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The company is offering a £29.99 USB dongle capable of speeds up to 3.6Mb/sec. Although this is some way short of Vodafone and Orange's 7.2Mb/sec dongles, it does have the benefit of being available contract free.

Alongside the dongle, customers will also be able to choose from a range of prepay packages, starting at £2 for a day's use, with a data allowance of 500MB. Weekly rates are available for £7.50

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with a 1GB data cap, and those willing to cash in for the whole month can expect to pay £15 for 3GB.

The mobile broadband market has hot up in recent months, with Orange bundling a home and mobile broadband service for £20 per month, and Virgin Media offering its cable customers mobile broadband for an extra £5.

O2 is also promising that customers will be offered the chance to return the dongle within 50 days for a full refund if they're not happy.

Read our comparison of the UK's mobile broadband services here.