Archive for February 19, 2014

WhatsApp Bought By Facebook

Posted in Commentary with tags on February 19, 2014 by itnerd

The BBC among others are reporting that popular messaging app WhatsApp has been bought by Facebook for an absolutely stunning $19 billion:

In a statement announcing the deal, Facebook founder Mark Zuckerberg described WhatsApp’s services as “incredibly valuable”.

It better be incredibly valuable for $19 billion. Here’s why Facebook was interested:

Cathy Boyle, a senior analyst at research firm eMarketer, said WhatsApp was valuable to Facebook for several reasons beyond advertising, including its younger user base and its popularity overseas.

“WhatsApp actually has greater penetration in a lot of international markets than Facebook,” Ms Boyle told the BBC.

She added that it was notable that Facebook’s chief financial officer David Ebersman referred to the telecommunications industry when discussing the firm’s purchase.

“WhatsApp is trying to siphon the billions that the telecom industry would make from [traditional SMS text messaging]” she said.

We’ll see what Facebook does with this. I’m thinking that this won’t be the last purchase of this type that you’ll see from the company.

 

700 Mhz Spectrum Auction Winners Announced

Posted in Commentary with tags , on February 19, 2014 by itnerd

So who won the 700 Mhz spectrum auction and will it radically change the wireless landscape? Let me tell you the winners and then I’ll tell you what I think will happen next.

First, underscoring the importance of social media, the results were announced on Twitter:

https://twitter.com/industrycanada/status/436270200636575744

So you could click the link above and read all the details, but if you want to save some time, here’s the list of winners divided by region:

Newfoundland and Labrador: Bell, Eastlink, Rogers, Telus

Nova Scotia: Bell, Eastlink, Rogers,TELUS

Prince Edward Island: Bell, Eastlink, Rogers, Telus

New Brunswick: Bell, Eastlink, Rogers, Telus

Quebec: Bell, Rogers, Telus, Videotron

Southern Ontario: Bell, Rogers, Telus, Videotron

Northern Ontario: Bell, Eastlink, Rogers, Telus

Yukon and Northwest Territories and Nunavut: Bell, Feenix, Telus

Manitoba: Bell, MTS, Rogers, Telus

Saskatchewan: Bell, Rogers, SaskTel, Telus

Alberta: Bell, Rogers, Telus, Videotron

British Columbia: Bell, Rogers, Telus, Videotron

One thing that you’ll notice is Videotron is now the proud owners of spectrum in BC, Alberta, and Southern Ontario as well as in their home province of Quebec. Given that they give the big three a run for their money on a frequent basis in Quebec, it is possible they can do the same thing elsewhere. Thus they could eventually become the fourth national player that Canada needs so desperately. Though we’ll likely have to wait at least a couple of years to see if that’s the case. Another thing to note is that most areas have a fourth company to provide wireless service. That might be a good thing as well. Finally you should note that the Canadian government pulled in $5.27 billion. That’s great for them.

Now, what do you think? Will this be good for Canadian wireless users? Do the big three have anything to worry about? Post a comment and share your thoughts.

Rogers Next Upgrade Program Announced

Posted in Commentary with tags on February 19, 2014 by itnerd

Rogers announced today that their customers will soon be able to subscribe to Rogers Next, a program that will allow them to get most of the latest smartphones for $0 down every 12 months, with no early upgrade or connection fees.

Here’s how the program work:

  1. When customers upgrade to a new device or join Rogers, they have the option to subscribe to the Rogers Next program for a monthly fee of $24.99 or  $29.99 with Rogers Device Protection Premium included. This service, which helps protect customers from device damage (and loss and theft in some provinces), retails for up to $11.99 per month;
  2. After 12 months, they can trade in their current device in good working order for a new smartphone of their choice that has a subsidized price of up to $250;
  1. They pay $0 down for the new device on select new two-year plans, and the remaining  FLEXtab balance and connection fees are waived;
  2. Customers then have the option to continue their enrolment in Rogers Next to get another new device in 12 months for $0.

The $0 down offer applies to smartphones worth up to $250 based on subsidized two-year term pricing. Over 95% of phones they offer are under $250. However, if the two-year term price exceeds $250, customers simply pay the difference in the hardware price. As an example, if they wanted to upgrade to a smartphone available for $329.99 on a two-year term today, they would have to pay an additional $79.99 at the time of upgrade with Rogers Next.

Now if any of this sounds familiar, it should. Telus has a similar program called T-UP for their customers. Will it make sense for you? Check out additional details and a comparison chart on Redboard: http://roge.rs/9egtA9. It may make sense to those who always want the latest and greatest.