LTE operators in the UK have often been compared to the world of Game of Thrones: a fierce, competitive struggle for dominance where rivals do whatever it takes to gain an edge.
Three’s announcement of its 4G plans is the latest move in that battle and one of the most disruptive to date.
For nearly a year, UK 4G was dominated by EE, the joint venture between Orange and T-Mobile, following a restricted spectrum auction. During that period EE faced criticism for its exclusive hold on advanced services, yet it also built an extensive network that now covers more than 100 towns and cities.
Last month, rivals Vodafone and O2 began their own limited 4G rollouts, launching services in London, Leeds and Bradford on August 29.
As predicted by many, that launch day also saw Three reveal its 4G strategy. Although Three’s service won’t go live until December, the operator became the first to announce an unlimited 4G plan—marketed as “All You Can Eat”—and crucially, it said there would be no extra charge for choosing 4G.
Three’s pricing starts at £12.50 per month for plans offering unlimited 4G, and the company has indicated there will be no fair-use restrictions attached. That positioning makes Three’s offer immediately more attractive to consumers compared with the higher-priced, capped data plans offered by other providers.
Speaking from personal experience, I recently switched from giffgaff, which runs on O2’s network, to Three in anticipation of the free 4G upgrade. I carried two monthly plans while testing service across different locations. Despite Three’s “Built for the Internet” slogan, I often found its coverage disappointing; in many situations where others had full signal and could web browse, tweet, email and send photos, I was left with no signal at all.
Mark Windle, Head of Marketing at OpenCloud, echoes concerns about operators’ ability to balance capacity and innovation: “Operators need to match their investment in data with investment in innovation and core communication services.” He adds that the market’s reliance on a limited number of standard networking suppliers has constrained network innovation.
On the other hand, O2 announced that MVNO partners such as giffgaff and Tesco Mobile will gain access to its 4G network; sources indicate giffgaff plans to launch 4G service by the end of the year. This expanded access should improve options and coverage for a wider range of customers.
The coming months are likely to spark an intense pricing war that will benefit UK consumers through better value and broader choice. For now, though, I have a confession: I miss giffgaff’s service—please take me back.
What do you think about the state of 4G in the UK and Three’s new unlimited plan?