Tuesday, June 5, 2012

Verizon LTE - man with a plan

Verizon has used a US market specific problem to drive the adoption of 4G data plans. In the US there are multiple video services Comcast’s Xfinity TV, CBS, Netflix, Hulu, mSpot. Many people subscribe for several of them and many find it difficult to search and discover content.

Noticing this Verizon decides to solve the problem and offer a solution only to people with 4G smartphones and data plans. You want to get rid of your problem – buy a 4G phone and subscribe to more expensive data plans. Verizon’s product Viewdini is a platform aggregating video from the most popular video services and making video consumption and discovery easy. It is expected that Verizon will ask the content providers to pay for the data consumption of the mobile users and thus remove other obstacle to adoption of its data plans (as AT&T announced few days ago)

Many good products become good products because they build on the weaknesses of the existing ones. If someone is a visionary he would have thought long before the LTE launch that one day it would have to drive its adoption. And because of this, long before LTE he would have been pushing the emergence of many video providers and fragmented content so that when it comes time for LTE he can address a problem he created and knew that this problem will drive the adoption of its expensive new product (that no one will buy just for its name).

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