The deal will see those who're 24 and under recieve extra calls, texts and mobile data on top of their current price plan at no extra cost - specifically, users will get 1GB of free internet, while calls and texts to other Orange and T-Mobile numbers will be free of charge.
The offer is suported by an app - Android, iOS and BlackBerry - that helps users to identify which of their family or friends are on T-Mobile or Orange contracts, so they know who they can call and text for free.
U24 is available to new and exisiting Orange pay monthly and pay as you go customers. However, there is a slight catch for those on PAYG: they must top up at least £15 each month.
Simeon Bird, Director of Propositions, Orange UK, said: “We’re pleased to be able to reward our younger customers with such a great offer.
“Whether they’re going away to university, or starting out in a new career, with U24 we’re hoping to make life a little easier, providing them with an extra mobile data allowance and the potential to call and text over 27 million people as often as they like - all for no extra charge”.
Ernest Doku, telecoms expert at uSwitch.com, believes other network providers will offer similar deals in response: "Expect other providers to quickly follow suit and offer similar packages aimed at a younger audience," he said.
Doku believes the offer is attractive but not good enough to keep customers for the long term.
He said: "Unlike the banks, who can often secure a customer for life by offering incentives such as free overdraft facilities, mobile customers are more familiar with switching every couple of years to get a new handset or better deal.
"It may take a lot more than Orange is offering to keep them beyond the contract period."