Optus pulls a swifty with new mobile broadband plans

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David Flynn24 October 2009, 5:00 PM

Lower prices, more data and cheaper modems – Optus’ revised wireless broadband plans are all good, until your monthly data allowance is halved after 12 months...


Optus has revamped its 3G mobile broadband plans to offer more choice, lower prices and more data – even the USB wireless modems and excess usage fees offer more bang for your broadband buck.

Okay, there’s a sting in the tail: the data allowance is halved after 12 months, while the monthly fee remains pegged at the same level.

Yet here’s the really odd bit: the plans run on a 12 month contract. So the people who’ll get the best value from these new deals will be the ones who jump ship to Vodafone as soon as their contract expires.

(We cite Vodafone because it’s the only other Aussie carrier with a dual 2100MHz and 900MHz network, which matches the capabilities of Optus’ E160E and E1762 USB modems offered with the plans.)

But we know that most people won’t make this move – they’ll just stick with Optus and continue paying the same on a month-by-month basis, or possibly take out a new contract depending on what deals are available 12 months down the track.

And right now, these deals are pretty keen. There are five ‘My Wireless’ plans on a 12 month contract. Four are based on monthly payments: $15 for 1GB, $25 for 2GB, $35 for 4GB and $55 for 7GB (and remember, those data allocations are for the first year only, being halved after 366 days).

The E160E 3.6Mbps USB modem costs $99 upfront, with the E1762 7.2Mbps stick at $149 cash down or $12.42 per month.

The My Wireless 199 package offers the same 1GB allowance as the My Wireless 15 plan but at $199 upfront, and also gives you a free E160E 3.6Mbps USB modem, which represents a saving of $80 over the length of the contract.

The fine print for the My Wireless 199 plan notes that “after 12 months you will be moved to a $15 per month plan which includes 1GB of data for use per month”, which is better than having your data allowance dropped to 500GB.

Excess data charges have also been more than halved, plummeting from 15 cents down to 6 cents.






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peterh-oz (New user):

You don't have to go to Vodafone to keep your allowance. You can switch to Exetel (www.SeeknBuy.com.au/broadband) and get a much better deal, on the same network! Plans from $5 + 1.5c/Mb, 1Gb@ $17.50, 2Gb @ $22.50 or 5Gb @ $37.50. And tyhe modems are cheaper too - E160E $95 on no contract or free on 24 month contract, E1762 $145 on no contract. Yes that's right all plans are NO CONTRACT unless you get the free modem. Plus get $15 cashback from SeeknBuy.com.au. All plans have free activation for October (usually $25).

24 October 2009, 9:12 PM (4 months ago)report abuse Send to a friend reply

iiskellington (New user):

which is better than having your data allowance dropped to 500GB.
your data allowance dropped to 500GB.
dropped to 500GB.

25 October 2009, 7:44 AM (4 months ago)report abuse Send to a friend reply

Tin (Senior Forumologist):

12 months is a long time in broadband time. By the time the data allowance comes to be halved, there will be very different plans people could switch to (even on Optus still).

25 October 2009, 1:53 PM (4 months ago)report abuse Send to a friend reply

Dan Warne (Administrator):

Very curious... it's the sort of thing Telstra would do on a 24 month contract. Can't see why they'd halve the data as soon as people finish the contract -- hardly a customer loyalty benefit!

26 October 2009, 8:15 AM (4 months ago)report abuse Send to a friend reply

The Big Baboo (User):

As a famous American tennis player used to say ( And he'll be out here shortly ) "YOU CAN NOT BE SERIOUS" :) PST:clue here :) His initials are JM

26 October 2009, 9:59 AM (4 months ago)report abuse Send to a friend reply

Mr.wireless (New user):

Obviously the same idiot that altered mobile plans to per minute charging is now let lose on Wireless Broadband

26 October 2009, 12:55 PM (4 months ago)report abuse Send to a friend reply

Jason M (New user):

. duplicate post .

27 October 2009, 3:02 PM (4 months ago)report abuse Send to a friend reply

Jason M (New user):

. duplicate post .

27 October 2009, 3:23 PM (4 months ago)report abuse Send to a friend reply

Jason M (New user):

This move by Optus is further evidence that the "reseller only" model adopted by ISPs such as those mentioned by Peterh-oz, Exetel, is going to fail. This is proof that Optus Retail are not concerned with reducing margins for their wholesale customers.

It is going to be exceptionally difficult for Optus 3G resellers to compete in the future, with pressure also coming from other network-owning providers, such as Vodaphone, Three and Telstra.

27 October 2009, 3:23 PM (4 months ago)report abuse Send to a friend reply

peterh-oz (New user):

Not so sure about that Jason. Similar to ADSL, the HSPA resellers are offering a lower price and often higher quota service to their customers than the Network Providers. I can't see this changing for a long time.

27 October 2009, 6:37 PM (4 months ago)report abuse Send to a friend reply

Jason M (New user):

Peter,

Exactly how do you come to the conclusion that Resellers like Exetel are *not* going to face margin squeeze? It has happened to ADSL1, and is currently happening with ADSL2 - for the non-network owners.

The costs for a network owner are far, far less, on DSL or Wireless than the price a Reseller pays to a network owner. When you see Reseller-only ISPs selling ADSL2 from someone elses network, and then trying to compete price and quota with companies that own the network, you just know it is going to end badly.

28 October 2009, 10:47 AM (4 months ago)report abuse Send to a friend reply

Tin (Senior Forumologist):

Which companies are using their wholesale to try and squeeze out retailers? Obviously I mean other than Telstra...

28 October 2009, 2:26 PM (4 months ago)report abuse Send to a friend reply

Jason M (New user):

http://johnl.blogs.exetel.com.au/index.php?/archives/3190-HSPA-Pricing-Continues-To-Defy-Logic.....html

"We have always struggled to offer a sensibly priced product in this market and Optus Retail's latest end user price decreases will just make that even harder"

"I am coming to the conclusion (due to two recent 'events' and now the latest Optus Retail HSPA prices) that there is some doubt in continuing to try to maintain a 'strategic' relationship with Optus - I don't think, after almost six years of trying, that Exetel will ever become a company that "does things the Optus way" and that it may, after all this time, result in a 'parting of the ways' at some future time."

Seems pretty clear that Exetel is suffering margin squeeze.

28 October 2009, 2:39 PM (4 months ago)report abuse Send to a friend reply

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