In the backdrop of everything innovative and exciting going on at the BREW conference in San Diego last week, there was one overriding idea that kept popping up in the newsroom: simple.
As industry pursues its continuing mission of driving mobile data uptake in all its current and potential forms, the task of penetrating the last bastions of the not-yet-wirelessly-connected also remains. Getting at those customers hinges on simplicity and price.
Austin, Texas-based research firm Portelligent predicts from a recent survey of wireless and electronics companies that a handset with a $25 cost of production could come to market within the next two years.
“We have believed for some time, based on the trends in product design and component cost which we see in our product teardown analyses, that very low-cost cellular handsets will emerge in the next several years,” said David Carey, president of Portelligent.
He added, “More economic cellular phone designs will be a key factor in securing the next billion wireless subscribers.”
Nokia has outlined a low-cost handset strategy to tap into growth markets such as Africa. The plan includes lower-priced devices with demonstration modes to instruct first-time users how to use the features of the phones.
On the carrier side, Cingular announced simplified pricing, cutting the total number of plans available and eliminating some of its regional offerings. Good move. Pricing levels are not a barrier to entry alone; there is something to be said about being able to figure out the pricing.
But Swisscom Mobile takes the prize with its two new simple initiatives. The carrier’s research has shown that most of its subscribers just want to use their phones for voice calls and text messaging, not grappling with technology.
Swisscom Mobile is targeting these users with Mobile Comfort, a product developed by Vodafone and Sagem. The offering includes two handsets that work similarly to fixed-line cordless phones. The phones offer fewer buttons and simplified menus. For instance, to call up a message, the user just clicks on a flashing key, like with an answering machine.
Through its Help Point education initiative, Swisscom, in partnership with the Swiss government aims to prevent a “digital divide” from forming in the country and will offer courses on mobile phones and the Internet at four fixed and 41 mobile locations throughout Switzerland.
The carrier said it wants to reach out to people who have not grown up with mobile phones and the Internet. Users will learn how to more easily access information and discover the full capabilities of the technology.
Simple is good.
