Saturday, July 11, 2009

MetroPCS Adds Unlimited International Calling for $5 a Month

Well the phone card business just had yet another big shot across the bow! MetroPCS is now offering unlimited international calling to over 1,000 destinations worldwide for just an additional $5 a month (you must be using either their $40, $45 or $50 plan to qualify). The destinations are mostly those in the 1 cent per minute category like most European land lines, Argentina, Hong Kong and many others. They have been very careful not to advertise the locations and do not post them on their web site. In order to see if the destination you need is included, you must enter in the complete telephone number you want to call in a look up tool they provide.

Prepaid Mobile has probably been the biggest contributor to the decline in the phone card market, with seemingly better attention paid to the international caller, a market for which the post paid companies still refuse to address. Not only has prepaid cellular helped to get recent credit challenged immigrants cell phones, it is now becoming one of the preferred methods to make international calls. I can't say I blame somebody either, straight dialing is much easier than having to worry about buying a phone card and then entering in all of those pin numbers before every call.

I wonder if Boost Mobile, who has seen great success with their $50 a month unlimited package (700,000 new subs in one quarter since announcing the plan), will counter this MetroPCS with a similar international calling add on package? If they do, they can easily negate any market advantage gained by MetroPCS's international plan.

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