New telecommunications player, amaysim, has launched in Australia.
The telco uses the Optus 3G network and is a sim card only provider.
The draw card of amaysim’s services is it does not charge flag fall, a connection charge that is a common fixture in the telco space. Founders of the company hold shares to amaysim through a Germany-based investment company.
Other shareholders are Australian and European-based equity funds and technology investors with experience in launching low cost telcos. Rolf Hansen is the CEO of amaysim.
The company will rely on an extensive network of mobile phone outlets and retailers to sell its sim cards including Woolworths Petrol, Harvey Norman and 7-Eleven.
While it does dabble in mobile data, amaysim has no plans to branch out to offering broadband services.
"Right now we are focused on the mobile data usage rather than mobile broadband usage," Hansen said. "Because that is a different business altogether, with dongles and setting up computers; it adds complexity where we're focusing on simplicity."
amaysim’s call cost sit at 15c per minute for standard calls to any network and SMS is charged at 12c per message. Data cost is 5c per MB.
Hansen did not want to comment on how much marketshare amaysim was looking to secure but said he was optimistic of the company's performance.