March 29, 2017 / 7:48 PM / 2 years ago

Telecom Italia prepares for Iliad fight with no-frills mobile website

MILAN, March 29 (Reuters) - Telecom Italia went live with a website for its new Kena Mobile brand on Wednesday, testing demand for a no-frills alternative to French carrier Iliad, which is set to launch its Free brand in Italy by early next year.

Iliad’s impending introduction has raised concerns over the impact its offers could have on an already competitive market and on the margins of operators such as Telecom Italia, which is Italy’s biggest phone group.

Telecom Italia, whose top shareholder is French group Vivendi, said earlier this year it would launch a second carrier to protect the premium positioning of its main TIM brand and exploit opportunities in the low-end segment.

Named after a warrior armed only with a spear, Kena Mobile aims to make transparent offers to clients who pay “only for what they need”, Noverca, which manages the brand and is fully-owned by Telecom Italia, said on the new Kena website.

Kena Mobile will seek to attract customers with different price plans, starting as low as 3.99 euros every 30 days for 1,000 minutes of national calls and no activation fee. (Reporting by Agnieszka Flak; editing by Alexander Smith)

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