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BT admits 5G premium may not be sustainable

Jasper Hart
August 2, 2019

EE surprised by rivals’ approach to 5G services

BT has said that it may not be able to continue charging a premium for its 5G tariffs after the launches of its rivals’ 5G services.

Speaking during a fiscal earnings call, BT group CEO Philip Jansen and EE CEO Marc Allera spoke about the changes in the market which might lead them to rethink their 5G pricing.

“We launched with a premium price for 5G and it looks like the market may not be able to sustain that premium because it looks like people aren’t in the same position we are,” Jansen said.

Allera added: “With all the investment in 5G and the fact it’s a faster, better network, we thought it would be logical to have a small premium for 5G. Others have not seen that logic.”

Three has announced it will not charge customers extra for 5G, while Vodafone has launched unlimited 5G tariffs, with O2 and Sky launching their 5G services in October and November respectively.

Allera also noted that the telecoms market has become more competitive and aggressive than it was last year and highlighted the significance of recruiting customers to BT Plus, the company’s converged fixed and mobile service.

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