Telefonica will increase Movistar prices effective January 1

TELEFONICA will increase Movistar prices effective January 1 following an earlier announcement by Avatel and Vodafone.

There will be no change in the special offer rates that consumers may have been signed up for until the agreed period ends nor will there be an increase on O2 tariffs.

Basically, it is using the opportunity allowed to increase prices due to the cost-of-living crisis which has meant that overall operating costs have risen sharply, so its action are not in breach of any Spanish regulations.

Indeed, it argues that the average price increase of 6.8 per cent is less than the current inflation rate and despite the fact that clients will not be receiving any additional benefits on services to offset the cost, the company insists that it offers good value for money.

Each package will potentially see a different rise, with some as low as 5.6 per cent and some will be much higher than the average so the company has undertaken to contact each customer over the coming weeks to outline the new charges.

Many customers of the two largest internet and mobile telephony suppliers believe that a price rise would be much more acceptable if the companies involved offered a better service and as communications companies made it easier, especially for expats, to communicate.

As technology takes great leaps and bounds forwards, these giant organisations still seem unable to cut through their endemic bureaucracy.

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