T-Mobile CEO Wants Mobile Revolution

[Mike Temporale]

<div class='os_post_top_link'><a href='http://networks.silicon.com/mobile/0,39024665,39127895,00.htm' target='_blank'>http://networks.silicon.com/mobile/0,39024665,39127895,00.htm</a><br /><br /></div><i>"The boss of one of the world's largest network operators has called for a radical, far-reaching rethink of how the industry works. T-Mobile CEO René Obermann, speaking at the 3GSM World Congress, took aim at what many consider givens - churn of customers among operators, subsidies, confusing or inconsistent tariffs, complexity and low usage of advanced services. He argued that the mobile market is not yet mature. It may be that in some European markets there is over 100 per cent penetration - multiple devices carried by end users - and there are mobile-only homes. But he pointed out that his business, for one, is keeping on acquiring customers. In the US, T-Mobile is now bigger than it is in Germany, growing 32 per cent, which he said is "not surprising, because [that market] is less penetrated". However, he said that "the current subsidy model induces churn", which is not healthy. At the same time, "bill shock is not an option"."</i><br /><br /><img src="http://www.smartphonethoughts.com/images/Temporale-20050216-TMobileLogo.gif" alt="User submitted image" title="User submitted image"/> <br /><br />I agree with Mr. Obermann, something has to change. Subsidized phones are a good way to get people started, but most people don't like being locked in for 2 or 3 years. I don't know what other options are available, but I would be interested in seeing what his plans are, and how they impact the industry.

[David C]

I thought about this question long and hard before, and this is my solution.

I. Equipment--Phone should come in 3 parts.

1. A SIM card for account verificatioon.
2. It is instered into a very small radio only module that is not locked and able to roam to multiple bands and standard. ie, works with GSM and CDMA like the Samsung A790.
3. That module is then customizable to work with any processor, any form factor or configuration. Think of it like a SDIO wireless radio inserted into a PDA to make a phone.

II. Business model--seperate customer service and technology research.

1. The carrier will no longer hold a monopoly on phone models. What they will do is certify the radio module, but only sell the SIM cards for account. All equipment warranty goes to the manufacture.
2. Split up tower operation and customer acquisition into 2 different company.
3. The carrier's job is to be knowedgeable, offer the best customer service, and match the best pricing plan to the customer's needs.
4. The wireless device will work with any provider's tower, using any technology neccesary to complete the task. Since the tower provider and the customer acquisition are 2 different companies, there are no conflic of intrest when the phone is "Roaming"
5. The company survives base on the quality of pricing package, and knowlegeable customer service. Tower company on the other hand servives on qulity coverage, and better technology.

If customer wants to upgrade to newer phones, all they have to do is to remove the radio module, and insert it to any new smartphone/PDA/filp/candy bar style phone they want.

No churns. Efficent use of towers. Competive pricing. Everyone is happy.

[Kris Kumar]

3. That module is then customizable to work with any processor, any form factor or configuration. Think of it like a SDIO wireless radio inserted into a PDA to make a phone.

Cool concept. 8)

[BR]

I love your idea!! No monopoly on phone models! It is great. I wish I had more options of phones to choose from.

[Fitch]

T-Mobile CEO Wants Mobile Revolution, too bad they don't want any wm2003 Smartphones!