Virgin Mobile has been launched in the US. Its approach, based on pricing simplicity, could change the shape of the US market. Virgin is investing $320 million in its US venture, making it the biggest investment Richard Branson’s empire has ever made.
The company is a 50/50 joint venture with US mobile operator Sprint. It is aiming its simple prepay service at 15-30 year olds, which it believes are underserved by the established operators.
Virgin Mobile USA claims that there will be around 25-35 million new cellular buyers in this age range within the next 10 years. It expects to have the first Virgin handsets available by August.