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iotum Economics

Hat’s off to Andy Abramson for his piece A Natural Hattrick… not the least for the hockey reference, and we’re hoping Dany Heatley pulls off another tonight when the Sens meet the Lightning.  In any case, Andy pulls together the trio of iotum, Sitofono, and Grand Central, showing how each complements the other.  At this point, of course, it’s all speculation because none of the three companies have actually made announcements of any relationships.  You can’t actually buy anything this good… yet.

I want to drill in a little on one of the points Andy made.  With any find me/follow me service, a portion of the cost of the service is born by the recipient of the call.  In North America, you’re likely going to pay a small amount of money to receive the call on the service provider (although, that’s not true with either AIM Phoneline or GrandCentral, who give away the origination), plus a charge to terminate that call on your mobile.  In Europe, it’s much worse, because the calling party pays.  So, the calling party is going to pay to reach the find me / follow me service, and then suddenly you, as the user of the service, are going to be faced with paying the freight on the termination leg (from the find me / follow me server, to your mobile).  Across the pond you could be looking at as much as 50 cents per minute, whereas if the caller was to simply call your mobile, they would pay.  Pretty grim. 

It’s only with services like iotum, where you can control who reaches your mobile, that you will have any ability to manage that cost.

{ 5 comments… add one }

  • Pat Phelan November 26, 2006, 4:29 pm

    Actually having had a peep I could supply a worldwide mobile termination sub 20c

  • Pat Phelan November 26, 2006, 8:26 pm

    I could supply you every European mobile @ sub 20c USD Alec on a managed platform
    It sounds like a winner to me.
    I would absolutely pay for this service

  • Craig Walker November 26, 2006, 11:26 pm

    Andy makes some great points and we (GrandCentral) are looking forward to working with the rest of the community to build the best service or combination of services possible. On the economic front, GrandCentral also let's you control who can reach your cell phone (forwarding rules by Groups or even by individual caller), and also will let you take that call on your desk or home phone. Since a large % of your inbound cell minutes are used within an arm's reach of a better quality and lower cost (free for inbound) PSTN line, we'll also save you a bunch on your cell minutes.

  • Matt Lambert November 30, 2006, 5:58 pm

    The onward leg to terminate the find me follow me call to a is free in the UK (ok, only with a GSM gateway to your switch, and a vodafone sametime contract). The call doesn't even count towards any minutes count, so unfortunately this deal probably won't last too long.

    The point is that generally, there is a slide towards less expensive mobile calls, and a wealth of business benefits of not having people call your cell phone directly. Not least of which when you can very easily make the most of unified messaging combined with the call routing software. I believe this will be a trend worth following. In fact, perhaps it is another prominent nail in the demise of the wired PBX desk phone.

  • Alec November 30, 2006, 10:38 pm

    Thanks for the insights, Matt.

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