dwlt.thinksOutLoud

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Carriers Clinging To Outdated Business Model Ideas

Tue 23 Mar 02004 08:38 AM
Mobile
2 comments

Techdirt has a good piece on why mobile network operators should just focus on being what they are: network operators.

Bringing the content and channel into one organisation will not create greater value, and just because your network is wireless rather than a fixed line will not make a blind bit of difference to that fact.

As a carrier, all you should care about is utilising all the capacity and infrastructure you’ve invested in, and if you look at the investment required for rolling out a nationwide 3G service, there is no way on earth that one company (even if they are Vodafone) can invent and maintain all the services which will make full use of all that capacity.

dwlt wrote at 05:57 AM on 29 Mar 2004

So why are they called Vodafone, rather than just Vofone then? Data services were part of the thinking from day one.

It’s the only way operators can drive serious revenue growth, they just haven’t figured out they are not the best people to manage the whole aspect.

dwlt wrote at 05:34 PM on 29 Mar 2004

That’s exactly my point: they can keep on selling voice and text messages, they kind of understand how to sell those (albeit by accident) but if they want to grow their data revenues to meaningful levels, they will have to open up a lot more to the ISP/cable model.

BTW, I’d appreciate it if you at least left a name or URL when you comment. Thanks.

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