O2 abandons unlimited mobile data pricing

Handy cap

A bone of contention for smartphone users has been the fact that data tariffs that offered apparently ‘unlimited' data have in fact been capped. With data usage steeply climbing, mobile operators are concluding limitless access is no longer tenable.

Vodafone was the first to make the move to an open, fixed cap, but it didn't handle the move very skilfully and faced a considerable backlash. Now O2, which had been the last UK operator to offer what appeared to be truly unlimited data, has followed suit.

From 24 June - the day the iPhone 4 becomes available - O2's tariffs will see the month data allowance capped at between 500 MB and 1GB depending on the tariff (see table). Extra data then comes at a cost of £5 per 500 MB. Existing O2 customers will continue to get their unlimited data until 1 October.

"We know that customers are looking for clarity in pricing as too many offers have clauses and catches which are not easy to understand," said CEO Ronan Dunne. "With the wide range of Internet based services now available on mobile devices we're providing customers with generous clear data bundles that give customers freedom.

"This enables us to provide a better overall experience for the vast majority of customers and to better manage demand. By doing this, we are laying the foundation for a sustainable data experience for all customers and the huge possibilities that technology will create over the coming years."

Here's the 24 month tariff table, with every operator now offering the iPhone 4, we figure it's just a matter of time before the rest of them follow suit.