BONN (Reuters) – Deutsche Telekom launched its first all-you-can-eat mobile tariff in its home market Germany on Tuesday, as it seeks to raise revenues per user that are around half the level of its successful U.S. unit T-Mobile.
The new MagentaMobil XL package, priced at 79.95 euros a month, includes unlimited high-speed data for surfing and streaming within Germany, and 23 gigabytes of data for roaming across the European Union.
“We are growing in mobile and we are building our market leadership by sales volume,” Telekom’s new Germany head Dirk Woessner told reporters.
Deutsche Telekom has around 7 million customers for its MagentaMobil product range, which will have five price points including a new low-end deal at 19.95 euros ($24.60) a month.
Telekom’s average monthly revenues per user (ARPU) for contract customers in Germany were 20 euros last year, down 4.8 percent. That compares with postpaid ARPU of 39 euros on branded products sold by T-Mobile US, according to company results.
The company has no plans to change a separate mobile video streaming product, called StreamOn, despite an order by the German federal network regulator that it be offered on the same terms throughout the EU.
“We see StreamOn as an offering that is very popular – and that is clean and fair into the bargain. Nothing has changed there,” said Woessner.
(Reporting by Matthias Inverardi; Writing by Douglas Busvine)