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Purcellville, VA
reply to fuziwuzi

Re: Now we know where the shortage experts from Enron went.

said by fuziwuzi:

Follow the money. How much does Deloitte have invested in carriers?

That would be something quite hard to determine, given that Deloitte is not a public entity and its Partners and Principals do not have to disclose their private holdings to anyone but the firm's compliance personnel.

That being said, how many here would be incredibly surprised to discover that AT&T and Verizon are Deloitte clients?

I have to wonder if this is a way of helping those wireless companies "legitimize" their continually upward spiraling pricing strategies, or if there is something else involved. Not long ago, Deloitte was trying to make a name for itself in the arena of analytics. This could be an attempt to garner some attention in that area and bolster their reputation as well.

As much as I don't like their suggestion that raising prices would help prevent capacity problems, basic economic principles would indicate that lower usage rates could be achieved through this route. The question that wireless carriers have to determine for themselves when faced with raising prices is how it will impact their bottom lines -- something determined primarily through strategies employed by their competition and price elasticity of wireless consumers.