Cellular
Why do I have to pay more to use cellular on Apple Watch?
Apple Watch Series 6, watchOS 7
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The cellular Apple Watch has an extra cellular radio in it that is not part of the GPS only Apple Watch. Apple is a “For Profit” company, so they charge for that extra hardware.
When you activate the cellular radio, the cellular carrier has to support the extra cellular traffic keeping track of what cellular towers can see your Apple Watch, so when someone calls, messages you, it knows where to send the signals. The carrier wants money for this service.
A GPS only Apple Watch does not have any extra charges for using the iPhone’s cellular radio.