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October 13, 2008

Bundle mobile and fixed broadband the way to go

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by David Allen

It seems that the fixed and mobile broadband provider O2 has set a precedent for all of the other providers, according to the media analyst Analysys Mason.

O2 were the first provider to add value to their mobile broadband service by also providing their fixed line broadband service in a bundle, essentially the fixed broadband is free, or is it?

The deal that O2 offer is their 3 Gb mobile broadband service at £20 per month, included in with the deal is free subscription to the O2 up-to-8 Mbps fixed line service.

However, the same mobile broadband service with other providers is around £15; therefore, O2 users would effectively be paying £5 per month for O2’s fixed line broadband.

What this does is tie up customers to contracts, so they are not going to one provider for mobile broadband and looking around for another provider for fixed line broadband.

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