Wireless Phone Service Providers Could See Facebook and Google as Competition


Thu, Apr 10th, 2014 11:00 by capnasty NEWS

It looks like both Google and Facebook are planning to compete with wireless providers by using their own services. On one end, you have Google, with their expanding Google Fiber, which would provide voice services by relying on "on Google Fiber Wi-Fi hotspots for data connectivity and for VoIP calling." On the other side, you have Facebook, which has now launched in Europe a WhatsApp SIM card offering "a mobile data and mobile voice calling package of 600MB and 600 minutes," for a nimble $14. This may also tie in as to why Facebook is pulling its chat feature away from their main app and forcing people to shift to Messenger.

Could this be an important part of why Facebook bought WhatsApp? There has been plenty of speculation about how Facebook might launch a smartphone, but what if it actually intends to challenge mobile operators directly as an MVNO by using WhatsApp as its proxy?

WhatsApp plans to roll out voice over IP services, which would essentially turn the app into a sleeker version of Skype. In near future, Facebook might be in the business of offering cut-rate, bundled voice/text/data packages to consumers looking for cheap alternatives to traditional mobile contracts.



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