June 27th, 2008
Virgin Mobile USA and Helio have merged to provide you with a better cellphone service. Virgin Mobile USA is paying $39 Million in Equity for Helio and the deal should close in the thrid quarter of 2008 (subject to regulatory approvals). Virgin and Helio are both MVNOs and will continue to lease network capacities from CDMA carrier Sprint after the merger. Virgin Mobile USA will sell Helio’s premium service and exclusive devices while providing customer service for 70 000 existing Helio customer (as of December 2007) and 4.6 Million Virgin USA clients (as of January 2008).
Q: What does this mean for current HELIO members? Can I still use my HELIO device, while keeping my HELIO service plan and number?
A: Current service plans will continue without interruption – it will be business as usual. HELIO members are at the center of this transaction and we’ll continue to bring them the innovative mobile services they’ve come to expect.
Q: Can new members still sign up for HELIO service?
A: Absolutely. HELIO will continue to offer exclusive, high-end devices and our innovative All-In plans.
Q: Will the HELIO brand be retained, or will everything migrate to Virgin Mobile USA?
A: Over time, we expect that all aspects of the customer experience will be integrated under the Virgin Mobile USA brand. Integration of the direct sales channel will begin immediately, and we expect that existing HELIO products and services will soon be offered through the Virgin Mobile USA website at www.virginmobileusa.com.
Q: So what’s next?
A: We’re excited by the possibilities our new, combined team offers. We have some big ideas, but as you can imagine, a little bit of housekeeping is in order before we share them. Stay tuned!
Q: Does this affect my current contract with HELIO in any way? When Virgin Mobile USA does acquire HELIO, can I end my current contract without paying an early termination fee (ETF)?
A: HELIO contracts remain in effect and unchanged by this transaction. HELIO members who wish to end their contract early will still be subject to an early termination fee (ETF).
Q&A’s from Helio.com