Telstra product management have been busy lately. The Next G plans, introduced less than a year ago have been replaced again, this time with Freedom Connect plans.
| Plan |
Min Monthly spend |
Included Credit |
Included data |
Included Text |
MRO credit |
| Freedom Connect $49 |
$49 |
$450 |
1 GB |
0 (25c/SMS) |
$10 |
| Freedom Connect $59 |
$59 |
$550 |
1.5GB |
unlimited |
$15 |
| Freedom Connect $79 |
$79 |
$800 |
2 GB |
unlimited |
$20 |
| Freedom Connect $99 |
$99 |
$1200 |
2.5 GB |
unlimited |
$25 |
| Freedom Connect $129 |
$129 |
unlimited |
3 GB |
unlimited |
$30 |
The new Freedom Connect plans offer more included data, more included credit and unlimited text ($59 Cap and up), but also come with per minute billing and higher call rates compared to the NextG plans they replace. So unless you specifically need more data, in most cases the extra included credit will be cancelled out by the increased call rates.
The new plans include MRO credit that can be used towards handset repayments; on the other hand, the handset repayments on most phones have gone up too. For example, the HTC Desire was free on the $49 NextG Cap but will cost $13/month on the $49 Freedom Connect plan. Comparing Apples to Apples (sorry, couldn’t resist), the iPhone 4 16GB was was $9/month on NextG $49 Cap, and now will be $15/month on the equivalent Freedom Connect plan after applying the MRO credit.
Overall, the new plans leave Telstra customers worse off. In my opinion, the NextG plans served the purpose of making Telstra more competitive and help them regain lost market share in the past one year. But now there is a move back to the old premium pricing model. It remains to be seen whether people reject the new Freedom plans in favour of better value alternatives; or will Telstra continue to attract new users to its premium plans on the back of superior network coverage.
Click here to see all current phones and plans from Telstra.