KDDI to offer free call service for fixed, cell phones

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KDDI Corp said Wednesday it will make domestic phone calls between subscribers to its mobile phone and fixed-line service users free of charge on Aug 1. Phone calls between subscribers to some of its fixed-line services including Internet Protocol phone services will also be free, the company said.

The new pricing system will be in effect 24 hours a day, said the provider of au brand mobile phone services. KDDI hopes the comprehensive discount plan will encourage its mobile phone users to subscribe to its fixed-line services.

Due to the introduction of the new pricing system, KDDI’s revenue is expected to fall by 2 billion yen in the current business year to March 2009. The company said it has already factored in the revenue drop in its earnings estimate.