a UK pre-paid mobile phone
Let’s compare the roaming charges of several UK-based networks. The UK is a major European gateway for many flights originating in the USA and because of the common language it one of the easiest places to set yourself up with a prepaid mobile.
Virgin Mobile
Virgin Mobile’s prepaid plans are quite popular with travellers to the United Kingdom and I have used the service on several trips around the UK.
The call charges for a month of travelling throughout Europe using Virgin Mobile’s pay-as-you-go service come to £196.79 (€224/USD $290). It’s certainly not cheap, but a better deal than roaming on your home network or using Mobal’s service.
In most countries Virgin Mobile charges 38p (€0.43/USD $0.56) per minute to make a call and 19p (€0.22/USD $0.28) per minute to receive a call (free to receive calls in the UK). Those charges will be lower next summer to bring them in line with the new maximum Eurotariff of around 29p per minute.
Assuming that next summer’s charges are in line with the maximum Eurotariff, a month of phone use with Virgin Mobile in Europe next summer should cost around £173.44 (€198/USD $256).
If you don’t have a compatible phone, you will need to buy one from Virgin. Virgin Mobile’s website has prepaid mobiles starting at £14.67 (€17/USD $22).
That brings the total cost down to £211.46 (€242/USD $312) or £188.11 (€215/USD $277) next summer.
Three
The European Union regulation (EC) No 717/2007 only specifies maximum call charges and mobile phone networks are free to charge less than that. Most mobile networks charge very close to the legal maximum, but Three works out quite a bit cheaper than the other UK mobile networks that we checked.
While roaming in the EU (which comprises all countries in our example traveller’s itinerary except Switzerland), it will cost 25p (€0.29/USD $0.37) per minute to make a local call and 10p (€0.11/USD $0.15) per minute to receive a call.
Furthermore, Three’s Three Like Home promotion gives you local call rates in other countries where Three have their own network (in Europe that is Austria, Denmark, Ireland, Italy, Sweden and the UK). In this case this would give our traveller local call rates (including free incoming calls) in Austria and Italy as well as in the United Kingdom.
The big drawback with Three is the cost of calls outside the European Union. Calls to the USA from most European countries will cost a whopping £2 (€2.28/USD $2.95) a minute. With these expensive international charges your monthly call charges with Three will come to a whopping £415.59 (€474/USD $612).
Despite the high international call charges, Three is still the cheapest UK-based prepaid mobile option from the options we looked at. You just have to be more creative with how you make your international calls when you are roaming outside the UK.
Save more by combining Three with Rebtel
Fortunately there are ways to cut the cost by pairing Three’s mobile service with Rebtel’s cheaper international calls.
Rebtel basically works by giving you a local number to call, which is transferred to an international number at much lower rates than calling direct.
One factor you need to bear in mind is that you have to pay for both the call to the Rebtel number as well as Rebtel’s charge for the international portion of the call.
If you live in the States where you get a certain amount of inclusive minutes that have to be used each month, then this is a great deal as the cost of calling the Rebtel number is very low. Inclusive minutes are a much less common feature outside the US (especially if you’re on a prepaid plan), so Rebtel doesn’t always save you as much as you may like. However Three gives you 700 minutes to UK mobiles and landlines when you recharge £25, which works out at around 3½p (€0.04/USD $0.05) per minute.
Rebtel’s international portion of the call costs around 1.5 cents (1p/€0.012) for calls to the United States.
By combining Three’s call to a UK number with Rebtel’s calls to the USA, the international call is reduced from £2 (€2.28/USD $2.95) down to 4½p (€0.05/USD $0.066) for calls made from a Three network or 26p (€0.30/USD $0.38) for calls made from EU countries and 81p (€0.92/USD $1.19) for calls made from Switzerland.
By using this Three/Rebtel combo you pay just £104.72 (€119/USD $154) compared with £415.59 (€474/USD $612) that you would have to pay if you didn’t use Rebtel.
Of course you’ll need to buy a new phone if you don’t have a compatible mobile. Three’s website has the 3 Skypephone for £39.99 (€46/USD $59) including £10 (€11/USD $15) credit. That brings your total cost for the month down to £134.71 (€154/USD $199).
Save with free Skype-to-Skype calls
Another of Three’s advantages is free Skype calls from select mobiles including the 3 Skypephone. If you’re on a Three network – in our example that includes Austria, Italy and the UK; but Three also has networks in Denmark, Ireland and Sweden – you can talk make calls to people on Skype for free. If your family and friends at home are on Skype you can talk and talk without worrying about the cost.
It’s easier than it sounds
Sounds complex? Well once you get your head around how it all works it is not too tricky.
Basically you get a Three pay-as-you-go package and go to the Rebtel website and set up the UK phone numbers to be diverted to your family in the States. Then add these UK numbers to your mobile so calling home at a cheap rate is as easy as choosing a name from your phone’s address book. No complex international access codes each time you phone home, no waiting for a call back and no messing around with calling cards. Simply just push a button and talk.
How does it all compare
The comparative prices for each option (including the cost of a new phone) are:
- Roaming with T-Mobile USA $712.80 (£484/€552)
- Mobal $947 (£643/€733)
- Virgin UK £196.79 (€224/USD $290)
- Three £415.59 (€474/USD $612)
- Three/Rebtel £134.71 (€154/USD $199)
What about buying local SIM cards in each country
A typical one-month European trip taking in around seven countries leaves you with only around four or five days in each country. This is often too short to make buying local SIM cards worthwhile; however I find that a local SIM card in your phone is the cheapest option if you are in a country for a week or longer.
What about international SIM cards
There are some companies that sell international SIM cards, which are basically a single SIM that works in multiple countries. They sound like a great deal and many travellers swear by them. The problem is the call quality is so shocking – if you are lucky enough to get a line out – that most travellers swear at them. If you want to go this route, 09 Mobile and United Mobile have been recommended to me by many travellers. A comparison of these SIMs will most likely be the subject of a future blog post.
The high cost of roaming with your mobile phone
August 5th, 2008 by Tim Uden
There’s a good chance that you’re one of more than 90% of backpackers who wouldn’t dream of travelling without their mobile phone.
In most cases you’ll simply stick in a local SIM card and email people your new number. It is generally the cheapest way to go as long as your phone is unlocked (not locked into your home network). But let’s look at the alternative: roaming.
Roaming
Roaming works by forwarding your calls from your home network to a partner network in the country you are travelling in. Because your call is being forwarded, you are slugged with an overpriced international charge for all incoming calls and any calls you make are often priced higher than what a local customer would pay.
For instance, let’s say you are an O2 customer (on a contract) in the UK and you take your mobile to Australia. O2’s standard roaming charges mean that you would pay 85p per minute for a call within Australia or home to the UK and £1.30 per minute to receive a call.
It works the same in the opposite direction. An Australian on contract with Optus travelling in the UK would have to pay AUD $1.50 per minute to call within the UK, AUD $3.30 per minute to call home to Australia and AUD $1.17 per minute to receive a call.
On a two-week trip a typical traveller would make 20 three-minute local calls, 10 10-minute calls back home and receive 40 five-minute calls. That would cost our British traveller in Australia £396 and our Australian traveller in the UK AUD $654.
There is no doubt about it; roaming is expensive. However some mobile phone companies advertise deals where you can save on roaming charges. Are these promotions a good deal or not?
There are several mobile phone companies with an international presence and you would expect that you would get a good deal if you roam in a country where your phone company at home also owns a network. However this is only the case with Three, although Vodafone customers may save some money.
Three Like Home
Three operate in Australia, Austria, Denmark, Hong Kong, Indonesia, Ireland, Italy, Macau, Sweden and the United Kingdom, and their Three Like Home promotion means that Three’s customers can use their phone on other Three networks (although Three Indonesia doesn’t participate in the promotion) without any additional roaming charges. In other words, a Three customer in Australia can travel to the UK and be charged (almost) the same as if they were at home.
With the Three Like Home promotion, there is no charge for receiving calls, calls home are charged like a local call at home and you can usually use additional Three features such as free Skype calls.
Be sure that you check the fine print before signing up with Three as the details of the promotion differ slightly depending on which country you live in. For instance Australian Three customers travelling abroad get local rates both for calls in the country they are travelling in and for calls home, while UK Three customers travelling abroad only get local rates for calls back to the UK. However UK customers can use their inclusive minutes while travelling abroad but Australian customers can not.
Customers on a contract can take better advantage of the offer than prepaid customers and you need to be aware that it only works when you are on the network owned and operated by Three and not any local partner network. Be careful if you are a Three customer in Ireland or the UK and planning on travelling in Australia, since Three’s Australian network is restricted to just a handful of the bigger cities. If you travel off the Three network, then you are up for the excessive roaming charges that you intended to avoid.
Vodafone Traveller & Vodafone Passport
Vodafone operates networks in 20 countries with a minority ownership in another eight. This means that Vodafone’s worldwide network covers Australia, New Zealand and most of Europe. Unfortunately they don’t offer the same sort of deal as Three. However they do have some deals that are intended to soften the blow.
In Australia Vodafone have recently been advertising their Vodafone Traveller service, which is supposed to cut the cost of roaming, however on closer inspection it is not the same sort of deal that is offered by Three.
The Vodafone Traveller deal basically a simplified roaming plan that charges (Australian customers) AUD $1 per minute to receive a call and the cost of making a call is equivalent to the customers regular call charges plus an additional AUD $1 to AUD $4 connection fee. Becasuse you still have to pay to receive calls it is hardly the sort of deal that their advertising makes it out to be and certainly nothing like the Three Like Home promotion.
Using the earlier example, our Australian traveller in the UK would end up paying over AUD $354 if they were a Vodafone customer. Considering that this is promoted as a way to save money roaming, it is not a very good deal although it is better than conventional roaming.
Vodafone’s UK customers have a similar deal called Vodafone Passport where you are charged a 75p connection fee plus whatever your regular call charges would have been if you had made the same call from within the UK. Like the Vodafone Traveller deal, customers on this plan are still charged for incoming calls.
There are a few differences between Vodafone Traveller and Vodafone Passport, namely that Vodafone Passport is limited to fewer countries (mostly countries where Vodafone have their own network).
If our British traveller in Australia (from the earlier example) was a Vodafone Passport customer he would pay £203. That is a fairly good saving but it is nowhere near as cheap as the Three Like Home deal.
Other networks
We have already seen what Three and Vodafone are doing, but what about other mobile phone companies with an international reach like Claro, Orange, Singtel, Telefónica and T-Mobile?
I looked at the websites of these other companies and could find any similar deals. It is a pity since a cross-border plan with Claro would be ideal for travelling around Latin America and T-Mobile’s coverage across Europe and in the United States would make travel much less complicated (and probably convince a few more people to sign up for 24 month contracts) if only they let their customers benefit from their international reach.