KDDI: Cheaper services but expensive mobile phones

KDDI: Cheaper services but expensive mobile phones

KDDI has announced that they are now going to follow a new strategy which would enable them to provide cheaper mobile services.

The company has said that they would now be providing less subsidies on mobile phones as they aim to reduce the charges for providing mobile services.

The mobile service operators in the Japanese market have traditionally provided phones at a low price as they later recover the money through high service charges.

This helps the user as they can move on to newer technology phones faster. But this also means that they end up paying a lot of money for using the devices.

Customers would however have the option from both the offers. If they want mobile phone for cheap they can continue to pay higher mobile charges.

Makoto Takahashi, associate senior vice president at KDDI said in a statement: “We want to lower subsidies to vendors over the long term and encourage development of more low-priced handsets.”