Prepaid wireless mobile broadband: Optus, Telstra, Three and Vodafone compared

David Flynn04 May 2009, 9:57 PM

Vodafone has joined its rivals in offering 3G wireless broadband to prepaid customers. So which telco offers the best value for your ‘pay as you go’ mobile broadband buck?


In both the technological and financial senses, pay-as-you-go wireless broadband means ‘no strings attached’.

Instead of inking a prohibitive contract with a fixed monthly spend and a use-it-or-lose-it data allocation, pre-paid mobile broadband tailors itself to your own budget and usage habits.

Of course, prepaid’s casual rates are more expensive than the equivalent data deal once you’re locked into a contract. And given how affordable 3G wireless broadband can become you could even be better off on an entry-level contract plan.

Take Vodafone’s newly-released plans for example. You’re charged $29 for 1GB of data on top of $149 for the Starter Pack which includes the USB modem and a nominal 500MB to get you going.

If you sign up for a 24 month contract you can get 1GB of data each month for $25 ($20 for the data and $5 for the modem). That’s slightly cheaper on a per-month basis and you don’t have to shell out $149 up front for the modem. It all depends on how often you expect to need wireless broadband.

Each telco’s prepaid scheme kicks off with a Starter Pack containing a USB modem and a chunk of data to get you up and running.  In most cases additional data top-ups or recharges expire after 30 days unless you recharge the account, although some telcos allow data to be rolled over from one month to the next.

Vodafone

Vodafone’s Starter Pack includes one of its new dual-band USB ‘Internet stick’ modems which taps into both the 2100MHz and 900MHz 3G networks, plus a generous 500MB of data for $149. If you connect before June 30 this is boosted to a whopping 2GB of data as a launch promotion.

Recharge packs give you 500MB for $19, 1GB for $29 and 3GB for $39; if you recharge your account online with a credit card you get an extra 10% of data added to your tally.

Unused data is forfeited if you don’t recharge your account within 30 days, although Vodafone allows up to 5GB to be rolled over into the next month. Usage is calculated in 1MB increments.

Telstra

$149 gets you Telstra’s Pre-Paid Wireless Broadband Starter Pack, comprising a USB modem plus $10 credit that’s good for a mere 75MB.

Telstra offers a wide range of recharge packs: $20 for 150MB, $30 for 225MB, $40 for 300MB, $50 for 625MB, $60 for 750MB, $80 for 3.5GB and $100 for 6GB. Some of those data allowances are odd because Telstra bases them on the data rate per MB, which varies from 13.3c on the cheaper plans to 1.65c at the top end of the scale.

Unused credit expires after 30 days. Recharging within the 30 day period gives you an extra month to chew through your tally, but there’s a catch: the per MB data rate is determined by your most recent recharge amount.

For example, let’s say you’re sitting on 2GB of leftovers from a 3.5GB top-up and the 30 day mark is fast approaching. If you buy the $20 140MB plan in an effort to hang onto those extra 2GB for a little longer, Telstra will change the data rate from 2.25c per MB – the rack rate for the $80 3.5GB plan – to the 13.3c/MB of the cheaper plan. So your 2GB of data suddenly becomes a mere 330MB.

Optus

Optus prepaid begins with the same shtick as the rest – $149 for the Pre-Paid Bundled Starter Pack gets you your dual-band USB modem plus 200MB with the usual 30-day expiry period. There are five top-up or ‘voucher’ plans: $30 for 1GB, $40 for 2GB, $50 for 3GB, $70 for 4GB and $100 for 6GB.

The first three plans have a 30 day expiry on the data allocation, while the $70/4GB and $100/6GB plans last for 60 days. Buying your recharge voucher online using a credit card gets you an extra 15% of data for each plan.

But the devil is in the detail. Optus rings up a minimum 10MB of data every time you connect. Every session counts as at least 10MB, even if you only download a few emails and click through a few Web sites.

Optus has granted one concession, which is that the first 30MB of usage each day is tallied to a total of 10MB. But once you go past 30MB in any given day, every subsequent session has an effective 10MB ‘flag-fall’.

3

The mandatory starter kit costs $129, for which you get a USB modem and a meagre 50MB-100MB of data depending on how you activate your account (over the phone for 50MB or online for 100MB). Casual recharge packs share the same aggressive pricing as their contract siblings – $15 for 500MB, $29 for 2GB and $49 for 4GB, each with a 30-day limit but a rollover to 15GB.

However, if you pony up $149 you’ll get 12GB of data that remains available for a full year. This is a pretty compelling deal if your usage is intensive yet follows an ‘on-again, off-again’ pattern over a period of many months.

The usual caveat as to 3’s coverage applies: roaming off the telco’s limited-coverage 3G network onto Telstra’s network will cost you extra.

And because the modem supplied with the pre-paid starter kit isn’t one of 3’s Next G-compatible ‘Mega 3G’ modems you’ll be dumped onto the GSM network and slugged $1.65/MB for a connection speed that’s almost unusable. Each of the 3 pre-paid plans comes with a small monthly roaming allowance ranging from 2MB to 12MB, but you’re better off just forgetting about GSM roaming and sticking with 3G.

The bottom line?

Vodafone offers the best all-up deal when you consider the higher data allocation in its Starter Pack, the good recharge rates and the greatly extended coverage of the carrier’s dual-band network.

Three generally has the cheapest on-going recharge rates and certainly a unique deal in its $149/12GB pack with a one year use-by date, but you’d better plan never to set foot outside the telco’s limited 3G coverage.

The only reason you’d choose Telstra would be for the extensive coverage of its Next G network – the prices are outrageous and the recharge terms for carry-over data means you just can’t win.

Optus matches expensive plans with that gulp-inducing 10MB minimum data flagfall, so use that one at your own risk.


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Chris_3413 (New user):

As one who always searches extensively for the best deals, I always find these kinds of comparisons very informative and useful.
One thing i'd like to add from my own research though is that, Virgin mobile has the same data rates as Optus(unsurprising since they make use of the Optus network) but don't have the 10Mb minimum flag fall. and they are only charging $129 for the modem
- Chris

05 May 2009, 5:28 AM (10 months ago)report abuse Send to a friend reply

petert (Senior member):

A useful article, but it unintentionally does not provide all of the necessary information to make a decision. Whilst the price of Vodafone looks good, the major problem is that their coverage is still very limited. At the moment, that means major cites and a few regional areas. It will take until at least August before Vodafone has wider coverage, but, given their proven inability to actually upgrade their network on time, finishing in that timeframe is highly unlikely! Vodafone would be one of the worst choices for anyone who travels!

05 May 2009, 8:19 AM (10 months ago)report abuse Send to a friend reply

ChrisL (New user):

I use Exetel HSPA/Optus deal which beats all of these. You dont have to be with Exetel. Buy your stick modem ($169) pay $5 a month and downloads are PAYG. No Contract. No Expirys

05 May 2009, 8:58 AM (10 months ago)report abuse Send to a friend reply

CCCMikey (User):

Yes, I don't know why these studies consistently skip Exetel. $5 per month, $25 for the SIM, $15 for 1GB, $25 per GB over. Charged per kilobyte.

With outdoor antennae you can often get coverage up to 30+km from a tower.

05 May 2009, 10:20 AM (10 months ago)report abuse Send to a friend reply

JSmale (New user):

I'm also in Exetel. It has be best rates going around and uses the Optus network anyway.

05 May 2009, 2:56 PM (10 months ago)report abuse Send to a friend reply

www.SeeknBuy.com.au (New user):

Exetel's modems are $120 (plus $25 for a SIM). You can have a SIM-only service if you already have a modem. Modems are not locked, and there is no contract.

Plans are:
$5/month + 1.5c/Mb (2.5c/Mb after the first Gb)
$17.50 = 1Gb
$22.50 = 2Gb
$37.50 = 5Gb
$55.00 = 8Gb

ALL plans come with:
100 free untimed Australia-wide calls to landlines each month
30 free SMS each month
10 free Email2Faxes each month

PLUS $15 cashback on new connections - exclusive to www.SeeknBuy.com.au

05 May 2009, 3:02 PM (10 months ago)report abuse Send to a friend reply

tim2hawkes (User):

my tablet has 1 built in but the nextg plans are $60 per gig


05 May 2009, 5:24 PM (10 months ago)report abuse Send to a friend reply

Steve_78576 (New user):

Good Vodafone Coverage map including dates on their next lot of rollouts/coverage expansions.

http://maps02.pdslive.com.au/VCATPublic/Kiosk.html


05 May 2009, 5:25 PM (10 months ago)report abuse Send to a friend reply

Stephane (New user):

You need to take network coverage into account. I have the Vodafone offering and it is completely useless in Camberwell - just 12k from the CBD. The same goes for Sydney CBD where I also spend a lot of time. Vodafone may look good on paper but actual use has shown it to under-perform to the point of being unusable.

06 May 2009, 1:48 PM (10 months ago)report abuse Send to a friend reply

Potoroo (User):

My partner has Vodafone wireless broadband on contract. Its instability and consistently poor performance (from St Kilda to Cranbourne) makes it poor value regardless of any dollar figure.

07 May 2009, 2:09 PM (10 months ago)report abuse Send to a friend reply

djsflynn (APC staff):

These comments on network performance are pretty much why we didn't address performance in this comparo - we just looked at the price, downloads and other factors, including the breadth of network coverage (eg Next G).

Actual network performance differs from area to area, and while one can draw averaged indications from a large set of experiences – eg areas where Next G (which is generally acknowledged to be fastest) is slow and sucky, or instances of Another Carrier delivering great speed and low latency while many of its customers complain to high heaven.

APC has regularly done comparisons of 3G mobile broadband and there'll certainly be another one soon or soon-ish, but the context of this article was about the deals rather than the actual networks.

07 May 2009, 3:25 PM (10 months ago)report abuse Send to a friend reply

jason65 (New user):

I currently use telstra pre paid broadband, even though their prices and recharge terms are obscene,at least its reliable.
I was on vodofone pre pay, and for the first 2 weeks it worked fine and then it just turned to crap, its instability and unreliability made
it all but unuseable.


25 May 2009, 11:11 AM (10 months ago)report abuse Send to a friend reply

jason65 (New user):

Bang for buck can mean cheap and nasty.
I had vodofone 3g prepaid broadband , it went well for 2 weeks and then
it turned to crap.It became totally unreliable to the point of useless.
I gave up after 2 frustrating months.
Telstras prices and recharges terms are obscene and outrageous, but after fivemonths with telstra it hasnt missed a beat.
Also , how can it be legal for unused data to be forfeited?
No other industry take back goods if you dont use them within
a certain time period,this amounts to repossession of goods that have
been paid for, i dont have have to forfeit meat in my freezer just because I didnt use it within a particular time frame.



25 May 2009, 11:41 AM (10 months ago)report abuse Send to a friend reply

agc53 (New user):

I can't believe that 3 charges $1650.00 per GB ($1.65/MB) for roaming on Telstra's slower network.

20 July 2009, 12:28 AM (8 months ago)report abuse Send to a friend reply

tashfield woodlington (New user):

I have the Optus prepaid wireless service at the moment and i have never been so disapointed in my life. I pay good money every month to recharge, and i dont get to use the internet because it keeps dropping out on me. customer service has given me internet credit to try and keep me happy, but for the inconvenience of my internet dropping out every 3 seconds, and a 10mb charge every time to reconnect, i am not happy jan. I have been told that the towers in my area are clogged, too much traffic and some other nonsense, promised that the problem would be looked into and fixed, given extra free credits, only to find 6 months later that they havent done anything about the problem, i still drop out every few seconds to minutes depending on the time of day, and an indian man on the end of the phone telling me to calm down please i do understand your inconvenience. So if your thinking of purchasing Optus prepaid wireless internet and live anywhere near northern sydney, just dont.
I hope i have saved you much missery.
sorry for the rant.
Im just sick of their bull... droppings.
ps. it took a few attempts to post this because i dropped out 3 times.

13 January 2010, 10:37 PM (2 months ago)report abuse Send to a friend reply

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