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O2 launches cheap PAYG option and reduces mobile broadband prices

O2 turns up the pressure on other networks with its latest mobile broadband offers.

O2 has launched a cheap PAYG tariff for mobile broadband, offering download speeds up to 3.6Mbps (Megabits per second), with a one-off cost of £29 for the O2 USB Modem Stick.  After paying the initial £29 to buy the O2 USB modem, tariffs then cost from £2 a day for a 500MB download allowance, £7.50 a week for 1GB or £15 a month for 3GB of usage.  Any data usage over 3GB is charged at £0.20 per MB (Megabyte).

As with the usual pay O2 monthly tariffs, customers also get unlimited access to over 6,000 Wi-Fi hotpspots around the country through it’s partner The Clould’s wireless network.

Along with this O2 says that customers will also benefit from 24-hour customer support from a UK call centre.

The offer makes it currently the cheapest PAYG mobile broadband offering.  The next cheapest is 3 mobile broadband, which starts from £39.  However, most customers probably prefer one of 3’s £50 modems, as the £39 e220 modem isn’t a great looker.  O2’s modem looks a lot better and is cheaper.

O2 also has a special offer on for new pay monthly customers.  You can get mobile broadband for £10 per month for the first 4 months, rising to £15 per month thereafter when you sign-up to a 24 month contract.

This closely matches T-Mobile’s equivalent offering, which is £10 for the first 3 months. 

However, O2 have another trick up their sleeve.  They are also including an Ericsson PAYG phone as a free gift with any mobile broadband connection bought online.

Find out more at O2.