OVO Mobile offers massive 100GB data allowance

IF YOU’RE stuck waiting for fast internet or dealing with frustrating drop outs, this could be the unlikely solution you desperately want.

NINE months ago, Danny Moore paid about half a million dollars for a house in a new estate at Sandy Beach, outside of Coffs Harbour.

In part he bought because he believed it would have fast internet as it was connected to the NBN, enabling him to work from home as a web developer.

But sadly it didn’t quite work out that way, and five weeks ago he took to the NBN’s Facebook page to express his frustration in a rant that quickly went viral.

“Hey NBN, I need to apologise. It’s been about a month since my post on here got the attention of a couple of people about my completely reasonable 0.4mbps speeds on my new NBN service.

“Since then you have been tirelessly working with Telstra to find the problem but as it turns out there is none! Completely my fault it appears. My expectations were too high,” he wrote.

“As the NBN subcontractor explained so perfectly, this is due to a thing called ‘congestion’. Which basically means the internet only works when no one is using it.

“Kind of like having an invisibility cloak but you can only use it when no one is watching,” he joked.

There’s been no shortage of Aussie consumers frustrated with the performance of their home internet, particularly those suffering through the teething process of the NBN rollout.

It’s people like Danny that OVO Mobile is hoping to lure to a mobile plan in order to fulfil their home internet needs.

Last week the virtual mobile provider, which operates on the Optus network, launched the largest prepaid mobile data allowance in the country, offering customers a whopping 100GB a month for $100.

The plan is the result of a steady climb in data allowances from the company this year as it tries to encourage people “to replace their fixed line broadband with a mobile device,” OVO chief executive Matt Jones told news.com.au.

Danny was less than impressed with his NBN connection.

In March, the company rolled out 50GB prepaid plans, followed by 70GB data allowances in July.

“The feedback we got is that the average family uses a little bit more than that but not much more than the 100GB,” Mr Jones said.

The company sells a Wi-Fi modem for $59 so the plan can be used on multiple devices in the home.

It isn’t exactly cheap but in terms of mobile data it’s an unprecedentedly generous offer. OVO’s plan operates on a prepaid basis so the $100 you hand over for 30 days is the maximum you’ll pay over that period unless you opt for additional data. And because it’s prepaid, you won’t be locked into any contracts.

Comparatively, Optus offers home broadband packages with voice call and unlimited data for $85 a month while Telstra offers 1000GB per month for $90, of course both on 24 month contracts.

While 100GB might not be enough for Danny and his web developer business, it could be attractive for other consumers who are frustrated with their home broadband connection.

Mr Jones said OVO has had strong interest from people “stuck in NBN limbo” in cases where they have had their previous connection cut off but haven’t been able to be connected to the NBN, as well as customers who are facing long waits for the rollout to come to their area or have experienced slow speeds and dropouts after connecting.

“You see all the horror stories of six to eight weeks (waiting for the NBN) and then it takes another six months or longer,” Mr Jones said.

Other retailers have also tried to capitalise on these consumers, such as Vodafone which last month announced an NBN modem which has a back-up mobile broadband connection for when the fixed line connection drops out.

OVO Mobile CEO Matt Jones is making a big bet on mobile data.

THE BENEFITS OF MOBILE BROADBAND

There are other benefits of mobile broadband that Mr Jones hopes will attract customers to the offering such as the lack of installation and the portability of mobile broadband, particularly in Australia’s growing rental economy meaning young Australians are more transient than ever.

“The barrier to mobile broadband being a viable alternative is cost and allowance, and what we’re doing here in getting to the magic 100 GB for $100 ... we’ve addressed something that which I think will turn out to be a long term alternative to fixed broadband for people who aren’t necessarily planning on being in one place for years,” Mr Jones said.

The performance of mobile broadband could also entice customers who are struggling with sluggish download speeds on their fixed line connection and still won’t have the NBN for years.

Australia’s fixed internet network ranked 50th in the world for speed while our mobile network ranked seventh for mobile data speed, according to Akamai’s 2017 State of the Internet report.

The data outlined in the latest quarterly report showed mobile broadband in Australia is 41 per cent faster on average compared with fixed broadband, and is improving almost twice as fast.

As Telstra, Optus and Vodafone continue to invest heavily in their mobile infrastructure and with 5G on the horizon, Mr Jones thinks mobile broadband could play an increasingly important role for Australian consumers.

“Into the future as they invest into the network, it’s only going to become faster and more efficient on mobile in parallel to the role of the NBN and fixed internet,” he said. “Fast forward and 5G will be here ... and now you’re talking about a service that can run pretty much any type of content whether it’s VR or future 4K movies, that’s all on the horizon.”

At that point 100GB will scarcely be enough data, but for now it’s a potentially very useful alternative.