re: Verizon & The Beast ("VZW with MSN" Service).
>> Microsoft And Verizon Join Forces On Wireless Data
Jay Wrolstad
Wireless NewsFactor
May 23, 2002
IDC analyst Keith Waryas told Wireless NewsFactor the new alliance between Microsoft and Verizon sets the stage for the bombshell expected when the two companies sign an agreement to focus on the business market. 'When that happens, Verizon will be in a strong position to be the default provider of wireless data service for enterprise.'
Microsoft (Nasdaq: MSFT) and Verizon have joined forces in a manner likely to have broad implications for the U.S. wireless market. They have agreed to deliver mobile data services based on the MSN platform to Verizon's extensive customer base.
The world's biggest software company and the leading wireless carrier in the U.S. plan to develop and market wireless data services and content, next-generation Windows-powered devices and enterprise software , they said.
In other words, MSN will become the default wireless data service for Verizon Wireless.
A multimillion-dollar marketing campaign for the "VZW with MSN" service will launch Friday, according to Verizon Wireless spokesperson Jeffrey Nelson.
The platform will be offered to all of the carrier's customers who have Web-enabled phones.
"This is a defining moment for us," Nelson told Wireless NewsFactor.
According to Nelson, MSN is the leading Web portal, although there are those who would dispute that claim. Nelson said the MSN portal and "the top name in wireless service" will be aligning their technology and brands.
Currently, about half of Verizon Wireless 30 millions subscribers have Web-enabled phones, Nelson said, and the new portal initially will provide these users with services that include instant messaging, Hotmail e-mail and .NET enterprise software.
For Microsoft, the alliance delivers a broader audience for its services, Microsoft product manager Lisa Gurry told Wireless NewsFactor. "And Verizon Wireless, in turn, gets access to our audience, including millions of messaging and Hotmail users who can use a familiar address to communicate on their Web-enabled phones, she said.
Bombshell Ahead?
IDC analyst Keith Waryas said the implications of the deal go far beyond the consumer.
"Verizon has an incredibly strong customer base, and the fear in the wireless industry is that the North American market will fall to Microsoft," he told Wireless NewsFactor. "If the market is driven by business, Microsoft has a big advantage with their installed base."
Waryas said the new alliance, aimed primarily at individual wireless subscribers, sets the stage for the bombshell expected when the two companies sign an agreement to focus on the business market.
"When that happens, Verizon will be in a strong position to be the default provider of wireless data service for enterprise," he said.
Hard And Soft
The deal will involve the development of devices as well.
Noting that the deal is an exclusive alliance, Nelson said the two companies are committed to developing Windows-based smartphones and PDAs with service linked to mobile Outlook applications.
Verizon Wireless offers Web services for US$6.95 per month to its customers with the appropriate devices, Nelson said.
In addition, the carrier currently is offering a promotion of $40 for 300 daytime minutes, unlimited nights and weekends, and the mobile Web connection. <<
- Eric - |
