Virgin Mobile enters iPhone fray: where’s the best deal now?

Virgin Mobile enters iPhone fray: where’s the best deal now?

As expected, Virgin Mobile has officially launched its iPhone plans in Australia — and they look like a relative bargain. With 3 also launching iPhone data plans (even though it can’t sell the phones), Optus updating its plans soon after launch and Telstra dropping its data charges yesterday, the plan landscape is now looking rather different than it did on iPhone launch day just three weeks ago. Click the jump for our analysis of where the best deals are now (assuming you can find someone with a phone in stock).
Firstly, Virgin’s new offerings. For $70 a month on a 24-month contract, you get an 8GB iPhone, 1GB of data a month and $520 in call and text credits. For $100 a month, the data goes up to 5GB. That makes Virgin easily the most generous of the options if you’re focused on getting a decent data deal. There’s an $80 unlock fee, plus a $250 “early evacuation” fee if you quit within six months, as well as having to pay out the rest of the contract. So it’s not a great way to get an iPhone to use elsewhere, but it’s a good deal for a new buyer.
How do the alternatives stack up? Optus still has the most comprehensive range of plans: if you’re confident that you won’t need lots of data, then it’s the cheapest entry level option. If you do need data (that is, you plan to use the iPhone as an applications platform rather than a fashion accessory), then the Timeless plans are much more generous than the high-end, $149 a month with just 1GB included option that Optus initially launched. But given that Optus and Virgin both use the Optus network, at this level you’d be better off looking at Virgin anyway.
Telstra’s price reductions make its data options slightly better value than before, but they’re still considerably more expensive than the rival services. If you’re in a rural location where Next G is the only available choice, then you might have to wear this, but for anyone with a range of signal options, Telstra still looks seriously pricey. With that said, if you regularly spend time in locations where Telstra has Wi-Fi, it could work out OK. (Bear in mind though that there are fewer Starbucks in Australia than there used to be, so you could be facing a diet of McDonald’s.)
3’s BYO iPhone plans offer data rates that are cheaper than even Virgin’s — but of course the Virgin prices include getting the phone as well. If you’ve bought an iPhone to unlock (most likely through Optus), then this is definitely one to consider.
As for Vodafone, there’s basically no way we’d recommend selecting its plans to anyone, given the continued inability of the company to decide what its data policy is. Despite Vodafone’s earlier statements that data can’t be included in its overall monthly caps, we’ve had lots of readers commenting that they’re still being told by Vodafone resellers that they can use their credits for data. Vodafone has also basically adopted a “no comment” policy when it comes to explaining how its terms and conditions should be interpreted in the first place. Never answering any questions might seem to work for Apple, but when it comes to putting down money on a long-term contract, customers deserve better — and Vodafone simply isn’t offering it.
So even though Vodafone looks like a reasonable choice on the surface for frequent overseas travellers, we’d be looking elsewhere first.


  • Just imagine what serious competition between this lot could do, if they were to offer a simple pricing structure instead of offering, complicated expensive plans that make it difficult (make that nigh on impossible) to do direct comparisons. Ooops I wish I could stop being so naive

  • Just wanted to clarify, the article says that if you end your Virgin plan early, you have to pay our the rest of the contract. The statement on the Virgin website says:

    “Leave when you like, just pay out the full balance of the PPP owing, your pro-rated minimum spend and usage for that month and a Premature Evacuation Fee of $250 if you pay out your phone within the first 6 months.”

    Looks to me that you only pay the minimum spend and usage for the month that you leave (hence it is pro-rated). I’m confused – seems a bit unclear, and it’s farily pivotal to the value of the plan. Anyone had any experience in this?

  • i used to work for virgin and it would be exactly as it says.

    the 70$ per month are phone payments.. so 70 off the PPP each month..

    if you bail.. you pay the remaining PPP amount, if you leave in the first 6 months add 250$ to that, and a portion of you bill from your billing day till the day you canceled

  • @Orp – seems pretty plain to me.

    The PPP (Post-Paid Price) of the phone is $744, which you pay off 1/24th ($31) every month you are on the plan for the first 24 months.

    Leave at, say, exactly five months after you join and you’ll pay $839. This is made up of $589 [the PPP less five months at $31pcm] + $250 [Premature Evacuation Fee charged if you leave before six months].

    Leave at seven months and you’d be looking at $527 (PPP less 7*$31).

    Leave at 12 months and you’ve already paid off half the phone, so pay only for the other half ($372).

    I think Virgin’s pricing is more transparent than most plans I’ve come across.

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