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O2 UK Will be Offering its Pay-As-You-Go (Prepaid) Tariff Plans for iPhone 3G Soon

iPhone 3G

O2, exclusive carrier for Apple's iPhone 3G in UK, has finally announced after much speculations that they will be offering its pay-as-you-go (prepaid) tariff plans for iPhone 3G from 16th September.

As you would expect the pricing for the unsubsidized iPhone 3G will be a lot higher than the iPhone 3G which comes with a contract.

Here are the pricing details for the iPhone 3G on pay-as-you-go (O2 calls it Pay & Go) tariff:

  • The 8GB iPhone 3G model will cost you £349.99 (approx $631) while the 16GB model will cost you £399.99 (approx $721).
  • £10 and £14 ($18 to $25) each month will give you 500 bonus minutes of call time to any UK home phone or O2 cellphone.
  • £15 and £29 ($27 to $52) each month will give you 1000 bonus minutes of call time to any UK home phone or O2 cellphone.
  • £30 or more will give you unlimited calls to any UK home phone or O2 cellphone.
  • Calls past the prepaid amount will cost 5p per minute.
  • You also get unlimited Internet access within the UK (though an "excessive usage" policy still applies), including 3G and O2 Wi-Fi, for free for the first year of service but will cost £10 per month after the first year.
  • Text messages aren't included with the plan similar to the plans with a 2-year contract. A text message will cost 10p each inside the UK.
  • The visual voicemail and call merging features will not be available through Pay & Go plan.
  • You will also be able to switch tariffs. However, I don't think you can move from an iPhone 3G with a contract to an iPhone 3G on Pay & Go tariff.

The change of strategy seems to be O2's attempt to widen the customer base in UK, where pay-as-you-go tariff plans are quite popular.

It will be interesting to see if folks in UK are willing to shell out the high premium to avoid the 2-year 18 months lock-in (O2 offers iPhone 3G 8GB at no additional cost on £45 and £75 per month tariffs and charges just £99 for iPhone 3G 8GB on £35 and £30 per month tariffs when you opt for a 2-year 18 months term contract). 

What do you think?

[via Apple Insider]

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