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

cellular

Ma Bell Versus Google

September 28, 2009

It's funny to watch Ma Bell fight Google, because Bell isn't used to fighting another company that also has billions of dollars - and millions of users. No CLEC was ever this big - nor cable company. And Google is kind of both -- or at least that is what Ma Bell is crying to the FCC about. 

Google has more video on YouTube than any DVR or cable company can match currently. Google Voice is the online VoIP service many people wish that an innovative telecommunications services company would have delivered years ago.  But Ma Bell isn't innovative.

Pouring Billions

September 21, 2009

The WSJ has an article titled, "AT&T, Verizon Still Pouring Billions Into Mobile Networks". It notes that cellcos have already spent billions upgrading their networks to 2.5G and 3G -- and now will spend billions more on 4G.

In addition, both companies are also dumping billions into International routes, domestic broadband networks, and their respective triple play networks, U-Verse and FiOS. 

On top of that, both companies have been acquiring companies, like Alltel and Centennial. Ummm, how are they not toppled over in debt? 

These companies have felt intense pricing pressure from cable companies as well as T-Mobile and Sprint. Customer Acquisition and Retention costs have to be high, even as ARPU remains about the same.





New Sprint Rumor

September 14, 2009

Engadget has a rumor that Deutsche Telekom is eyeing Sprint Nextel for acquisition. There are a number of issues here:
  1. DT owns T-Mobile.
  2. T-Mobile is GSM and Sprint is iDEN and CDMA. Not much value in mixing that many signaling protocols. No synergy.
  3. FTC and DOJ may not like that much Public Safety being foreign owned.
  4. The cost would be staggering.
By that I mean that DT isn't exactly experiencing huge growth to pay back a multi-billion dollar acquisition of a declining asset.

One Phone Soon?

August 17, 2009

I look at the new IP Phones and wonder: Are they morphing into a cell phone?

I like cordless handsets, mainly because I walk when I am talking. It helps me think and it sounds better for the caller. And I use a corded headset.

Sprint and Virgin Mobile

August 3, 2009

There was a question on LinkedIn today about the MVNO model making a comeback. It seems that Sprint buying Virgin Mobile has sparked a slow news day. 

Let's not forget that SK Telecom dropped almost $300M on the Earthlink MVNO formerly known as Helio, which was given to Virgin Mobile last year. SKT was looking for a foot hold in the US market (just like every other international player). If SKT decided to sell its one stake, what chance does the MVNO model have?

As more minutes move to the cellular networks from the wireline network, how does that scale or make financial sense for a virtual operator?



The New FCC on Apple about VoIP

August 3, 2009

After Google Voice was rejected by the Apple iPhone store, the new FCC - Chairman Julius Genachowski, and Commissioners Michael Copps, Robert McDowell, Mignon Clyburn, and Meredith Attwell Baker - was prodded into action by Google. The FCC sent a letter to Apple about the GV Rejection. (Read it here). The Letter (DA No. 09-1737) has nine very specific questions to be answered by Apple and AT&T by August 21.

The New FCC also sent a Letter (DA No. 09-1739) to Google concerning Apple's rejection of the Google Voice for iPhone Application.  The questions are not nearly as pointed but are specific.

Verizon Profits Down

July 27, 2009

After dumping New England on Fairpoint and cashing in on that garage sale, Verizon bought Alltel. Now it is dumping more rural lines on Frontier. All of this is just Verizon's way of shoring up its stock report. Without the kickers from the Fairpoint transaction and the spurt from Alltel, my bet is that the company would be showing a loss.

Is Zer01 Crashing?

July 23, 2009

The deal that was supposed to save VOX Corp. (parent company is Pervasip). After Networld World questioned whether the mobile VoIP service could actually work, the company stripped data from its website (as reported by both PC World and Network World).

PC World further reported, "Earlier this week IDG News Service reported that it's unlikely that Zer01 could be technically able to offer the unlimited mobile voice and data service that it is advertising. The service, originally targeted for a July 1 launch, does not appear to be available yet. In addition, it's being marketed through a multilevel marketing program run by a company called Global Verge whose founder, Mark Petschel, in 2005 pleaded guilty to securities fraud.

Is Cellular the new Crack?

July 13, 2009

Stacey at GigaOm writes about the data problem for cellular companies. On the one hand, data revenue of $40 to $60 more per month from an account seems pretty good; on the other hand, 70% of the traffic on a tower is from data cards (about 3-4% of subscribers). This seems like they should have known this.

Voice calls take up less than 10K per stream. 3G data takes up to 3MB.

Bells Giving Up on Landlines?

July 2, 2009

We see the consolidation in the rural landline business. Verizon has dumped unwanted regions on Hawaii Telecom, Fairport (New England), Alltel (old GTE areas like Eastern KY), and soon the Frontier deal.  

Centurytel and Embarq just merger. It was May, 2006 that Sprint spun off its wireline business into Embarq. Alltel followed suit with a spin-off of its landline business to Windstream which was a merger of Valor and Alltel. 

The RBOC's have tried to staunch the landline slide, but I think now that they have declared themselves wireless companies, have given up the ghost. Verizon is now advertising to consumers to cut the cord.



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