O2’s been criticised for treating iPhone users with contracts like everyone else and forcing them to honour said contracts or buy them out. With O2 having set a precedent on the move from the original iPhone to 3G, I have some sympathy with user expectations not being met, but understand O2’s reasoning. However, my experience over the last week in the Pay & Go space (and, frankly, O2’s now very regular network outages) has removed any lingering doubt that the company needs a slap.

My story begins last year, and ends with some ‘O2 stupid’. Last year, I bought a 3G iPhone on Pay & Go, because I make few calls via mobile and figured it’d be cheaper in the long run. Prior to the Pay & Go pricing becoming official, I noted how it went up by £60, but O2 added an extra six months of internet bolt-on. Essentially, O2 got more money up front and presumably hoped you’d not use the bolt-on that much, thereby generating more profits per Pay & Go device. As a consumer, this made no odds to me, since I’d be buying the bolt-on anyway. However, I had, as far as I was concerned, paid up front for 12 months of usage.

Clearly, though, I’m a total idiot. I assumed I’d be able to retain remaining bolt-on time in some manner when transferring the phone. I’m in the market for a Pay & Go 3GS and plan to give the 3G to my wife. Surely, I thought, I’d get to keep my remaining time or transfer it?

My first email to O2 revealed that bolt-ons are tied directly to SIM cards. I was told that I could buy a 3GS and my wife would have my remaining internet time on the 3G. Something in the curt nature of the email started alarm bells ringing, and so I asked for further clarification regarding transferring numbers, and a rather large snag became apparent:

“If you buy a new iPhone and transfer your existing number on the new SIM card your current SIM card will be permanently disconnected,” said O2. “If this happens we won’t be able to transfer the free Bolt On to your new SIM card. Also you wife won’t be able to transfer her number to this SIM card.”

O2’s wonderful suggestion to me is this:

“I would suggest that you wait until the free Bolt On gets ended and then buy the new iPhone.”

It seems O2 is treating the bolt-on as a freebie that the company gives you when you buy an iPhone because O2 is made of fluffy bunnies, and not because it’s bundled into the device’s price, and not because you’ve actually paid real cash money for it. My assumption is also that I’ll have to—for no good reason—buy a new SIM for the 3G so that my wife can use it, or just jailbreak the phone (which I don’t want to do).

I’ve got three months left on my bolt-on. I’m now hoping the rumours are true and the announcement of the end of O2’s iPhone monopoly comes around that point, because its Pay & Go attitude strikes me as unbelievably dumb and has really rubbed me up the wrong way.