Telecom XT pricing - better value than you think.

By Steve Biddle, in , posted: 28-May-2009 19:42

Opinion of Telecom's new XT mobile network pricing has been very mixed since it's announcement earlier this afternoon. Many people have criticised Telecom for failing to deliver the significant price cuts that many believed would happen as they try and capture market share back from Vodafone.
One issue that has received little attention is the fact that Telecom are only billing per second after the first minute on both Prepaid and On Account connections. Ironically Telecom were the first to move to rounded up per min calling, something Vodafone then followed suit with. Over recent years both Telecom and Vodafone have billed per minute (and rounded up to the next minute) on prepaid calls and included minutes however addon minutes from both networks have offered per second billing after the first minute.

This means there are significant savings for both Prepaid and On Account users and means comparing included minutes plans between Vodafone the Telecom is quite hard to do.

Looking at my last Vodafone bill I estimate that I would have received approximately 25% more minutes with per second rounding after the 1st minute vs rounded calls with my included minutes on my Vodafone plan.

The savings will vary significantly depending on the length of your calls. If you're somebody who makes lots of short calls then the savings will be very significant. Long calls and they won't be quite so significant. It is certainly something that does need factored in when you're considering plans - despite what may appear to be similair airtime allowances between both Vodafone and Telecom plans for similair pricepoints you could infact be receiving significant extra value on an XT plan.

So the big question - how long till Vodafone follows?

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Comment by stuartm, on 28-May-2009 20:28

You're right about the per-second billing being extremely cost beneficial, however I was really hoping for some ground-breaking data pricing. I'm sure that Vodafone will match the per-second billing soon, but we'll still be stuck with shitty data plans.

Comment by crikarika, on 28-May-2009 21:59

And The Text plans aren't too good, this is likely to put off the teens.But i have a feeling the pricing plans will change I.e more introduced, by the 30 june.

Comment by Graymond, on 28-May-2009 22:17

We only use mobile phones and quite frankly I'm amazed at these so called better values.
We have 3 prepaid phones all on old 49c a minute plans.
One contract phone on 600 free minutes, 500 telecom, 100 vodafone, with a 3 day weekend which I did not see in the new listing.
The 1gig mobile broadband is the same price.

I believe this XT is about a new system not better plans.

Will wait this one out before we change.

Comment by paradoxsm, on 29-May-2009 18:59

i much prefer flexi. It was still per second after the first and it got cheaper the more you used it. The new plans are a step backwards to the boring old "plan in advance"

Comment by ajw, on 30-May-2009 09:53

I present I am on the Flexi Mytime 200 plan paying $30 per month.
Under the new one rate 180 the cost of this plan is going to increase by $50 per month. There is no way I intend to be ripped off by paying more, as far as I am concerned 2 Degrees mobile can have all my business.

Comment by richms, on 30-May-2009 14:36

Short calls is not helped at all by the per second billing since the first min is always charged - Its only once you are past a min that it helps at all. Probably half my calls are under a min so its not the big cost saver that they make it out to be.

Comment by VinLew, on 31-May-2009 16:38

Im a teen on prepaid and i reckon that is about time that it doesnt cost moronicly high prices to text vodafone - good on telecom for giving us text plans with a decent text allowence to any network!

Comment by red89mx, on 10-Jun-2009 21:57

Yep agree re the plans, was waiting for XT to get a new phone.

Have a Flexi Mytime 200 @ 30 month and most calls after hours + weekends. Cost $50 + more per month to go XT....way too much

Given up on new phone - just purchasing another Nokia 6235 on trade me to keep me going.  If Vodaphone had better coverage I would consider switching...lets see if they get real before 2012.

Early plans to milk the early folk on this site.

sbiddle's profile

Steve Biddle
New Zealand

I'm an engineer who loves building solutions to solve problems.

I also love sharing my views and analysis of the tech world on this blog, along with the odd story about aviation and the travel industry.

My interests and skillset include:

*VoIP (Voice over IP). I work with various brands of hardware and PBX's on a daily basis
  -Asterisk (incl PiaF, FreePBX, Elastix)

  -xDSL deployments

*Structured cabling
  -Home/office cabling
  -Phone & Data

*Computer networking
  -Mikrotik hardware
  -WAN/LAN solutions

*Wireless solutions
  -Motel/Hotel hotspot deployments
  -Outdoor wireless deployments, both small and large scale
  -Temporary wireless deployments
*CCTV solutions
  -Analogue and IP

I'm an #avgeek who loves to travel the world (preferably in seat 1A) and stay in nice hotels.

+My views do no represent my employer. I'm sure they'll be happy to give their own if you ask them.

You can contact me here or by email at