Historic mobile plan: the lasting impact of SFR’s Millennium

Historic mobile plan: the lasting impact of SFR’s Millennium

Before Free disrupted the market in 2012, SFR had already shaken up the telecommunications industry with its “Unlimited Evening and Weekend” plan. This plan, which made history, left a lasting mark on the sector. Discover how this subscription, which promised unlimited calls, transformed operators’ practices and consumer expectations.

Summary in 3 points

  • SFR’s “Unlimited Evening and Weekend” plan introduced the concept of unlimited in December 1999.
  • Initially popular, the plan became a financial drain for SFR due to excessive use by customers.
  • Despite its withdrawal in January 2000, the Millenium plan remained a myth, with loyal users until 2008.

Origin of the Millenium plan

On December 1, 1999, SFR launched its “Unlimited Evening and Weekend” plan. This plan, introduced in response to Bouygues Telecom’s unlimited plan, allowed users to enjoy unlimited calls during evenings and weekends. At the time, the cost of 240 francs per month seemed high, but the advantage of calling without limits was appealing.

This plan arrived at the same time as the launch of the Nokia 3310 phone, which contributed to its success. SFR had anticipated a significant impact on the market, and the results were immediate, with 400,000 subscriptions at launch.

Financial and technical challenges

The initial success of the plan did not last without hurdles. Quickly, the load on SFR’s network became problematic, with saturation due to the massive influx of new customers. The intensive use of the plan by subscribers, who spent many hours on the phone during free periods, heavily weighed on the operator’s finances.

SFR’s general manager, Pierre Bardon, stated that the cost of the plan could have been increased to 350 francs to offset losses, but this was not done. In September 2000, SFR began encouraging customers to change plans, marking the beginning of plan buybacks, a method to reduce losses.

The myth of the Millenium

Despite its early withdrawal, the Millenium plan continued to captivate the public’s imagination. On the secondary market, it was sold at exorbitant prices, some reaching up to 10,000 euros. The “lifetime” offer initially mentioned by SFR became a subject of controversy, as the operator sought to end the offer without offending its customers.

In January 2001, SFR no longer communicated about the Millenium, and users were excluded from new promotional offers. SFR’s legal strategy relied on the fact that French law does not recognize “lifetime” contracts, allowing the company to free itself from its initial obligations.

Legacy and market impact

Although the Millenium plan was withdrawn from the market, its influence persisted in the telecommunications sector. It paved the way for more flexible and affordable offers, increasing consumer expectations for unlimited communication. It was only much later, with the arrival of Free in 2012, that the market was again shaken by sustainable unlimited offers for operators.

The average cost of plans before the arrival of Millenium was 26.2 euros, with Itinéris’ “Ola” plan at 165 francs. The introduction of the Millenium was a significant step in the transition to more competitive mobile phone services.

Historical context of SFR

Founded in 1987, SFR is one of the main telecommunications operators in France. Initially created as a subsidiary of Compagnie Générale des Eaux, SFR experienced rapid growth, becoming a major player in the French market. The company distinguished itself through its innovations, notably with the launch of the Millenium plan, which marked a turning point in the mobile industry. Over the years, SFR diversified its services and was acquired by Altice Group in 2014, continuing its transformation under the SFR brand.