Mobile carrier Golan Telecom Ltd. has halved the price of its unlimited mobile plan from NIS 99 per month to NIS 49. The discount applies to the carrier's plan for unlimited calls and SMS, free international calls to 53 countries, and up to 3 gigabytes of Internet access. The discount targets new subscribers who switch from other carriers.
The new low-cost plan comes after the previous sales campaign, which offered four months free service for a subscribers who orders up to five lines for family members.
An industry source said that Golan Telecom's new plan was "a death rattle aimed at recruiting as many subscribers as possible before selling the business at as high a price as possible, because at these prices Golan Telecom loses money." He added, "It is doubtful whether Golan Telecom made a profit at NIS 99 per month, let alone at NIS 49 per month."
The source added that Golan Telecom was cannibalizing its subscribers, because a subscriber who, until two days ago, paid NIS 99 per month, would now probably abandon the carrier and then return to it at the lower price. "This is a risky move that indicates that it has lost its senses, and completely contradicts its promises to its customers," he said.
Published by Globes [online], Israel business news - www.globes-online.com - on November 25, 2012
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