T-Mobile to cut pre-pay prices

[3GScottishUser]

From Telegraph On-Line (03/04/2005):

T-Mobile is to intensify the price war between rival mobile network operators by slashing its call charges later this spring.

The German group will significantly reduce its tariffs for pre-pay customers, in what will be the first major response by an established mobile network operator to the growing threat of low-cost rivals such as easyMobile and Fresh, owned by Carphone Warehouse.

The move is likely to heighten concerns among analysts that the whole of the mobile sector is to be dragged into an increasingly vicious price war.

Rene Obermann, the chief executive of T-Mobile, told The Sunday Telegraph: "We are not about to walk away from the retail battle."

However, T-Mobile also intends to phase out subsidies on handsets for customers who prefer to buy pre-pay vouchers for their mobile rather than signing a 12-month contract.

Traditionally, network operators underwrite the cost of phones to attract new customers. But this has discouraged customer loyalty and added to "churn", which is the phenomenon of customers regularly changing their mobile -network to take advantage of the best offers.

Last week T-Mobile launched a new service called U-Fix which is designed to reduce churn by offering "pay-as-you-go" customers an easy-to-understand 12-month contract with cheaper tariffs.

Tomorrow, 3, the operator of next-generation 3G services, will also unveil new tariffs.

http://portal.telegraph.co.uk/money/...03/ixcity.html

[solo12002]

Originally Posted by 3GScottishUser

From Telegraph On-Line (03/04/2005):

T-Mobile is to intensify the price war between rival mobile network operators by slashing its call charges later this spring.

The German group will significantly reduce its tariffs for pre-pay customers, in what will be the first major response by an established mobile network operator to the growing threat of low-cost rivals such as easyMobile and Fresh, owned by Carphone Warehouse.
Problem is Most of the users will of gone to another cheaper network by then, they need to act now,they used to have rates like virgin them went OTT and now charge 30p all day to 5p depending on what you spend..


Last week T-Mobile launched a new service called U-Fix which is designed to reduce churn by offering "pay-as-you-go" customers an easy-to-understand 12-month contract with cheaper tariffs.

Problem with this is this is realy MIX it with a new name of U-Fix, for those who have the money to buy a mobile sim free, or have a mobile, they might be better of on o2 and pay £45PPm for 800 mins to anynet work and 2000 free Text per month, with free voical call and ITS

[Ben]

Mhmm I have to say, I'm not impressed by the whole U-Fix thing. If you're going to get a 12 month contract then you might as well get a normal one and just check your usage every now and then! If you don't want a contract then you might as well just set up a direct debit on PAYG and give over a little extra for the handset.

But then I've never found T-Mobile particularly good for anything :\

[Jon3G]

I agree. T _mobiel seem to be a 3 business model and just want the market share at any cost

[3GScottishUser]

Indeed - they have nearly 16 million active customers!!

Rumour has it that they might bid for 02. They are in the frame along with Telefonica right now.

The above could cause OFCOM some problems!

[Jon3G]

Indeed. Its the first I have heard of the 02 bid, now that is interesting

[solo12002]

God help us if they do.

O2 are starting to look good again some nice handsets on 3G or coming on to it, the offer of having a contract sim without a mobile on a 30 day contract which offers free voicemail and free Texts.

I wish they would confirm some details on ther 3G service (ie) can you get 3G sim only, is it on PAYG information not clear on their site, there web site need redesigned as far as E Mail goes.

I looked in the sun tonight boy was I shocked when i noticed that T-Mobile will charge you 50PPM for customer support up to a Max of £5pounds on U-Fix ? wow dear or what, bearing in mind its a contract mobile!

[Ben]

Just been on the O2 website...

...I had NO IDEA they were doing SIM-Only contracts! And they're fantastic at that - £25 a month for 200 mins xnet and 1000 texts is just great. I like to buy SIM-Free handsets anyway, so it makes sense to have a contract option available that allows that. Why can't all the networks offer this? Thanks solo12002

WRT T-Mobile having a shot at O2, I'm just not sure. It 'feels' like O2 are improving, and I certainly think of them as being far more innovative than T-Mobile. It'd be a shame for them to be bought.

[solo12002]

I agrree Ben, I rather buy mine sim Free myself, ans I was on 02 Max untill I switched over to three to save money on to Three Talk and Text 750, five days after getting the phone, had first call to fine the dam phone dint work, went onto Three pay, but I pay for my Voicemail and fine I lose calls, so it looks as if Im heading back on to one of the sim only contracts, Im looking at O2 400 with 400 calls free = 800 in total and 2000 free Tet a month, pluse free Voicemail and ITS which means i get cheaper calls while roaming. Starting to look good for me.

[Bleubean]

Yeah Ben, I agree with your post, people might as well just go with a contract and monitor their usage. Its sort of a contract desguised as PAYG.

Oh and about O2 SIM-FREE contracts - I have one!! To be honest it is the best deal i have ever been on. I, myself, am a high texting customer and talk very little. However i do talk sometimes during the day therefore i need a certain amount of xnet minutes to use. I bought myself a sim-free SonyEricsson S700i and then bought myself the contract as it worked out cheaper than a new contract on O2 with the SE.

I have been with them 3 months now and i am truly impressed. I havent went over my usage, nor have i ran up huge bills! EXCELLENT! I also like the way O2 charge for their MMS' ie an MMS uses up four text messages from any allowance! Which is great if you have 1000 per month!

Well done O2!

Back to -T-Mobile, I think they need to be a bit more competative because they just dont seem to do the deals that have the "wow" factor. Oh and i very much hope they dont buy O2!! They would wreck it!

[Jon3G]

o2 are very good, I am with them for my business phone and my missus is with them too and always had very good service