giffgaff, the virtual mobile network created by O2 in the UK, has admitted that its unlimited mobile data service is unsustainable in some instances.

The MVNO notes that less than 1% of users account for over a third of its total mobile internet data use; a figure that has parallels with recent research by Arieso.

O2 has introduced what it claims is the first smartphone leasing service in the UK.

It’s called O2 Lease and will enable new or existing customers to lease a new smartphone for one year.

Christmas is approaching but that’s not stopped the mobile phone industry from delivering a week of diverse headlines.

We start today’s podcast by talking about the much-reported complaints involving Orange UK’s tariffs and Carrier IQ’s monitoring before moving on to cheerier topics, including a new MVNO, another free WiFi service and two new mobile payment deals.

Iain, James and Mark discuss the week's news - including recent criticism of Orange UK and Carrier IQ, an MVNO that prints customised phones, disappointing BlackBerry PlayBook sales, a couple of mobile payment deals and an interesting mobile app from Yahoo.

Mark Bridge writes:

Season of goodwill?  Not in the mobile phone industry.

Orange UK is putting its prices up next month. It says the 4.34% rise is less than inflation, so you might think customers would be pleased. You’d be wrong. Also unhappy are many people who’ve discovered Carrier IQ software embedded on their phones. Fortunately for the UK mobile industry, most of those people seem to be in the United States. And there was unhappiness in Egypt as Twitter’s acquisition of privacy and security company Whisper Systems saw Whisper’s mobile encryption applications taken (temporarily) offline.