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Recent scrutiny has come on cell phone providers as questions arise on how they can justify the rate that they charge their customers to use their SMS messaging service.  According to Time Magazine, it only costs 0.3 of a cent to provide SMS messaging to consumers.  So, why are paying as much as 25 cents per message? 

Profits are huge for cell phone providers, especially since the results of a recent study by Nielsen Mobile found that the average teen sends and receives close to 3,000 messages per month.  It is very cheap to offer text messaging since providers can now rely on digital phone networks and messages are typically less than 160 characters.  Yet, despite how cheap it is prices have steadily been on the rise over the past three years.  Text message rates now average at 20 cents per message instead of the 10 cent average three years ago.

Cell phone providers contend that instead of focusing on per message charges, consumers should look at affordable pricing packages that allow you to access bundled or unlimited messaging at a low rate.  Just make sure you don’t go over the set amount or you could be responsible for a pricey cell phone bill.

Read: [Time]