AT&T hires third party to manage new device program
Published: 11 May, 2009
READ MORE: AT&T
AT&T has been one of the most vocal operators in recent months about broadening the range of devices it supports on its cellular networks, expanding from phones into netbooks, consumer electronics gadgets and a host of other products in future. Now it has hired a third party, Jasper Wireless, to help turn this into reality by creating new billing plans and easy activation techniques.
Jasper will handle functions such as provisioning and billing for the new devices so they can be connected immediately they are purchased, says NetworkWorld. The usual process of cellphone credit checks, and waiting to receive a number before going live, will be inappropriate for products with embedded connectivity such as camcorders, digital photo frames or even wireless dog collars, said Jasper.
This agreement is not restricted to consumer products either - Jasper will handle the same functions for machine-to-machine applications such as sensors and smart grid meters, as this revenue stream starts to become significant for all US cellcos, with many M2M functions shifting from very low data rates to 3G-class connections.
AT&T has already appointed Glenn Lurie to run its new emerging device program and set up a unit dedicated to this last fall. It aims to use its major retail presence to drive higher uptake of new wireless gadgets and services, helping push US citizens towards multiple subscriptions and the sort of 200%-plus wireless penetration now seen in Japan. But the structure of service plans and customer support will be very different in the multi-client world, and even more so in M2M, especially with disruptive operators like Clearwire moving towards flat rate tariffs that cover several open devices in one subscription. This is where Jasper's expertise comes in, as it helps set up specialized service plans geared to emerging products, and also monitors these connected devices in the field.
"By doing this with them, we're going to be able to do this very, very quickly," said Lurie, who said AT&T already has deals with several manufacturers, as yet still unnamed. The deal with Jasper will be exclusive for "several years" and both will collaborate to accelerate AT&T's process of getting its SIM cards integrated into partners' products, so they can be sold with AT&T services and in AT&T stores. In other words, smartphones and netbooks may be moving towards open access, where the consumer has a free choice of networks, but in these gadgets where connectivity is tightly integrated through the SIM card, the old cellco lock-in can be preserved (though admittedly less obviously to the customer, especially in models like Kindle's on the Sprint network, where the cost of the wireless access is merely bundled into the overall fee).
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