TracFone Launches Simplified Prepaid Service
Jul 5, 2005, 4:17 PM by (staff)
TracFone has officially launched a new prepaid wireless service called Net 10. They have been advertising the Net 10 service for about a month now but officially publicized the launch today. TracFone is an MVNO which already has usage agreements with a number of major US carriers. Net 10 will operate under these same agreements, but has simplified billing even further than TracFone's plans. Net 10 calls are a flat 10 cents per minute with no connection or usage charges. Text message cost 5 cents each to send or receive. Cingular offers a fixed rate prepaid with no fees for 25 cents a minute, and T-Mobile offers one with rates remain higher than Net 10's unless a subscriber purchases $100 worth of minutes at a time.
Comments
And Here's the Catch...
Namely, with the way your minutes expire, you have to use at least $30 a month of service for it to really work out to 10 cents a month.
For example, if you get the $30 card, the minutes expire in 30 days. Better use 'em before they're GONE.
The one exception is if you get the $300 card, whose minutes last 1 year. So that works out to $25/month. However, I don't know of many prepay users who want to put down $300 at one time.
Sorry, that last part should obviously read "10 cents per minute". 🙂
Since when is Net 10 new?
It seems they soft-launched it first, but now they're simply making it official.
Captain Obvious
This character just cracks me up. Great pre-paid marketing campaign.