Price drop: Vodafone’s mobile broadband gets cheaper

By Alex Zaharov-Reutt
Wednesday, 08 October 2008 12:00

Opinion and Analysis

A day after Optus raised prices on pre-paid mobile broadband, Vodafone cuts its prices instead, showing competition is alive and well in the 3.5G wireless broadband market.

Vodafone has “returned” to offering 5GB for $39.95 per month on its 3.5G network, this time removing the need to be an existing Vodafone customer to enjoy the $39.95 pricing.

Previously, non-Vodafone customers were being asked to pay $49.95 per month, so this is a $10 per month saving on what remains a 24 month contract to anyone that wants to connect to Vodafone’s data network.

5GB customers also get the $249 “USB Internet Stick Modem” free of charge, while those choosing the newly re-priced 1GB plan need to pay $5 per month for the modem.

The USB Internet stick works on 2100 and 900MHz networks, meaning it will work on Vodafone’s 900MHz 3.5G towers in rural and regional areas, and also comes with a microSD card slot letting you use the stick as a flash drive, as well.

In addition, the Vodafone Connect software is loaded onto a separate data area within the Internet stick meaning you’ll never lose the installation software, something I’m seeing on more USB modems these days, a handy thing!

Vodafone’s 1GB plan, which was only introduced last month, now drops from $29.95 per month to $19.95 per month, putting it $4.95 ahead of Three Mobile’s $15 per 1GB plan, although without the threat of 2.5G roaming fees when out of 3G areas as Three Mobile currently charges.

10c per MB is charged once you go over the cap limit, with no option to buy more gigabytes as is the case with iPrimus, and no pre-paid broadband option with no contract as is the case with Three Mobile.

Three Mobile offers its 1GB, 3GB and 6GB plans without a contract, letting you stop and start as you like, although unlike iPrimus, Three Mobile charges 10c per MB excess usage in 3G areas or $1.65 per MB when roaming.

Only iPrimus and Virgin (both use the Optus network) offer plans with no excess usage fees, everyone else (Telstra, Vodafone, Three Mobile and Optus itself) charges excess usage fees of some kind.

So how else does it compare with other plans out there, and what is the future of mobile broadband in Australia? Please read on to page 2.