WashTimes. CEO touts phones with global reach
By Kristina Stefanova
THE WASHINGTON TIMES
. Blake Swensrud II, chief executive officer of
International Mobile Communications Inc., has a
soccer-ball-sized globe in the waiting room to his office. He
wants his customers to know just how small the world is
--especially if they use his phones.
Although they are expensive, wireless phones that can be
used in several countries are in high demand by large
businesses, aid organizations, news agencies and wealthy
travelers. And Mr. Swensrud, 38, has been selling service and
renting equipment that bridges the distance since 1996, shortly
after he returned from a business trip to Copenhagen.
While in Denmark, Mrs. Swensrud called her husband at
his hotel. The operator said there was no such person.
Eventually, Mrs. Swensrud spelled the name, and the
operator responded, "Ahh, Mr. Svensrud," using the
Scandinavian pronunciation.
"It was intimidating and embarrassing for this man to be
telling my wife how to pronounce her own name," said Mr.
Swensrud, who is a fourth generation Norwegian. "So she
stopped calling me when I traveled."
The conversation got Mr. Swensrud thinking how useful it
would be to have one phone number for his trip, no matter how
many countries he traveled through, and soon the idea of
starting IMC became reality.
Mr. Swensrud said it was not hard to start IMC, which is
also known under its trade name WorldCell. He already
owned International Technology Consultants, a consulting
company for wireless phone equipment supplies, so he had all
the right connections.
In its first year, IMC provided services in 25 countries. That
number has since quadrupled. Europe, Asia and the Middle
East are the primary areas IMC covers and, starting next year,
services will also be available in Latin America.
Phone-rental fees are $75 for the first week and $50 per
week after that, although there are longer-term rates available.
Average per minute calling costs to the United States range
from $1.98 in Italy to $7.95 in Moscow, for example.
"There is a market for something like that, although it's not
hard to get a phone wherever you go," said Larry Borgman, a
telecommunications analyst for Josephthal & Company in New
York.
Mr. Borgman said cell phones are now available at every
car-rental place around the world, too.
But phones acquired in different countries require separate
billing. Also, a different phone and number has to be used at
every border crossing. Although the European Union has a
standard frequency allowing the use of a single phone
throughout its countries, a traveler in Asia would need another
phone.
IMC's advantage is that one phone with a single bill works
in over 100 countries so flying from France to Japan does not
mean the traveler would need a new phone.
"It's a niche market -- most people don't want to keep
cellular accounts around the globe," said Robert Wilkes, a
telecommunications analyst at New York-based Brown
Brothers Harriman.
IMC is able to provide its service by having contracts with
one or more wireless companies in each of the countries where
it provides service. Yet the customer only deals with IMC,
which works with its local contractor to fix any problems.
Such single-phone service is very important to businesses,
media and aid organizations, Mr. Swensrud said.
"We just got a call from the CEO of the Red Cross
thanking us [our service]," he said, referring to the recent
earthquake disaster in Turkey.
During the Kosovo crisis, major media outlets, including
The Washington Times and The Washington Post, and aid
organizations gave IMC most of its business.
IMC advertises via mail and travel agencies. The company
has contracts with about 25,000 travel agencies throughout the
United States.
"The question travel agents ask their clients increasingly is
not only 'Do you need a hotel or car?' but also 'Do you need a
phone?,' " Mr. Swensrud said.
The increasing demand for overseas wireless services is
reflected in IMC's revenues. Last year the company brought in
about $5 million in revenue, which is projected to rise to
between $10 and $15 million this year.
IMC has more than 30,000 customers, some of which have
yearlong contract and others who call a day or two before they
travel and need a phone only for a few days or weeks.
In the short time IMC has been around, its staff has
collected a few interesting stories about clients and their
phones.
Mr. Swensrud recalled a client who was in Russia --
Moscow or St. Petersburg -- whose room was invaded in the
middle of a winter night. The client, a man wearing only his
boxer shorts, woke up from the noise coming from the door,
grabbed his phone and jumped out the window. He then called
IMC. They contacted the U.S. Embassy in the city and had
someone go pick up their client.
He does not have such stories about his own travels, but at
least Mr. Swensrud gets calls from his wife when he goes
abroad now.
Copyright ¸ 1999 News World Communications, Inc. |
