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Mobile communications will be free for British youth.

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In the summer of Europe, the virtual mobile operator Blyk starts working. It was created by Pekka Ala-Pietila, the former head of the Finnish telecommunications concern Nokia. The originality of the project lies in the fact that cellular services will be provided free of charge.
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A Finnish virtual operator, positioning itself as “a pan-European free mobile operator for young people with funding through advertisements,” plans to launch a new project in the UK in mid-2007. By the end of the year, the operator intends to enter the markets of other European countries.

The target audience for advertisers is clearly marked: the operator will provide free communication services for young people from 16 to 24 years old.

Already in March, it was announced that companies such as Coca-Cola, L`Oreal, Buena Vista and I-play had already signed advertising agreements for the Blyk project.

Technical support for the project will be provided by one of the world's largest mobile operators, Orange, for whom this is the first transaction with a virtual “colleague” in the UK.

Although the idea of ​​a free virtual network, according to Blyk, has been developed since January 2006, in fact it is not so new. A similar virtual network model is being developed in the USA. The network is also aimed at students and young people who are not averse to exchanging free text messages and calls with the obligatory receipt of advertising information.

The head of the world's most powerful Google search engine, Eric Schmidt,
believes that the future is for free mobile phones for those who agree to receive advertising on it.

Schmidt said that since mobile phones are becoming more and more like PDAs, and consumers spend eight to ten hours with them every day for talking, SMS and using the Internet, their price can be reduced to zero by showing ads.

Of course, mobile phones may never be completely free for consumers, Schmidt stressed: "You still have to buy newspapers, despite the fact that a significant part of their income comes from advertising."

Virtual mobile operators do not have their own radio frequency resource, but use the networks of other existing cellular operators. They buy traffic from large operators and connect users on their own terms, actually being intermediaries in the sale of cellular services.

The business model proposed by Blyk is radically different from all other projects. Experts of the western telecommunications market believe that the very idea of ​​financing mobile services through advertising is quite interesting, but there are a number of potential problems that may affect the financial performance of the project.

One of the main questions: how much free traffic a company can afford. The exact details of the project are not yet known, but experts doubt that advertising revenue will be enough for settlements with Orange. In order not to burn out, Blyk needs to attract as many subscribers as possible in a very short time. In parallel, the company Pekka Ala-Pietila
should, even before the official launch in mid-2007, entice as many famous advertisers as possible with their enthusiasm.



Ps: the question remains, why do we need 3G and GSM? In general, tired of calling Rurik let's ...

Source: https://habr.com/ru/post/6430/


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