Thursday, August 04, 2005

Will Vodafone follow?

What's new? KPN's E-Plus, O2 Germany and T-Mobile Deutschland each introduced new tariff packages aimed at the lower end of the market. E-Plus has its own simyo MVNO, O2 has LOOP and T-Mobile introduces Click and Go. They all offer very low tariffs, SIM-only, marketed exclusively through the web.

What's the relevance? First, the lower end of the market is the new battle field, but it will lower ARPU's across the wireless industry. Competition hurts. Second, operator # 4 (# 2 in terms of marketshare) Vodafone hasn't followed suit yet. Will it?

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