Vodafone Australia Promises No Price Rises if Merger with Hutchison 3G Approved

Vodafone Australia and Hutchison 3G Australia - who are proposing a merger of their networks - have promised no price rises for at least two years following the merger. Both companies confirmed that, in the event of the merger proceeding as planned, all new and existing contract customers of Vodafone and 3 will be able to sign up to all existing Vodafone and 3 mobile voice and data plans for the next 2 years.

The companies say that their respective approaches to mobile phone and mobile broadband pricing, which allow customers to acquire devices for $0 on 24-month contracts, will remain in place.

Nigel Dews, CEO of 3 and proposed CEO of VHA, said: “We operate in a fast-moving market and we want to be clear that, following the merger, Vodafone and 3 will remain extremely competitive and continue to provide great value to customers.”

“We’re happy to reassure our customers with a public commitment that if the merger proceeds as intended, no plan will be withdrawn from market for the next two years,” explained Dews. “During this time we will also be introducing new offers and services to appeal to new customers.”

In February 2009 Vodafone Australia Limited and Hutchison 3G Australia announced a proposal to combine their mobile operations to create a new company, to be called Vodafone Hutchison Australia (VHA), subject to regulatory clearance.

Posted to the site on 25th May 2009