A couple of weeks ago ISPreview reported on how mobile operator O2 (Virgin Media) had withdrawn their Pay As You Go (PAYG) Data and iPad SIMs (mobile broadband) from sale to new customers (here). But the big change this week is that they’ve now informing existing customers of their plan to close the service by 31st January 2025.
The Data SIMs allowed customers to choose from a selection of plans, each with a different allowance and expiry period. For example, you could pay £3 for 1GB (GigaByte) but that had to be used within a 24-hour period, or alternatively you’d pay £10 for 2GB lasting 90 days, then £20 for 8GB lasting 90 days or £30 for 12GB that lasted for 12-months.
The plans had some advantages for those who only needed infrequent access to data, and you can still buy preloaded O2 data SIMs via Amazon. But by modern standards they perhaps weren’t particularly good value for money, and these days data-only SIMs can also feel a bit redundant (i.e. it’s often cheaper to simply buy a regular mobile SIM and just not use the calls/texts side).
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However, one of our readers, Julian, has now informed us that O2 have just sent the following message to existing users of these plans, which sets a clear end date for the service itself and only a few short months after they withdrew the SIMs from sale to new customers.
Copy of O2’s Customer Email
Closing down our Pay As You Go Mobile Broadband & iPad product
We’re sorry to let you know that we’re removing our Pay As You Go Mobile Broadband & iPad services from our portfolio on 31 January 2025.
Our customer account management portal will be closing on 17 December 2024 so if you want to check your remaining allowances, please do this before 17 December 2024.
You can continue to use your service until 31 January 2025, after which time your service shall cease. As you are a Pay As You Go customer, you’re able to leave your service at any time with no Early Termination Charges. In order to obtain a refund for any data not used on your account, you’ll need to call O2 customer services on 0344 8090222 to provide your contact details so we can process your refund request.
If you’re interested in alternative plans for iPad, tablets and mobile broadband, please click here to discover our great value Pay Monthly SIMs instead.
Thanks,
O2
The move will naturally have the biggest impact upon those who spent more to adopt one of their longest plans, such as the £30 for 12GB plan that lasts for 12-months. But instead of simply allowing existing customers to use up their data by the original expiry date, O2 has decided on a hard deadline and forced those users to phone them in order to get a refund. Not exactly the best approach to customer service, and O2 still hasn’t explained why they’re doing this.
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At a guess, perhaps O2 are doing this because they’re updating (one of) their back end systems. It does seem like a good way to annoy and drive away customers, but maybe O2 aren’t bothered because there aren’t many of them (i.e. customers with a prepaid 12 month plan).
PAYG is going to be a thing of the past soon. Is it a good thing??? I don’t know.
Can I add another guess as to why O2 are doing this …
1) These PAYG SIMs generate very little revenue/profit
2) The cost of SIM cards to O2 is another consideration.
3) Many carriers now pay license fees to the likes of Ericsson/Nokia based on the maximum number of simultaneous users/devices utilising network nodes – traffic based pricing. So if you want to support 20 million devices on your network, you pay an annual HLR (and other nodes) licence fee to the equipment suppliers.
It’s another push to get people onto pay monthly.
Maybe these products will return in ESIM form?
This is another case for net neutrality and why I’ve raised a complaint with Ofcom and the ASA about O2 (see both posts at Post in thread ‘Using O2 for mobile broadband’ https://www.ispreview.co.uk/talk/threads/using-o2-for-mobile-broadband.42538/post-394215).
O2 state:
https://www.o2.co.uk/termsandconditions/mobile/unlimited-tariff-terms
“2.2. Except where you are purchasing Equipment through one of our third party distributors, the tariffs and handsets that Unlimited Data is available on shall be determined by O2 and availability is subject to change without notice.”
“3.3 Unlimited UK Data sold on handset or SIMO contracts must only be used in mobile devices that do not require to be plugged in order to work. Any O2 mobile broadband Unlimited UK Data tariffs must only be used with the devices that they are sold with. Where other devices are used that do not comply with these terms, we reserve the right to transfer you to a more suitable plan.”
When Ofcom investigated Three for similar reasons, Three removed all data caps, device restrictions, and tethering limits (https://www.ofcom.org.uk/internet-based-services/network-neutrality/cw_01218/)
I hope highlighting these concerns and getting publicity will encourage O2 to comply with net neutrality or for Ofcom to force their hand if O2 won’t comply.
It’s definitely migration related. Any PAYG closures with O2 at this time (until Q4 2025) should be highly suspected of being migration related, whether that’s with O2 direct or with their MVNOs.
Basically, they want to shut off their legacy PAYG system and move everyone onto the newer O2 PAYM backend.
@Mark there is no reason for companies to establish themselves on the X clone websites, not only for the almost non existent user base but also because they are echo chambers. Bsk especially has the worst garbage from X and is already having issues with underage p*** that those individuals bring
If you want more reach then YouTube and tiktok are the ones you are missing
The rentier income brigade strike again.
“You purchaser plebes on PAYG may experience slave wages, inconstancy and variability of income, but our middle-class shareholders and board members demand constant and certain income streams to maintain their quality life-styles (And permed hair) and that’s going to cost the rest of you peasants a lot more” . . fictional PR statement from caring, sharing 02 . . . when denying the life preserving oxygen of communication life to other people.