Telcos slash prices

January 17, 2012, 6:18 pm Clare Brady Today Tonight

With a new player in town, competition in the telecommunications market has never been fiercer, as companies slash prices to get your business.

Consumer

Mobile phones are the must have devices of our time, and it's taken a long time to get some new players to muscle in on our mobile turf.

Now there's a totally new face on the block - Live Connected. Roshan Mahanama is the founder of Live Connected and fresh out of the blocks is determined to make a change.

“You just use our SIM card in your phone, and it’s just like a prepay basically,” Mahanama said.

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His Live Connected team believes more than 9.2 million people are paying too much for their mobile phone bill, and that we're getting charged $2.6 billion in unnecessary telco fees.

“Our focus is purely on trying to get the best pricing with the best customer service possible,” he said.

Live Connected’s SIM Only plans shapes up like this: The monthly access fee for an average user is a low $10.99, which gives you $450 worth of value.

Mobile phones through the ages


The nearest major Telco plan is Vodafone's $35 a month dea,l which give you $550 worth of calls, but has an identical download limit of 1.5 GB.

Robyn Welfare ditched Austar Mobile after four years to try something new, and chose Live Connected.

“I'm saving approximately $40 a month on what I used to pay, which was $49 dollars. Now I pay $11,” Welfare said.

More stories from reporter Clare Brady

Amaysim is another relatively new player, that has been on the market for a year.

“A mobile phone is a mobile phone, and a call is a call. There were just three big players, they were all selling cap plans at confusing tariffs, and customers didn't understand what they are paying for,” said Rolf Hansen who heads up Amaysim.

“People bring their own phone and in return they get a very simple rate - there is no lock in contracts and they can leave us whenever they want,” Hansen said.

Compare pre paid plans with unlimited talk time at Moneyhound

For the big talkers who use more time, low cost players Live Connected and Amaysim offer $40 plans, with similar values as Vodafone, which charges double.

“Our entire business is built around online, so we run ourselves online, we run our customer service online,” Mahanama said.

But Elise Davidson of Australian Communications Consumer Action points out there are a few draw backs to being cheap and cheerful.

“For example Live Connected are just launching in Australia, so they don't have a call centre you can call, you have to be willing to interact with them just via email,” Davidson said.

And what's Telstra got to say about these fresh faced deals?

“If a deal sounds too good to be true, read the terms and conditions,” their representatives said.

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