Dish eyes blockchain-based loyalty program for mobile, TV

Dish Network is considering using blockchain technology to develop a loyalty program that would stretch across its mobile and satellite TV businesses. And according to one company executive, the program could reward participants with cryptocurrency payments.

Blockchain could create a "standard infrastructure" for loyalty programs, according to Chris Ergen, head of the "Dish Wireless Office of Innovation." Ergen – the son of Dish Network founder Charlie Ergen – discussed the topic on the sidelines of the recent MWC trade show in Los Angeles.

Ergen pointed to Dish's recent agreement with Input Output Global (IOG) to "explore the use of distributed ledger technologies" using the Cardano blockchain.

"The Office of Innovation has a strong blockchain focus," Ergen explained.

Indeed, Ergen (the son) was the driving force behind Dish's recent agreement with Helium. Dish said it plans to use the 5G network that startup Helium is creating via blockchain-based cryptocurrency payments. However, Ergen explained that Dish doesn't expect to meet any of its government-mandated coverage goals through the Helium network. Instead, he said Dish will only use the Helium network when and where it makes sense.

"Let's see what happens," he said of the Helium network.

Ergen said Dish's plans for a blockchain-based loyalty program are in the early stages. He said the company could potentially design a system that would reward customers for early payments, for example, by potentially paying them in a Dish-backed cryptocurrency. Helium uses a similar mechanism to reward its customers for installing its network equipment: Helium users get paid in the network's HNT cryptocurrency based on the amount of traffic that travels over their transmission sites.

Ergen said such a loyalty program could be rolled out to Dish's roughly 9 million Boost Mobile customers. He said it could also potentially be expanded to other customers including those who subscribe to Dish's satellite and streaming TV services.

As the head of Dish's Office of Innovation, what else is Ergen looking at? He said he's interested in everything from social media to sports betting, but specifically mentioned drones as an area of focus. "There are a lot of opportunities in drones," he said, noting that such devices will need wireless connections.

Like, for example, drone taxis. "That's coming," he said.

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— Mike Dano, Editorial Director, 5G & Mobile Strategies, Light Reading | @mikeddano