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View Full Version : Networks in Revenue Share Plan



Ben
27th July 2007, 03:51 PM
http://www.mobiletoday.co.uk/content/16624.asp?men=2&sub=24

Taking Apple & AT&T's lead, the networks in the UK are apparently looking to lock manufacturers into revenue sharing agreements, whereby the operator makes money depending on how much the customer spends.

In return, the handsets would be provided to the networks for vastly less than they're buying them for at the moment.

This is good in as much as things like email, sms, mms and call capabilities would likely get much easier and be emphasised more. The handset manufacturers may even try and increase data usage and be tempted to add hooks to their own online services if it encourages a user to connect and spend money.

It's bad, however, in as much as all those features, like VoIP, that do not generate revenue for the operator would suddenly be very undesirable for the handset manufacturer as well. Even basic stuff like contacts and calendars aren't going to be revenue spinners, so we may see ourselves invaded with features that simply cost us more while actual handset functionality is pushed aside.

I'm intrigued, I must say, and it is similar to the approach Apple has taken in the US. I don't know whether I'm for or against it at this stage, though. The only hope I have is that it might bring handset and network integration closer together so we might finally get presence, PTT, xnet IM etc...