Vodafone Italia plans to introduce a low-cost MVNO service later in 2017 to compete with Telecom Italia’s Kena Mobile and also a new operator which will soon join the market when France’s Iliad sets up shop, Milano Finanza reported.

According to the article, Vodafone created a limited company called Vei in March and announced the business holds a general licence for MVNO activities.

A detailed strategy for the new company aims to provide number portability services as early as September 2017, although Vodafone sources still say no final decisions have been made and it is still mulling its options.

Telecom Italia launched Kena Mobile plans starting at €3.99 a month at the end of March, while Iliad will probably launch its services between November 2017 and January 2018 as it prepares to deploy the same aggressive pricing tactics and contract strategy which saw its Free brand shake up the French market.

Iliad’s billionaire owner Xavier Niel recently said the new company will not be able to use the Free Mobile brand as it is already registered in Italy, although he did not disclose what the name would be.