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According to Steven Hartley, a senior Analyst at Telecoms and Software consultancy Ovum, the flat-rate pricing that is attracting more and more customers to mobile broadband services could actually result in lesser profits for providers in the long run. The observation has come in view of reduction in prices of mobile broadband brought about by the competition in market (click for mobile broadband deals) as well as the dwindling usage of netbooks and laptops that has defeated the marketing strategy of providing these as value added services to consumers.

As mobile broadband access becomes the norm of the day, consumers are likely to use larger amounts of data by means of their mobile broadband connections. Moreover, if the connection is able to provide higher speeds, they also might start downloading videos etc. through mobile broadband. This can result in decline of profits for the operators.

Hartley agrees with other analysts on the point that the only solution to the problem is introducing better ways of carrying data more efficiently, which in turn would mean that more data is accommodated as per customer’s demands without compromising on profits. This kind of network optimization would also help in continuing with the present scheme without the need for shifting to the pay-per-usage pricing schemes, which are not favoured by customers. However, this is not the only strategy that can be used to maintain profits, as operators can also try to ensure customer loyalty by providing better customer services.