This is where convergence is going

By Stuart Corner
Thursday, 29 November 2007 14:48

Opinion and Analysis

Freshtel's new 'converged' VoIP & mobile offering has the potential to really stir up the mobile market. Here's why. Take this scenario: you have a WiFi enabled smartphone such as the Nokia N95 and someone offers you a free downloadable application that will allow you to make cheap calls when you are within range of a WiFi access point, the one in your home or a public access hotspot.

You download the application, fire it up and it works real easy. You don't even have to choose to use WiFi, it it's available that happens automatically. Here's the important bit. The person you call does not see 'private number' or some obscure and meaningless VoIP number, they see your normal mobile number.

Now, you still have to pay for your VoIP-via WiFi calls so you have to establish a relationship with the organisation providing them (whose logo, by the way pops up on your phone). This means that organisation can market to you. And, if they offer mobile services, they can say: "hey bring your mobile service to us and we will give you a good deal, and one bill for your mobile and your VoIP calls, and you will save money because your calls will go via VoIP and WiFi whenever possible, without you having to even think about it."

It's a very neat way for a new player to attack the customer base of a much larger player. And it is here, almost.  Freshtel's largest VoIP service reseller, UK retail giant Tesco, will launch a version of the service in the UK early in 2008. The one bill won't be available initially but mobile customers on any network will be able to download the software, sign up with Tesco and make VoIP calls via the Freshtel network when within range of a hotspot, and the people they call will see the caller's normal mobile number.