Light Reading
MVNO targets AT&T and Verizon with a 'freemium' mobile broadband service that runs on Clearwire's WiMax network, with Sprint LTE on deck

FreedomPop Sparks Mobile Internet Free-for-All

Sarah Reedy
LR Mobile News Analysis
Sarah Reedy, Senior Editor
10/1/2012
50%
50%

Clearwire LLC (Nasdaq: CLWR) wholesale partner FreedomPop opened the doors to its public beta Monday morning, hoping to steal away "tens of thousands of customers" from incumbent U.S. carriers AT&T Inc. (NYSE: T) and Verizon Wireless .

The mobile virtual network operator (MVNO) plans to achieve its lofty goal by making mobile data a commodity, according to COO Steven Sesar. FreedomPop offers consumers a guaranteed minimum of 500 megabytes of free data per month on Clearwire's WiMax network, with the opportunity to earn more through promotions and by recruiting friends to the service.

FreedomPop will cap the number of beta participants, but Sesar tells Light Reading Mobile that he expects more than 100,000 to sign up. The service is initially available on two re-branded Clearwire devices -- a hot spot and data dongle -- that are free with a refundable deposit. The FreedomPop device that's gotten the most attention, a sleeve that turns an iPhone or iPod Touch into a data device, will launch in four to six weeks.

Why this matters
FreedomPop's value proposition is an attractive one, and it comes at a time when mobile service plans have never been more expensive. But, the service isn't without its limitations. With data-only service, consumers will have to rely on voice-over IP and over-the-top apps for voice and messaging. For FreedomPop, making money on the service will be a challenge if it's to rely on a business model that offers free data for everyone.

Right now, its biggest limitation is its network provider, Clearwire. The wholesaler's WiMax network covers only 130 million Americans out of the gate. FreedomPop does, however, have a deal in place with Sprint Corp. (NYSE: S) to use its Long Term Evolution (LTE) network next year, at which time it will reach more than 100 million more Americans.

The MVNO is one of several that Sprint is bringing online as it gets its own service up and running on LTE. Sesar says that the carrier was nimble and accommodating in the launch process, as both companies share a common goal of luring customers away from the big two.

"There's a mutual understanding that we can take market share away from the big incumbent two," Sesar says, adding that Sprint's not worried that FreedomPop's service could cannibalize its own, given its small market share relative to AT&T and Verizon.

For more




— Sarah Reedy, Senior Reporter, Light Reading Mobile

(2)  | 
Comment  | 
Print  | 
Newest First  |  Oldest First  |  Threaded View
joset01
50%
50%
joset01,
User Rank: Light Beer
12/5/2012 | 5:20:08 PM
re: FreedomPop Sparks Mobile Internet Free-for-All


I'm vaguely fascinated by the audience for the service and if in fact they do have a potential customer base or not?

SReedy
50%
50%
SReedy,
User Rank: Blogger
12/5/2012 | 5:20:04 PM
re: FreedomPop Sparks Mobile Internet Free-for-All


They're angling it to be a mass-market service. I do think it'll appeal to people who are looking for low cost, but I could also seeing it just being an additional data-only service for some. Of course, you could probably put deposits on a bunch of devices, get them free, then use all the data you want, never going over...I bet they'll be on the lookout for that.

Educational Resources
sponsor supplied content
Educational Resources Archive
Flash Poll
LRTV Custom TV
Why SPs Should Consider Cisco's EPN

8|27|14   |   5:40   |   (0) comments


Sultan Dawood from Cisco discusses Cisco's EPN, which enables SPs to build agile and programmable networks delivering new network virtualized services using Cisco's Evolved Services Platform (ESP).
LRTV Huawei Video Resource Center
Huawei’s Showcase @ Big Telecom Event 2014

8|26|14   |   2.56   |   (0) comments


SoftCOM is Huawei's framework for telecom business and network transformation. Haofei Liu, Solution Marketing Manager, Carrier Business Group, Huawei, showcases Huawei's SoftCOM architecture in this video.
LRTV Huawei Video Resource Center
Huawei @ BTE 2014: Director of Integrated Solutions on SoftCOM & NFV Monetization

8|26|14   |   4.43   |   (0) comments


Libin Dai, Director of Integrated Solutions, Carrier Business Group, discusses Huawei's SoftCOM and NFV monetization. Huawei believes that NFV monetization should be service-driven rather than network-driven, and that operators should have network transformation, service transformation and a compatible and collaborative ecosystem in place in order to deploy NFV.
LRTV Huawei Video Resource Center
Huawei @ BTE 2014: Director of US NFV Lab on CloudEdge & the Future of NFV

8|26|14   |   4.06   |   (0) comments


Sean Chen, Director of US NFV Lab at Huawei, discusses Huawei's new approach to NFV in open collaboration. Huawei believes that through Proof of Concept tests, it could help operators learn and communicate with the industry more effectively. Sean believes that successful implementation of NFV should have its values reaching to end users and discusses how Huawei's ...
LRTV Huawei Video Resource Center
Huawei's Highlights @ Big Telecom Event 2014

8|26|14   |   3.34   |   (0) comments


At the Big Telecom Event in Chicago Huawei showcases its high-level strategy, the SoftCOM architecture, which helps operators reduce the cost of ownership of their network infrastructure and generate additional revenue in the ICT service environment. Huawei showcases over 30 pilot programs from across the globe, focusing on the industry-leading commercial ...
LRTV Custom TV
VeEX – Live from the Show

8|21|14   |   5:58   |   (0) comments


An overview of VeEX Test and Measurement solutions including TX300S multi-service test set with VeExpress cloud-based management system, UX400 universal modular platform supporting 100G testing, and the redesigned RXT modular platform.
LRTV Custom TV
Transitioning CE 2.0 Networks Into the SDN & NFV Era With Telco Systems

8|19|14   |   5:19   |   (0) comments


Telco Systems' Ariel Efrati (CEO) and Moshe Shimon (VP of Product Management) discuss virtualization and how the company's new Open Metro Edge solution utilizes the SDN and NFV concepts to accelerate and orchestrate service delivery through its innovative product portfolio and software applications.
LRTV Custom TV
NFV Myths: Is NFV Still Several Years Away?

8|11|14   |   1:13   |   (0) comments


Some say that NFV (network functions virtualization) is still several years away from being implemented on mobile operator networks. This isn't the case. Operators can get started on their paths to NFV now, as this short video from Skyfire shows.
LRTV Custom TV
A New Security Paradigm in SDN/NFV

7|28|14   |   02:54   |   (0) comments


Paul Shaneck, Global Director Network Solutions for Symantec, discusses the evolving virtualized network, explaining how Symantec is leading the security discussion as it relates to SDN and NFV, and helping to ensure the network is protected and compliant.
LRTV Documentaries
Sprint's Network Evolution

7|24|14   |   14:59   |   (0) comments


Sprint's Jay Bluhm gives a keynote speech at the Big Telecom Event (BTE) about Sprint's network and services evolution strategy, including Spark.
LRTV Documentaries
BTE Keynote: The Software-Defined Operator

7|24|14   |   18:43   |   (1) comment


Deutsche Telekom's Axel Clauberg explains the concept of the software-defined operator to the Big Telecom Event (BTE) crowd.
Light Reedy
Numbers Are In: LR's 2014 Salary Survey

7|24|14   |   1:25   |   (7) comments


Our fourth annual Salary Survey paints a picture of who's hiring, firing, earning, and yearning for a change in the telecom industry.
Upcoming Live Events!!
September 16, 2014, Santa Clara, CA
September 16, 2014, Santa Clara, CA
September 23, 2014, Denver, CO
October 29, 2014, New York City
November 6, 2014, Santa Clara
November 11, 2014, Atlanta, GA
December 9-10, 2014, Reykjavik, Iceland
June 9-10, 2015, Chicago, IL
Infographics
Hot Topics
Comcast Streams Back to School
Mari Silbey, Independent Technology Editor, 8/21/2014
Level 3 Does Big Data Differently
Carol Wilson, Editor-at-large, 8/21/2014
T-Mobile: Small Cells? We're Dense Already
Dan Jones, Mobile Editor, 8/22/2014
Verizon Launches QR Code Security Solution
Carol Wilson, Editor-at-large, 8/26/2014
M2M's In Fashion: Wearables Play the US Open
Sarah Reedy, Senior Editor, 8/25/2014
Like Us on Facebook
Twitter Feed