Dish aims for smarter phones and simpler bills

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CK SatGuy

Formerly ckhalil18
Original poster
Feb 7, 2011
4,023
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The Motor City
From The Denver Post:

BOULDER — Dish Network chairman Charlie Ergen wants to launch a stand-alone wireless business that would offer mobile broadband, text and voice services to compete against telecom giants AT&T and Verizon Wireless.
Ergen, who stepped down as Dish chief executive in June to focus on the mobile strategy, revealed details of that plan Tuesday during a discussion at the Silicon Flatirons Center for Law, Technology, and Entrepreneurship at the University of Colorado at Boulder.
"We have to start the wireless business outside of Dish Network, then we'll fold it in," he said.
He said that, personally, he wants a phone that can be used for talking, texting and surfing the Web at the same time, and with a bill that he can understand.
"I signed up for a plan from one of the carriers — it was $59, but my bill is $164.28 and it's like 18 pages long," he said. "I don't think the wireless business has to be that way. I think you can actually have a phone that works, and I think you can have a bill that you understand."

Ergen handed over day-to-day control of Dish, with about 14 million subscribers the nation's second-largest satellite-TV provider, to concentrate on strategic moves that could reshape the company. Dish's subscriber growth has stalled in recent years amid increasing competition from online services such as Netflix and pay-TV offerings from phone companies.
"There's not a lot of growth. It's down to maybe 1 percent a year," Ergen said. "For us that's a good business, but 10 years from now, that's not going to be a good business."
As such, Dish has spent more than $3 billion acquiring wireless spectrum that it would leverage for a high-speed fourth-generation wireless network. Dish still needs the Federal Communications Commission to ease rules tied to the spectrum before it can move forward.
The company would have to spend another $5 billion-plus to build the network, which would use 4G Long Term Evolution technology and launch in 2014 or 2015.
"We've been saving our money, and we're prepared to go spend it," Ergen said.
Ergen, though, has previously said he would prefer to partner with an existing carrier. Partners could include Sprint Nextel or regional carrier MetroPCS.
"It would be a long shot that we could compete against AT&T and Verizon," Ergen said. "Having said that, it seems like something we want to try to do."
Ergen said even if the company were unsuccessful in launching a mobile-broadband network, the spectrum would still hold value to carriers.
 
Dish Network can gladly use our mountain on our land to stick a tower on it any day and anytime. I would love to support dish in this effort. I Just wish I knew who to contact to let them know about this.
 
He lumped the fees together. It is pretty simple though, sometimes. Sometimes it is rather complicated though and needs thorough explanation.
 
Probably requires a credit check (Otherwise you have to pay through the nose for the phone activation), goes out frequently, and keeps getting in financial disputes with municipalities over tower land rent payments that mean some of the areas you needed to have coverage in that had coverage at the time you subscribed no longer get coverage with no compensation to you as a customer and no way to switch services without a big early termination fee. Whether you qualify for the latest phones will be decided based on a seemingly random algorithm no one understands that will leave you paying between $100-$900.

I'm just going based on the way Dish is run these days. ;)
 
HanoverPretzel, tell us how you really feel. Don't be shy now! :) LOL!

LOL!

Sorry to jump all over it like that (It was a little tongue in cheek). Dish has it's good points. It's possible this phone thing may be a good service and a good bargain. Who knows? It's just that the odds seem against it.

I like the idea of the prepaid carriers in theory. Anyone can buy any phone for the same price, low-cost unlimited plans, and you can cancel at any time. It's just a shame that in practice many of the pre-paids provide bad phones, lousy customer service, unreliable coverage, slow Internet for smartphones, etc..

I think a good opening in the cell phone market might be to be the "good" pre-paid carrier. Don't be a contract carrier, because you're not going to be able to match Verizon's coverage area and reliability. Don't be a lousy pre-paid carrier, because we've already got plenty of them. Be the pre-paid carrier with the best most reliable network, the best customer service, the best phones at the best prices, and competitively price unlimited plans relative to the other prepaids-- and you could really grow very fast. I don't know if you'd make a profit or not, I don't know the industry that well. I just know that'd be the way to differentiate yourself.

People don't like the choice between phones they like and reliable widespread coverage (many of the post-paids) versus phones and plans they can afford (pre-paids). If someone could swoop in and provide everything good in one package without the bad, I think customers would be ecstatic.

Also, I think a lot of people in the modern world have had it up to here with contracts and credit checks. People like the theoretical freedom to switch or discontinue things when they want to without penalty (Even if in practice they might choose not to), and are really developing contractitis being committed to everything long-term, and people don't like credit checks. You've got a ton of people who don't pass the credit checks (Which is, by the way, a huge market these days, because the economy has put black marks on a lot of people's reports, and even "clean" people can't get good credit because companies are no longer handing out credit cards to folks with unestablished credit or low incomes period in a lot of cases), which ticks them off, because they're treated like second-class customers, and I think even people who pass them sometimes are like "Why do I have to give my Social Security to everyone these days? Just sell me the darn whateveritis.".

People are sick of everything being such a hassle. That's one thing Charlie got right, but he was just talking about the bill. He needs to apply that reasoning more widely and make everything as simple as possible, without commitments and asterisks and different prices for different people.
 
Nobody is forcing anyone to sign a contract except Directv. If you want something just pay full price for the equipment. If you don't want to foot the bill for the full price of the equipment then go with a contract. That is the compromise. The big problem is everyone thinks certain things are necessities when in reality they are not. I pay full price for everything and avoid contracts whenever possible. You never know when something unexpected might happen and you need to stop service for a while.

Sent from my Toshiba Thrive
 
How is the new cell service going to be any different than the others out there? Without having an advantage they will not create any real market share.
 
This is disappointing. I thought they were going to use the spectrum for the ability to bundle a TV/Internet package for those who can't get broadband, not another cell-phone company.....:rolleyes:
 
I can see them giving the internet over the cell towers a shot as well, with a cap like the cell companies of course.
 
I can see them giving the internet over the cell towers a shot as well, with a cap like the cell companies of course.

This is actually already being done by others (Which isn't to say Dish won't try to get in on it also). A couple years ago when I cancelled my cable Internet due to rising prices, I bought this little thing that looked a lot like a flash drive, that I plugged into the USB port on my laptop, that let me access the Internet through cell tower connectivity (For a monthly fee, of course). The carrier I used was Virgin Mobile (Which use's Sprint's towers), and it was much slower than advertised and cut out constantly. The whole experience was highly reminiscent of being on AOL circa 1996 using a dial-up modem, if not worse. The good news was, it was no-contract, so I only dealt with it for 6 months so I could sign back up for cable Internet as a new customer and then switched back.

At the time, at least, Verizon was also offering something similar, but it required a credit check and a huge upfront payment, large monthly fees, possibly a contract, and had a very low data cap, so I didn't do it.

Anyhow, even though my experience with Virgin Mobile was bad, I could see a "Home Internet through cell towers" thing working out, especially now that 4G towers might be in play (Allowing faster connectivity). The potential problem is that you only have so much bandwidth on a tower, and things you'd do on a computer or an Internet-connected device that hooks into your television tend to use a lot more bandwidth than what you'd use on a mobile phone (even a smart phone). So, you'd have caps that people hit almost instantly ticking customers off, or higher/non-existent caps that would congest cell towers and leave a lot of both phone and home Internet users constantly being disconnected or finding themselves unable to connect to begin with. It's probably a losing game unless they can get cell towers that can handle *a lot* more bandwidth than today's cell towers. I don't know enough about technology to tell you whether or not that's possible, but if it's possible, it's probably expensive, which means such a service might have trouble competing on price with cable Internet, FIOS, etc..

If they can find solutions to the obstacles involved, though, I think there'd be a lot of interest in such a service. People could take their home Internet with them where-ever they went (as long as it had cell service)- surf the web in the park, a restaurant without wifi, a friend's house without wifi, bus stop, whatever. Then again, smart phones might already be enough for people on that front- though many of us can't afford smart phones, so there could still be a market. I don't know, it's interesting to think about.
 
Dish has to be competitive against DSL and cable along with satellite broadband that offers 10+MB internet speeds now. Perhaps they could receive through the satellite and send back through the towers. If they cannot compete on price and product quality then they do not stand a chance. Period. I think if they offered a similar service with good triple play bundling then they might stand a chance. This may help them keep the customers that they acquire to help build their customer base instead of holding steady or slightly lower in the sub base counts. Perhaps they can offer television through the cell towers without a satellite dish required any longer which may attract subscribers that do not want satellite dishes on their homes.
 

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