A SIM-only approach to Mobile Contract Negotiations

Further to my recent post about buying a phone on Ebay without a contract, I have now renegotiated my contract with my service provider T-Mobile.

They have given me 400 minutes a month + unlimited data for £22.50 per month. I am rather pleased with this because, assuming I get close to the 400 mins each month, my average cost per minute will be under 6p to all UK mobiles and landlines (they will still sting me on international calls but that is another story). This price is £10 per month less than they normally charge because I have not asked for an upgrade (I bought a Treo 650 on Ebay for £230 because I like the phone). Thus, over the 18 month contract they have tied me into, I will nearly claw back the price of the phone (18 x £10 = £180).

Overall, this also compares very favourably with other providers in the UK. Take Vodafone who would charge me nearly double the price for a comparable package (without the unlimited data but with mobile TV and other frills). They would also limit me to a very small selection of handsets - a result of their desire to remain vertically integrated and control my experience.

Now we are not here to push particular operators, but hats off to T-Mobile for starting to embrace Telco 2.0! Their Flext and Web 'n' Walk packages are a clear indication of their willingness to decouple connectivity, services and handsets and give customers the flexibility and control they want.