Zer01 Mobile unlimited Voice/Data

New US cellular carrier Zer01 Mobile promises unlimited voice and data for $70/month
Zer01 will use VOIP over AT&T and T-Mobile's GSM networks and will offer plans without a contract.

Mobile | by Barb Dybwad | Fri Mar 13, 2009 11:25AM | 2 comments



A new mobile phone carrier is poised to launch here in the US with a unique model, planning to offer unlimited out-of-contract plans for unlimited data and voice calling on smartphones for $69.95 per month; another $10 monthly nets customers unlimited international calling to 40 countries. Like other mobile virtual network operators (MVNOs) Zer01 Mobile won't own its own cellular spectrum, instead making use of both AT&T and T-Mobile's GSM networks via interconnect or roaming agreements. All connections are made through the company's proprietary VOIP application, in which each device on the network receives its own dedicated IP address and tunnels through a VPN to reach Zer01's servers for routing.

Currently only smartphones running the Windows Mobile 6 operating system are supported, although CEO Ben Piilani reports that Android, BlackBerry, Symbian, Java and jailbroken iPhones will be able to use the service in the future. Although designed primarily to be used with unlocked phones brought in by customers, Zer01 plans to initially sell three phones from HTC: the Tilt, Touch Diamond and Touch 3G, with the Pharos GPS-enabled WinMo smartphones a possible other addition to the lineup. The company plans a closed beta for April, with a commercial launch date announcement coming on April 1 at CTIA.





To date, operators in the MVNO space have struggled. The playing field is littered with failures including Amp'd Mobile which closed its doors in July 2007, Helio who went belly-up in June of last year, Mobile ESPN snuffed out in December 2006 and Disney Mobile who went under in December 2007. With support for only a subset of US smartphones Zer01 may face some challenges reaching a wide enough customer base; on the other hand, smartphone users in this country currently do suffer from expensive data plans that leave many customers feeling gouged by the major carriers. If Zer01 can deliver on its as astonishing promise to provide good quality VOIP-based calling and data over the slower GPRS and EDGE networks as well as over 3G, the cheap pricepoint for all-you-can-eat voice and data might prove extremely compelling, especially for folks who don't appreciate being tied down to lengthy carrier contracts.

Update: We were contacted by Zer01 who would like it made more clear that they are not an MVNO, which implies wholesale reselling of another carrier's airtime. Since some network's signal must carry data between your phone and its servers, and only GSM phones are supported, logic leads one to conslude that either AT&T or T-Mobile's networks must certainly be involved here in the U.S., making the distinction somewhat semantic. However, the underlying technology and business model are different from a traditional MVNO.


This story around the web:
Trusted sources: New Carrier Promises Unlimited 3G Data, VOIP… [pcmag.com] New US MVNO Zer01 to offer unlimited data… [unwiredview.com] Zer01 is the new, contract-less MVNO that… [Engadget] A new carrier with an exquisite offer for… [phonearena.com] Get more information on topics relating to this story:


Related company news: Zer01 Mobile Related glossary terms: 3G, Android OS, Smartphone, EDGE, GSM, VoIP, MVNO, VPN, GPRS, roaming Related brand news: RIM BlackBerry, Microsoft Windows Mobile, Symbian Related devices and services: Apple iPhone 3G, HTC Touch Diamond, HTC Touch 3G, AT&T Tilt 8925, Pharos GPS Phone 600 Related event news: CTIA 2009
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