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FIXED TO MOBILE SAVINGS FOR SMALL BUSINESS

2 August 1999


Cable & Wireless Optus today confirmed that following the ACA announcement it would now offer customers real competition in calls to mobile phones from their fixed line.

Until now, customers had no choice - their local telephone company billed them for calls to mobiles, even where they had chosen a competitive phone company for other calls. Effectively, "fixed to mobile calls" was a Telstra monopoly. Now, customers can choose who carries their mobile calls.

"The result is something we have been working on with the industry for some time. We are pleased with the outcome which is a real win for consumers," said Stephen Beynon Director Network Services, Cable & Wireless Optus.

"Since Optus introduced competition in long distance services, prices have come down by more than 40% and it is clear that competition brings real benefits to our all customers."

"In particular its a big win for small business owners who spend significant amounts of money on calls to mobile phones," he said.

"So far the cost based benefits of increased competition have centred on International and long distance rates - but for small business, international rates make up only some 4 percent of the average bill.

"We estimate that calls to mobile phones make up approximately 18 per cent of the average small business and home office phone bill and national long distance calls make up 20 percent.

"We predict that over the next two years the percentage of calls to mobile phones will be a larger part of the small business bill than both national and international long distance calls combined, so competitive pricing for calls to mobile phones is even more important for small business owners and operators," said Mr Beynon.

Optus provides choice for small business customers, depending on the time of day they are likely to call. This includes a flat rate of 33.3 cents per minute (15c connection fee applies per call) for all calls to mobile phones. Business customers can also choose a rate package of 36.5c during peak times (7am - 7pm Mon - Sat) and 18.9c per minute at all other times.

For more information:
Jodie Wrigley
Phone: 02 9342 7850

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