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BT Halves Wifi Price, Fon Doubles Wifi Price.

Coming hot on the heels of Martin Varsavsky’s regretful announcement, that Fon Wifi will soon be doubled from $/€2 per day to $/€4 per day (he needs to visit fon.com more often. It’s actually $/€3 per day now), is this news that BT is cutting the price of wifi at their hotspots by as much as 50%!!!

The new service tiers are called “BT Original”, “BT Openzone Together”, and “BT Openzone Global”. All three tiers provide access to BT Openzone, BT FON and BT Business Total Broadband hotspots. BT Original provides 500 minutes of access, while Together and Global provide “unlimited” access plus 500 minutes of “UK roaming”. BT Global also includes 500 minutes of “international roaming” at other BT partner hotspots like Swisscom Hospitality Services and Comfone’s WeRoam.

If you exceed your 500 minutes in a limited access category, you’ll be billed 10p ($.17) per minute anywhere.

Here are the respective prices for comparison:

Fon Wireless Ltd: €71.02/mo ($91.24) on average at current price
BT Original: €5/mo+VAT ($8.71)
BT Openzone Together: €12.50/mo+VAT ($21.77)
BT Openzone Global: €28/mo+VAT ($48.77)
BT Openzone per Minute: 15p/min+VAT (down from 20p) ($.26)

How prices work out per day including 17.5% UK VAT:

Fon: €2.34 ($3),
BT Original: €.23 ($.40),
Together: €.49 ($.86),
Global: €1.09 ($1.90),
Openzone per Minute: €216.00 ($376.23).
As I reported before, T-Mobile is €.67-€2.00 per day, depending on service plan.

While I can see why residents of England might pay Fon’s current price over the price of BT Openzone per Minute, I do not think they would consider Fon to be competitive against the other BT tiers – also available at BT Fon hotspots – even though Fon includes “worldwide roaming”.

The burning question on my mind is: who would prefer Fon over ANY wifi provider when Fon doubles their price in coming weeks? Will Fon continue to partner with BT when BT Openzone is allready undercutting Fon’s rates at their own hotspots? Will BT continue to partner with Fon after ending their relationship with The Cloud?

0 Responses to BT Halves Wifi Price, Fon Doubles Wifi Price.

  1. WiFi Romania says:

    yeah, really good point of view. I would like to see FON more community orientated rather than business orientated. but … they have their bills to pay, don’t they?

  2. austintx says:

    Indeed they do. And they’re not paying the Bills enough. 😀

  3. Roetzen says:

    Indeed, they don’t pay the Bills enough. But I don’t think raising the price for aliens is going to make any difference. I never was in it for the money anyway, I was in because the idea of sharing appealed to me. But I never found a usable hotspot when I needed one. Raising the price for Aliens will not improve that situation.

  4. austintx says:

    Raising the price of service sends a message to the Aliens that Fon is not about catering to them or competing for their loyalty.

    Devaluing the Linksys firmware and pushing proprietary routers sends a message to the Linuses that Fon is not about catering to them or fulfilling their promises.

    Sharing less than 33% of the revenue, and only under certain circumstances, sends a message to the Bills that Fon is not about catering to them or being considerate for all of the resources they give to the Fon Network.

    All along, Fon has been about Fon, and only Fon. Fon before all others. Fon the “biggest”, Fon the omniprescent. Fon the safe, friendly and open (and that you better agree if you know what’s good for you).

    This is not a rant; it seems that Fon has deliberately done everything they could to shake off the Foneros and Aliens. I bet even they are suprised to still be in business… like, they had other things they wanted to move on to. But as long as noone wants to buy their company, they’re stuck idling along on the shoulder of the road.

  5. PJMDS says:

    New price of €/$5 OMG they are crazy, only a very desperate person would pay such amount to get online

  6. Tobias Bluhme says:

    Here in Germany, hotels usually charge internet access (WiFi or cable) around 20-25 EUR per day. So 5 EUR per day (3 EUR per day when using packs of day passes) is quite cheap!