If carriers keep selling wholesale to those that figure out how to put more than one voice call through either the data or voice channels with compression, we're going to keep seeing new companies emerge that have figure out how to make money selling for less.
Oliver Starr's post about NimBuzz tells me something but not enough to really know what Nimbuzz is doing other than making call set up and the connection easier, ala iotum's TalkNow, but adding in a component of cheaper long distance.
Something has to give.
With 3's no roaming charges announcement today, we're seeing those signs of the give starting. Granted this is only between 3 operating networks, but when Orange, Vodafone and the others mirror, then all collaborate, the game changes again.
My prediction. The carriers launch their own "cheap" calling plans and take back what they have been only starting to lose.
That means the VC's who invest in minute stealing better rethink the rest of the service offerings, because if the carriers go that route, it could be game over for many a company that only offers cheap calling, and nothing else.
Update: Paul adds his spin on this story.
This has already happened in Ireland Andy with the three cellular companies offering calls to China for under 5c and most of far Europe for under 10c from the customers mobile phones.
No wonder I have to look to the USA for new business :-)
Vodafone number one in Ireland
http://www.vodafone.ie/myhomecountry/index.jsp
call china for 5c from your mobile!!!!!!!!
O2 number two in Ireland have launched their own phone card using a prefix exclusive to them www.call15.com
Meteor number 3 in Ireland
http://www.meteor.ie/payg_plans_anytime_international.html
Posted by: Pat Phelan | January 16, 2007 at 01:24 PM
Not only will calls be free - you can easily make money "selling" free calls - due to the crazy tariff regime. Anyone can do it as I detailed at http://flatplanetphone.com/wordpress/?p=31
Posted by: Moshe Maeir | January 16, 2007 at 12:43 PM