Become a MacRumors Supporter for $50/year with no ads, ability to filter front page stories, and private forums.

sananda

macrumors 68030
Original poster
May 24, 2007
2,894
1,128
I've just found out that prepay customers cannot download data faster than 400kbps. This seems unfair as I don't recall o2 saying that there is a two tier sevice when users paid for their phones and one year's data in advance.
 
I was enquiring as to why my speeds were slow compared to other user reports and I was informed by o2 executive relations that 400 Kbps is the limit for prepay customers owing to a "known issue".
 
Are you talking WiFi or 3G? I can get more than 400kbps on my home Wifi and at work. How can only o2 UK limit speeds? Surely this could be removed somewhere in the iPhone.

I'd like to know more about this if anyone has more information.
 
I can confirm that some guys in the office have seen this using O2 PAYG SIMs in tethered phones (not iPhones). Stick in a contract O2 SIM and it jumps to >1000kbps...
 
Yeh but isn't that because it's through the payandgo 3G? I can't say I blame them for capping this. It's probably stated in their TOS.
 
I agree. I can't see why there should be any speed differences in Pay Monthly or Pay & Go tariffs. Furthermore, I can't see any references in O2's "Terms & Conditions".
 
I was enquiring as to why my speeds were slow compared to other user reports and I was informed by o2 executive relations that 400 Kbps is the limit for prepay customers owing to a "known issue".

Guess they must not be implementing it correctly/universally.

I've got an O2 PAYG SIM in a tethered phone (Nokia E71) and I usually get around 500-700 kbit/s.
 
Pay as you go generates Less revenue for operators, pay monthly is the bread and butter of mobile networks so it makes sense to offer a better service on pay monthly as it will attract more long term customers
 
Pay as you go generates Less revenue for operators, pay monthly is the bread and butter of mobile networks so it makes sense to offer a better service on pay monthly as it will attract more long term customers

Disagree. There will always be customers that don't want to be tied into anything. Why sign up for a contract when a new, improved phone could be just around the corner? Also you get the freedom of only buying what you need on PAYG.

It's probably true that they make more money out of contract users, but there's no reason they should limit PAYG users - OR they should make it clear they are doing so.
 
I understand what you are saying and that's why o2 look after their pay as you customers as a whole but in terms of revenue there is no debate about it, pay monthly is where networks in the UK make most of the money. So pay monthly always has to offer more to attract customers.

I agree they should make it clearer though.
 
I also think they should make it clear that Pay and Go get lower speeds. Then we can make informed decisions about what we buy.
 
...... in terms of revenue there is no debate about it, pay monthly is where networks in the UK make most of the money. So pay monthly always has to offer more to attract customers.
What evidence have you to say this?

Don't forget there are a multitude of Pay & Go customers - People who want the freedom to not be tied to a fixed-term contract plus all the school kids and students who mostly pay as they go. Personally, I would have thought that Pay & Go was a very profitable tariff - my Wife uses it and always manages to spend more than she plans to! - she'd be better off with a monthly contract! :D
 
What evidence have you to say this?

Don't forget there are a multitude of Pay & Go customers - People who want the freedom to not be tied to a fixed-term contract plus all the school kids and students who mostly pay as they go. Personally, I would have thought that Pay & Go was a very profitable tariff - my Wife uses it and always manages to spend more than she plans to! - she'd be better off with a monthly contract! :D

I used to work at carphone warehouse when I was at uni and my friend is a manager at o2. At store level any pay as you go connection earnt margin of £12.5, any pay monthly connection earnt £100 margin and that was only at store level. That is 100% fact.

I'm not talking about what is better to be on, I'm talking about how pay monthly is where the networks make the most revenue.
 
I can't see any references in O2's "Terms & Conditions".

But does it mention anything at all about speed? If it promised 1000Kb/s but then only delivered 400Kb/s to PAYG customers then they would have to say something, but if there is no mention of speed then I don't think they are bound to say anything.

I would pay monthly if there was no minimum term. After trouble with a previous network I vowed never again to get tied up in legal knots.
 
But does it mention anything at all about speed? If it promised 1000Kb/s but then only delivered 400Kb/s to PAYG customers then they would have to say something, but if there is no mention of speed then I don't think they are bound to say anything.

I would pay monthly if there was no minimum term. After trouble with a previous network I vowed never again to get tied up in legal knots.

CAn't you do something like the Simplicity tariff and a web bolt on? Getting a 1 month rolling contract, rather than PAYG and potentially faster speeds?
It all might change soon, seeing as O2 might bump HSDPA come June.
 
I also agree that PAYG users shouldn't be limited. I have never been on contract and frankly never will go on contract. I don't personally use my phone enough to warrant having to pay a fixed amount (or more) each month.

Regardless of who makes a company more money they should still treat their customers with the same level of respect. Do you get a different level of customer service and network coverage while on PAYG? I would hope not, so limiting something as important as data speeds should be stopped.

We should all complain if it's not in the TOS. If enough of us complain maybe they'll listen! - I'm joking btw, they would never alter their service because a few PAYG customers were pissed off lol <_< those bastards.
 
I can confirm that i have also found this to be the case.

I have a prepay iphone on O2 and was pretty dissapointed with the speeds and i was also starting to spend around £20 a month on credit so i just got an O2 simplicity sim for £19.58 a month, with 600 minutes 1200 texts and a FREE bolt on (naturally i chose the WEB)

see here: http://shop.o2.co.uk/sim-only-simplicity


Now i get at least 3x the speed in exactly the same areas and i can confirm this with the speed test app i have installed.

For people that dont know, the simplicity sim is a 30Day contract so if you spend around £20 a month on pay+go then its a no brainer really. you can trasnfer over your prepay number and credit easily.
 
Disagree. There will always be customers that don't want to be tied into anything. Why sign up for a contract when a new, improved phone could be just around the corner? Also you get the freedom of only buying what you need on PAYG.

This is exactly why networks prefer PAYG. Less upgrade ability, contracts, possibility of overshooting allowances... no freedom...
 
Regardless of who makes a company more money they should still treat their customers with the same level of respect. Do you get a different level of customer service and network coverage while on PAYG?

This is not about respect. It's simply down to prioritising the customers that are worth most to the company. And there are certainly different tiers of customer service. If you have a contract with O2 via a large corporate entity (I used to) then you get a totally different level of customer service than either PAYG or normal contract customers. The reason is exactly the same: corporate customers are worth a lot more to O2 than non-corporate ones. Want faster network speeds? Pay for it and give O2 the security they want in return (which has value to them) by going on a contract.
 
I agree with you somewhat but not about the level of customer service you receive for being on a lower-profit service.
I totally understand their reasoning behind it and the business ethics but it's just plain wrong lol.

I have no reason to need faster speeds as most of the time I am able to get onto a wireless network. I only use cellular data for e-mails and minimal web browsing.
 
Register on MacRumors! This sidebar will go away, and you'll see fewer ads.