Vodafone drops prepaid mobile broadband price

Stuart Corner
Monday, 27 July 2009 11:29

IT Industry - Strategy

Vodafone Australia has dropped the price of its prepaid mobile broadband starter pack from $149 to $129 ($119 if ordered online) and claims it is now the "best value" on the Australian market, but that may not be the case.

For this price users get a USB modem 'dongle' and (normally) 500Mb of data that must be used within 30 days. However until 30 September the data volume has been increased to 2GB. Unused data can be rolled over if customers recharge within 30 days of their previous recharge. Recharges cost $19 (500MB), $29 (1GB) or $49 (3GB).

Vodafone claims the offer represents the "best value" on the market. However erstwhile competitor and now joint venture partner Three appears to be offering prepaid at $69 for the dongle but the link for "more details" from the offer was dead when iTWire checked and the link to "order online" showed no modems costing less than $129. After being questioned, Three said that the modem was an old product still obtainable in stores at this price, but not online.

Three charges $15 for a 500MB recharge, $29 for 2GB, $49 for 4GB and is unique in offering a whopping 12GB for $149, with 12 months to use it: a bargain price of just over $12 per GB.

Optus' prepaid offer is slightly more expensive than Vodafone. Optus charges $149 for the modem plus 2GB until 31 July. Recharge prices are $15 for 500MB, $30 for 1Gb, $40 for 2GB and $50 for 3GB, $70 for 4Gb and $100 for 6GB with a 15 percent bonus for online recharge. The $15 option has only 15 day validity, the top two 60 day and the others 30 day.

Telstra's rates are in a class of their own: the $30 that on the others will buy around 2GB will get you only 150MB on Telstra and $60 only 750MB. However at the top end Telstra is much more competitive: $80 3.5GB, and $100 for 6MB, matching the Optus price. Telstra dongles cost $149