Three attacks with value play

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Three doubles data allowance across most contracts to 1GB, and introduces bumper value One Plan tariff

Network operator Three UK today launches a new £25 per month contract tariff, called ‘One Plan’, which packs huge minute, text and data allowances into a 12-month deal.

It has also doubled data allowance on most of its contract offers to 1GB. Contrary to recent action by O2 and impending action by Orange to scrap unlimited data and put caps on usage, Three has increased its data allowance significantly, even if it is not making data unlimited.

Three’s One Plan allows 2,000 cross-network minutes, 5,000 on-network minutes, 5,000 text messages and 1GB of data allowance.

Regulatory proposals by Ofcom are in place to slash mobile termination rates (MTRs) in degrees by almost 90 per cent within the next five years. Three UK chief executive Kevin Russell (pictured) said the operator is not waiting for inter-connect charges to come down to increase value it offers customers.

He said: “We are bundling all your communication needs into one simple tariff. We are going early and not waiting for mobile termination rates to go down. It’s important for us to go hard. Strategically, it is a big big deal for us.

“The network is ready and the regulatory environment allows us to compete. We are going head to head with the big boys.”

He added: “We don’t think it is smart to put the price of data up – 500MB is not enough. So our data allowance is doubling to 1GB per month on 80 per cent of our contract deals.

“We want to lead on easy access to the internet. We want to build market share. Data pricing and value will become a differntiator for us. We are not backing off, we are going more aggressively for value.”

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