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Cellular Phone Forum / Providers / Fido / May 2004Ricky Branson to buy Microcell ???
Found this intertesting paragraph in an article about Virgin startuing a new low cost carrier in the USA. The new airline is just one of many projects on Branson's to-do list. His privately owned Virgin Group, which includes 200 companies in businesses ranging from planes and trains to music and mobile phones, is in the midst of an all-out global expansion. He's contemplating a summer flotation of Virgin's British mobile phone service, launching a Canadian mobile company, expanding his international airline Virgin Atlantic, and attempting to merge his Brussels-based discount airline Virgin Express (VIRGY ) with SN Brussels Airlines. He's also revamping his retail music chain, Virgin MegaStores, with a range of new products such as clothing, mobile phones, and consumer electronics aimed at teens. Oh, and he's interested in running a proposed high-speed rail system in Florida that will link Tampa and Orlando by 2009. Consider This: > News Release > [quoted text clipped - 138 lines] > 514 937-0102, ext. 8317 > thane.fotopoulos@microcell.ca > Found this intertesting paragraph in an article about Virgin startuing a new > low cost carrier in the USA. [quoted text clipped - 10 lines] > electronics aimed at teens. Oh, and he's interested in running a proposed > high-speed rail system in Florida that will link Tampa and Orlando by 2009. > Found this intertesting paragraph in an article about Virgin startuing a new > low cost carrier in the USA. [quoted text clipped - 10 lines] > electronics aimed at teens. Oh, and he's interested in running a proposed > high-speed rail system in Florida that will link Tampa and Orlando by 2009. Yes, I am surprised that Virgin is not reselling Microcell. I know there have been reports of Virgin/Microcell talks, but no action. Andrew > Yes, I am surprised that Virgin is not reselling Microcell. I know there > have been reports of Virgin/Microcell talks, but no action. Like Vodaphone, Virgin will want to have its trademark. Problem is that Fido's trademark is valuable. So buying Microcell to ditch Fido's trademark wastes a lot of money. (then again, if Microcell is cheap enough...) If Virgin just resells Microcell under its own brand name, it solves the brand problem. However, Virgin would probably want some control over the Microcell network (expansion, features etc). So it would be likely Virgin might take as big a stake as permitted in Microcell and perhaps strike some deal whereas if Virgin pays for deployment of (for example) 401 between Toronto and Montreal, Virgin would get a big share of any revenu generated on that stretch (and Microcell would get paid to operate/maintain it). As long as there are caps in ownership, it will force some interesting/complex deals to be struck. Another option might be for Virgin to built their own network from scratch, and go 3G right away. (Branson takes Paul Martin out to lunch in an expensive restaurant and convinces him to auction 3G spectrum again, hopefully with same frequencies as europe). This all ties into Microcell's statement that they do have interested foreign investors, but are limited by foreign content rules. I think that many communication companies are expecting the Federal Government to relax the foreign content restrictions, but it will not happen until after the next election. Andrew >>Yes, I am surprised that Virgin is not reselling Microcell. I know there >>have been reports of Virgin/Microcell talks, but no action. [quoted text clipped - 18 lines] > restaurant and convinces him to auction 3G spectrum again, hopefully with same > frequencies as europe). > This all ties into Microcell's statement that they do have interested > foreign investors, but are limited by foreign content rules. [quoted text clipped - 27 lines] > > restaurant and convinces him to auction 3G spectrum again, hopefully with same > > frequencies as europe). It would make more sense for him to re-sell BELL's network here. He already re-sells Sprints service under his name in the US. If he wanted to allow roaming between both countries then he's have to go with a CDMA carrier and Sprint roams on Bell (and someplaces, TELUS) here. If he wanted to stay GSM , to be compatible with his offerings in the UK and Australia then he would have gone with VoiceStream (now T-Mobile) or Cingular. The UK and Austrailian roaming isn't nearly as important as Canada -> US or US-> Canada roaming. Virgins rates aren't that great in the US, 25 cents a minutes for the first 10 minutes of the day then down to 10 cents a minute. Most pay-as-you-go rates down there are pretty high. >It would make more sense for him to re-sell BELL's network here. He >already re-sells Sprints service under his name in the US. If he [quoted text clipped - 4 lines] >T-Mobile) or Cingular. The UK and Austrailian roaming isn't nearly as >important as Canada -> US or US-> Canada roaming. No advantage at all since Virgin Mobile USA doesn't roam period. It uses the Sprint PCS network, but none of its roaming partners such as Verizon, Primeco, etc. It for sure will not roam with any Canadian CDMA carrier such as Bell Mobility or Telus Mobility. Same as Fido prepaid will not roam outside of Canada either. - - - - - - - - - - - - - - - - - - - - - - - - - - remove NONO from .NONOcom to reply It would seem strange for Virgin to buy a company with competing technology, unless they plan to switch it to CDMA. I would think that a main focus on a Norht American unified network would be a great selling feature. I know you could never really have a unified NA network, but you could easily give the perception of one to customers by carrying the same name north and south of the border. G M > > Found this intertesting paragraph in an article about Virgin startuing a new > > low cost carrier in the USA. [quoted text clipped - 14 lines] > > Andrew >It would seem strange for Virgin to buy a company with competing technology, >unless they plan to switch it to CDMA. I would think that a main focus on a >Norht American unified network would be a great selling feature. I know you >could never really have a unified NA network, but you could easily give the >perception of one to customers by carrying the same name north and south of >the border. Virgin USA's network doesn't roam anyway. They use the Sprint PCS network and only that network. They do not roam on other CDMA carriers such as Verizon or Primeco. There would be no advantage at all to having a Canadian network be with a CDMA carrier. The only advantage would be any kind of deal that they might set up with Bell Mobility or Telus Mobility. That would be the only advantage. That's why when Virgin Mobile USA started up they did a virtual network with Sprint as the carrier rather than with a GSM network such as with cingular, T-Mobile or AT&T. If the price is right it could be any network and the technology doesn't have much of anything to do with it. - - - - - - - - - - - - - - - - - - - - - - - - - - remove NONO from .NONOcom to reply Virgin Group and Bell Mobility Announce Partnership to Bring Virgin Mobile to Canada TORONTO, March 30 -- The Virgin Group and Bell Mobility today announced plans to launch mobile voice and data services in Canada through a jointly-owned company, Virgin Mobile Canada. The new company will focus on introducing Virgin's unique style of wireless communications services and handsets to younger Canadian consumers under the Virgin Mobile brand. Virgin Mobile Canada expects to launch its services through a nationwide rollout later this year using Bell Mobility's 1X digital wireless network. Sir Richard Branson, chairman of The Virgin Group, commented, "Canada represents a great opportunity for our mobile phone business. We plan to deliver transparent value for money and great customer service. Bell Mobility offers us the best network and best coverage in Canada. A quality network is fundamental in helping us deliver to customers the value and products for which Virgin is known." "Virgin's focused youth-oriented consumer offer is complementary to the positioning of the Bell brand and will stimulate the wireless industry in Canada," said Michael Neuman, president of Bell Mobility. "We are delighted that Virgin has chosen our network to deliver its products and services to youth across the country." Virgin Mobile revolutionised the telecommunications industry by setting up the first ever Mobile Virtual Network when it launched in Britain in November 1999. Virgin Mobile UK now has nearly 4 million customers and is the fastest growing mobile phone company in the UK, building on Virgin's key strengths within the youth sector and benefiting from its clear and simple tariffs and mould-breaking 'No Contract' approach to customer loyalty. With over 1.75 million customers, in under two years, Virgin Mobile USA continued this success when it launched in July 2002 in a joint venture partnership with Sprint PCS. Virgin Mobile USA is now the fastest growing wireless communications company in the United States. > >It would seem strange for Virgin to buy a company with competing technology, > >unless they plan to switch it to CDMA. I would think that a main focus on a [quoted text clipped - 17 lines] > - - - - - - - - - - - - - - - - - - - - - - - - - - > remove NONO from .NONOcom to reply > Virgin Group and Bell Mobility Announce Partnership to Bring Virgin Mobile > to Canada I think that the keyword is "aimed at the youth market", which means that roaming isn't all that important. It also means that Virgin,s real customers worldwide still won't have preferential roaming in north america since their phones won't be able to roam on Virgin's north american networks. What will be interesting is whether Virgin Canada will strike roaming on Telus's network in the west, and if there will be roaming between Virgin Canada (on Bell) and Virgin USA (on Sprint). It is a real shame that Virgin didn't find a GSM provider in Canada. If their goal was the youth market, then Microcell would have been the perfect network. >TORONTO, March 30 -- The Virgin Group and Bell Mobility today >announced plans to launch mobile voice and data services in Canada through a >jointly-owned company, Virgin Mobile Canada. Which is pretty much what I said. They're going for whichever network (in this case Bell) that they could get the best deal. It certainly wasn't going with GSM as they have in the UK. It wasn't GSM in the US either when they allied themselves with Sprint PCS. - - - - - - - - - - - - - - - - - - - - - - - - - - remove NONO from .NONOcom to reply > (in this case Bell) that they could get the best deal. It certainly > wasn't going with GSM as they have in the UK. It wasn't GSM in the US > either when they allied themselves with Sprint PCS. At the time, there was no nationwide GSM network in the USA. So they went with Sprint. My feeling is that Virgin figured it was more important for canada to be compatible with USA than with the rest of the world. (To me, this is very insulting). And strategically, because CDMA is now a much smaller market than GSM, guess which technology will have the greatest selection of phones ? And if Virgin is going to go afteryoung people, then it is the phones that matter (especially teenage girls who want the useless lights etc). I would think that more Canadians travel to the US more often than the rest of the world, so it is a smart business decision to offer a network that accomidates this. Since this will be a joint company with Bell Mobility, I'm pretty sure that any VMC customer would have access to the global roaming service, and be provided with a GSM phone if they are travelling to an area without CDMA access. G M > > (in this case Bell) that they could get the best deal. It certainly > > wasn't going with GSM as they have in the UK. It wasn't GSM in the US [quoted text clipped - 8 lines] > going to go afteryoung people, then it is the phones that matter (especially > teenage girls who want the useless lights etc). > Since this will be a joint company with Bell Mobility, I'm pretty sure that > any VMC customer would have access to the global roaming service, and be > provided with a GSM phone if they are travelling to an area without CDMA > access. Before FIDO started to offer multi-band phones, it also offered a service to loan you a european phone to allow you to roam. In fact, it just forwarded you to some handset rental outfit that charged you an arm and a leg for the service. It was often cheaper to just subscribe to a local network at destination. So while they can advertise the ability to go outside of north america, the costs make that service absolutely useless. It is still usually cheaper to buy a prepaid SIM in the country you visit. My wife currently carries four prepaid SIMs and one contract SIM for that reason. > > Since this will be a joint company with Bell Mobility, I'm pretty sure that > > any VMC customer would have access to the global roaming service, and be [quoted text clipped - 8 lines] > So while they can advertise the ability to go outside of north america, the > costs make that service absolutely useless. >I would think that more Canadians travel to the US more often than the rest >of the world, so it is a smart business decision to offer a network that [quoted text clipped - 4 lines] >provided with a GSM phone if they are travelling to an area without CDMA >access. Canadian Virgin will not roam in the US the same as US Virgin will not roam in Canada. You will only have service when there's a Bell Mobility signal available just as in the US you will only have service where there is a Sprint PCS network signal available. There is no roaming just as there's no roaming between Fido prepaid and US GSM networks. - - - - - - - - - - - - - - - - - - - - - - - - - - remove NONO from .NONOcom to reply How do you know? Right now Bell Mobility roams on Sprint in the US, and Sprint roams on Bell Mobility in Canada. It would be only logical that Virgin Canada will have access to the Sprint network, and Virgin US will have access to Bell Mobility. Although at this point it is only speculation, as the company hasn't been set up yet. G M "> > Canadian Virgin will not roam in the US the same as US Virgin will not > roam in Canada. You will only have service when there's a Bell [quoted text clipped - 5 lines] > - - - - - - - - - - - - - - - - - - - - - - - - - - > remove NONO from .NONOcom to reply >How do you know? Right now Bell Mobility roams on Sprint in the US, and >Sprint roams on Bell Mobility in Canada. > >It would be only logical that Virgin Canada will have access to the Sprint >network, and Virgin US will have access to Bell Mobility. Although at this >point it is only speculation, as the company hasn't been set up yet. That's for *monthly* accounts to roam. Prepaid (which is what Virgin Mobile is) does not roam. >G M >"> [quoted text clipped - 7 lines] >> - - - - - - - - - - - - - - - - - - - - - - - - - - >> remove NONO from .NONOcom to reply - - - - - - - - - - - - - - - - - - - - - - - - - - remove NONO from .NONOcom to reply Bell Mobility PREPAID can roam on Sprint. Customers just call up to activate the North American roaming, provide a credit card number so that there is something to top up their account when outside of Bell Mobility territory. It's fairly expensive per minute, but the agreement is already in place. I'm sure that they will make use of it. G M > That's for *monthly* accounts to roam. Prepaid (which is what Virgin > Mobile is) does not roam. >Bell Mobility PREPAID can roam on Sprint. Customers just call up to >activate the North American roaming, provide a credit card number so that >there is something to top up their account when outside of Bell Mobility >territory. It's fairly expensive per minute, but the agreement is already >in place. I'm sure that they will make use of it. Well, since it's not even in place yet we'll just have to see whether they can indeed roam. >G M >> That's for *monthly* accounts to roam. Prepaid (which is what Virgin >> Mobile is) does not roam. - - - - - - - - - - - - - - - - - - - - - - - - - - remove NONO from .NONOcom to reply Virgin UK's SIM roams throughout Western Europe without passing a credit check. If you pass the credit check, it roams worldwide and has better rates in Western Europe. > >Bell Mobility PREPAID can roam on Sprint. Customers just call up to > >activate the North American roaming, provide a credit card number so that [quoted text clipped - 11 lines] > - - - - - - - - - - - - - - - - - - - - - - - - - - > remove NONO from .NONOcom to reply >Virgin UK's SIM roams throughout Western Europe without passing a credit >check. If you pass the credit check, it roams worldwide and has better >rates in Western Europe. That's swell, but it doesn't address prepaid roaming with a Virgin Mobile Canadian account. Since Virgin Mobile in Canada doesn't even exist yet all this blather is just speculation. Bottom line is that no one knows what will ultimately happen. How people can be so sure of what's going to happen with a MVNO that doesn't even exist is at best puzzling. >> >Bell Mobility PREPAID can roam on Sprint. Customers just call up to >> >activate the North American roaming, provide a credit card number so that [quoted text clipped - 12 lines] >> - - - - - - - - - - - - - - - - - - - - - - - - - - >> remove NONO from .NONOcom to reply - - - - - - - - - - - - - - - - - - - - - - - - - - remove NONO from .NONOcom to reply I wasn't suggesting that roaming would take place, merely that it couldn't be ruled out. Stu > >Virgin UK's SIM roams throughout Western Europe without passing a credit > >check. If you pass the credit check, it roams worldwide and has better [quoted text clipped - 26 lines] > - - - - - - - - - - - - - - - - - - - - - - - - - - > remove NONO from .NONOcom to reply >I wasn't suggesting that roaming would take place, merely that it couldn't >be ruled out. Which is all speculation. No none will know anything of what will happen til the service is actually launched. - - - - - - - - - - - - - - - - - - - - - - - - - - remove NONO from .NONOcom to reply virgin.ca is now an active domain. Stu > >Bell Mobility PREPAID can roam on Sprint. Customers just call up to > >activate the North American roaming, provide a credit card number so that [quoted text clipped - 11 lines] > - - - - - - - - - - - - - - - - - - - - - - - - - - > remove NONO from .NONOcom to reply |
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