New MVNO Circles.Life has announced its pricing plan for its post-paid mobile services; basic plan starts from S$28 for 3GB of data, 100 minutes of talk time and no contract. Usage of OTT services like Whatsapp (for voice and messaging) also does not consume data.

Although the plan does not come with any free SMS, users can pay an extra S$4/month for 100 SMS. But as the plans do not offer any phone subsidies, consumers can buy phones on interest-free installments.

Still, compared to current plans from the incumbent telcos, Circles.Life plans are not very much cheaper; nor do they offer “unlimited” data as what MyRepublic intends to offer if it wins the 4th telco license. As such, we do not expect to see the incumbents making any drastic changes to their price plans at this juncture. Maintain OVERWEIGHT on the sector.

Source: OCBC Research - 6 May 2016