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by Fred Grott.
Original Post: Developer Cost of MVNOs
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Simon Judge of the had a nice summary of the Operator Greed article in The Register. Basically, with operators taking 70% of content revenue for services developers more often than not go bankrupt in the process.
Wonder why there are so many MVNOs popping up and Service developers such as Flipt(now Loopt started out as radiate..huh?)? It has to do with everyone ignoring the long term picture hoping against hope that these numbers highlighted in The Register article is incorrect. The only problem is the numbers come from one of the telecomm infrastructure providers, HP, and HP is not in the position to lie about this subject.
And with MVNOs holding a choke-hold on network/application catalog access fro developers its somewhat guaranteed that these MVNOs will fail in the long run. Obviously, the first MVNO to refuse to choke-hold the application catalog access for developers and their network services will be the first one to see a huge surge in profits and revenue.