Orange Modifies Its Payment, Excluding VAT of Quotas But Lowering Prices

Spain mobile telephony market today yet we have an operator with its own network, Orange, where rates are mixed with direct subsidy of terminals and more advantageous than the previous rates, but that it is necessary to pay the terminal time of loving him.

But within the own operator every time rates without subsidization are gaining more space, as we have seen with the improvement of the Dolphin 12 or the recent launch of the 4 squirrel and squirrel 7, and now Orange rates How to communicate price changes, excluding VAT of them.

The first change that can be seen looking at prices for the month of June of the catalogue of the French company terminals is now prices are shown without VAT When previously were with him included, in a move that probably look to appear more economical to rival the competition.

But despite separate the publicized price VAT, something that makes the outset Vodafone, Orange terminals have suffered mostly substantial price rebates, with the extra VAT not included.

Thus in its launch Orange offered the Samsung Galaxy S4 for 25 euros per month VAT included plus 59 euros of initial payment, a total of 659 euros, now plus VAT in addition to an initial payment of 69 euros, offers it for 17 euros a month applying VAT 21% giving a total of 562.28 euros, almost 100 euros of savings with respect to when announced the price of the payment with VAT included.

Possible end of subsidies

And as we have already said the advance of the rates without grant in Orange seems to lead to the operator directly to remove the fees that if subsidize terminals, that at this point you have much lowered its share within the procurement of rates within the company.

The fact of being the only operator that maintains a series of rates with direct subsidy has caused that many users are aware that it is better to have more competitive rates combining them or not with a smartphone to deadlines, with the greatest freedom of choice which gives this to the user.

And in this sense referred at a Conference in Paris consulting firm Morgan Stanley, which said that Orange is preparing the change of its philosophy in Spain for this summer, abandoning subsidies and focusing on the rates and services.

The truth is that the French brand have it easy to carry out these plans, since it is enough to remove the current dolphins and whales with grants that are in its offer to give prominence to the new Kangaroo, Dolphin 12 and 35, or squirrel 4 and 7 or even a new rates.