Consumers to benefit as 2degrees goes live

Published: 8:52AM Wednesday August 05, 2009 Source: ONE News

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Cellphone users on all networks are likely to benefit from the launch of the country's newest mobile phone network.

2degrees officially launches its pre-pay service on Wednesday, promising cheaper text messages and phone calls than Telecom and Vodafone.

Local mobile to mobile calls are 44 cents per minute and local texts are nine cents each.

"Kiwis have paid far too much for far too long...we're going to cut those costs down in some cases even more than half," says 2degrees CEO Eric Hertz.

Some industry analysts believe the new competition will force the other networks to drop their prices.

"I'm sure you will see moves, maybe in different ways to nullify some of the difference of what 2degrees is offering and what they (competitors) are offering," says Forsyth Barr analyst Guy Hallwright.

To see Corin Dann's interview with Eric Hertz, click on the WATCH tab.

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