Wow Mobile: Another Scheme

Peter : On Rad's Radar?
| Peter Radizeski of RAD-INFO, Inc. talking telecom, Cloud, VoIP, CLEC, and The Channel.

Wow Mobile: Another Scheme

Why is it that everyone thinks that there are quick ways to make money? The only way to make quick money is to steal it. 

The new MLM scheme is Wow Mobile. Although the Wow reps state it is not a multi-level marketing plan. Really? Bring 3 friends and get a free cell phone for life? That doesn't sound like MLM?

Backed by Liberty International, it is supposedly an MVNO plan on T-Mobile offering the HTC Google phone. (Just $399.95). Those are pluses, but let's remember that no pure MVNO model has lasted yet. Not ESPN. Not Disney. Not Helio backed by hundreds of millions from EarthLink and SK Telecom. Not even Virgin Mobile, which Sprint bought for $483M last year, after Virgin acquired a limping Helio.

The nice thing is that Liberty International, based right here in Tampa Bay, has a bunch of products to make you $2000 per month: WiMax, VoIP, cellular, toll-free, long distance, dial-up, websites - almost every commodity available through an affiliate channel. But that's not all! You can also sell music, DVD's, body care, nutrition, and sales leads. Yes! You can buy sales leads from Liberty International - 500 for just $248.95!

"Liberty International has launched a new free cell phone service that is named WOW Mobile, to which is sure to wow! The WOW Mobile prices for each service are based on the service limitations. For $59.95 you can have access to unlimited calls to US. At $69.95 you get to enjoy unlimited call as well as unlimited texting. For $89.95 one gets unlimited any time calls to anywhere in the US, with unlimited texting and email and unlimited internet connectivity. As it comes with an inbuilt AIR card user can connect to wide area wireless Internet access without any difficulty." Seems like you could buy this same plan direct from T-Mobile and get a subsidized phone.

But then if you bring in 3 friends you get service for free. How? Why doesn't anyone ask HOW? But then if Americans could do math, the subprime mortgage mess wouldn't have happened.

The costs involved go beyond just the wholesale contract with T-Mobile and paying for bulk minutes, bulk SMS text messaging and data MB's. There is handset fulfillment - support, logistics, repair, and asset management - which we have just seen with the Nexus One is not Google's strong suit. Then there is billing, which by far is the biggest PITA for a service provider. With billing comes bad debt, credit card payments, and billing reconciliation with the carrier. Good luck with that. All of this while paying residuals to agents and giving free service away. Yep! Start the Death Watch on this one.

Related Articles to 'Wow Mobile: Another Scheme'

Featured Events