The new Telia subscriptions are aimed at users who “prefer to have a low monthly cost instead of the latest mobile phone,” according to the company, with a low monthly subscription from between 29 and 199 kronor.
As part of the package Telia are offering free call minutes to the networks of all operators in Sweden on a 24-hour basis. The free minutes can be used at any time.
With TeliaSonera also reducing the call rates for its most common Telia subscriptions by one krona per minute, this competitive move may well kick start a round of spring price cuts from other operators in this extremely competitive market.
Swedish customers have usually had to pay for inexpensive mobile phones by paying a higher monthly subscription fee. Telia claims “many customers want [a low monthly] subscription without having to pay for a mobile phone,” according to Indra Åsander, head of the Consumer Segment at TeliaSonera Sweden.
“By selling the subscription without a phone, we can reduce our costs and give a direct payback to customers by offering them a lower monthly rate,” claims Indra Åsander.