Category Archives: News

Ruslan Kogan took on ispONE and won

Ruslan Kogan

Quintessential Aussie entrepreneur – Ruslan Kogan

Last month the online retailer faced backlash from consumers who were unceremoniously dumped from the network with little warning because they ‘used up too much data’. It turned out the the dumping was not being done by Kogan Mobile, rather by their wholesaler ispONE.

Kogan Mobile follows the MVNO model under which they own the end customers but not the infrastructure. The infrastructure is supplied by Telstra via the wholesalers like, you guessed it, ispONE. Legally the wholesaler should have nothing to do with the end users, but in this case ispONE communicated directly with users who exceeded a monthly data limit and kicked 600 of them off the network.

While customers railed against Kogan, the MVNO hauled ispONE to court for breach of contract. And won. The judge ruled the wholesaler did not have the authority to suspend user accounts. As a precautionary measure Kogan have modified their end user terms of service for all users to limit daily data usage to 400 MB on ‘Unlimited’ plans.

Mobile wholesale business runs on the assumption that most people don’t use up all their available quota. But usage patterns are changing. According to Cisco average data usage is already 342 MB a month and expected to hit 2.6 GB in 5 years. Businesses will have to work out alternatives if they want to remain profitable in the long run.

Click to see all Kogan Mobile plans starting from the free SIM with $100 in credit to Unlimited plans with 6GB data valid for 365 days.

Whats up at WhatsApp?

WhatsApp

Rumour: WhatsApp may be Google’s next billion dollar acquisition

WhatsApp is the popular cross platform messaging service with subscribers in over 100 countries and 700 carriers. Rumour has it that Google is looking to buy the company to fast track growth in the messaging space.

The app’s popularity stems from the fact that it uses cheap data to send messages rather than expensive SMS. And it is surprisingly robust with little down time and near-instant communication. To give you and idea of the numbers involved, almost 7 billion messages were sent over WhatsApp on New Year’s Eve.

The four-year-old company is based in Santa Clara, Calif., was founded by Brian Acton and Jan Koumis, both former Yahoo employees.

So why would Google want WhatsApp?

1. The search giant is expected to launch Google Babble or Babel – a mashup of all its messaging tools across devices and platforms. Google’s own messaging app GTalk is limited to Android devices and doesn’t have the reach of WhatsApp. But the underlying technology driving WhatsApp is very similar to GTalk making it likely that Google will eventually want to merge the two services under a single Google brand.

Plus with a huge established user base across mobile platforms, WhatsApp will give a much needed boost to make the service immediately relevant on mobile.

2. Like Google Maps, WhatsApp can give Google access into non-Android devices particularly iOS.

3. WhatsApp uses the device phone number as the default password and that can be valuable information for Google when paired with personal data.

Compelling reasons no doubt, but does this make WhatsApp worth the billion dollar price tag? Hmm…

 

 

Kogan vs Amaysim. The battle of the SIMs.

Are we finally seeing the end of these ridiculous Cap plans? No, not yet. But Australian MVNOs like Amaysim, and now Kogan are a step in the right direction. Pay an access fee and get a fixed amount of voice/text/data.

SIM only contract free plans are becoming more popular as new handsets are released faster than ever. 2 year contracts make no sense when the attached phone is obsolete within 6-12 months of signing.

Amaysim was one of the first resellers to tap this market. It launched in Oct 2010 with aggressive no contract pricing and a big ad campaign reminiscent of a Willy Wonka chocolate factory churning out SIM cards.

Kogan Mobile is the newest kid on the block. This hugely successful online retailer, quietly released SIM only prepaid mobile plans over the new year. Plans start at $29 and come with unlimited calls and 6 GB data.

Let us see how they compare.

1. Plans

Both Kogan and Amaysim offer 3 plans each, but structured in very different ways. Kogan is prepaid while Amaysim postpaid.

Kogan Access 30 costs $29, comes with unlimited calls and text plus 6 GB data over 30 days. Anything else like international calls, texts, MMS requires a premium bolt-on for an additional $14.99.

 

Amaysim  Unlimited plan costs $39.90, comes with unlimited calls and text plus 4 GB data over 30 days. Anything else like international calls, texts, MMS is charged on top of the plan cost and shows up in the bill.

 

Plan name Cost Calls Data Term
Kogan Access 30 $29 Unlimited Calls 6 GB Data 30 days
Access 90 $79 Unlimited Calls 6 GB Data 90 Days
Access 365 $299 Unlimited Calls 6 GB Data 12 months
Amaysim As You Go PAYG 12c/min 5c/MB 90 days
Flexi $19.90 9c/min 500 MB, then 5c/min 30 days
Unlimited $39.90 Unlimited 4 GB, then 5c/MB 30 days

Kogan gets our vote for plan value and longer term options.

2. Network coverage

Kogan uses Telstra’s 3G network, not to be confused with Telstra Next G or 4G networks. Telstra’s 3G network is slower with typical download speeds of 550kbps-3Mbps and upload speeds of 300kbps-1Mbps. Telstra have been quietly migrating their own users to NextG from the slower 3G network. For Kogan subscribers a slower network would mean that using up the full 6GB of included data may be a challenge.

Amaysim runs on Optus’ 3G network. While speeds aren’t that much better than Telstra, at least it is the same as network as used by Optus’ own 3G customers. Optus is in discussion to open up its new 4G network to resellers, which means Amaysim may get access to Optus 4G sometime.

Kogan and Amaysim tie on this one. Kogan for Telstra 3G coverage and Amaysim for slightly better speeds.

3. Customer Service

Good customer service has always been a challenge for low cost providers. But thanks to budget airlines, mobile customers too have been trained to put up or shut up. That said, Kogan have a particularly poor record when it comes to service. For mobile users there is a phone number but response times are extremely slow and the best way to get a response seems to be their Facebook page.

Amaysim customer service has generally been decent, mostly online but well supported by an Australian call centre. Facebook is always the best option in a pinch.

Amaysim get our vote for customer service.

In the end it comes down to what you need. Kogan’s Access 30 with unlimited calls and 6 GB data will be more that enough for most. But if you are looking for customer service and potential 4G speeds, Amaysim would be the way to go.

Compare mobile plans from all Australian providers over at our main site.

Spreading ‘appiness at Vodafone Appaid

Lately wherever you turn someone is running a mobile app hackathon, but Vodafone Appaid was an application developer meet with a difference. The event held last week, brought together Australian charities and mobile application developers over 48 hours to create apps that help charities better do what they do.

We saw some truly innovative apps at the final presentation at the MCA on Saturday.

Guy Kawasaki, famous Silicon Valley entrepreneur and Apple evangelist, was one of the judges, along with Vodafone CEO Bill Morrow. The indomitable Dr Karl hosted the show effortlessly blending iSheep jokes with news from the Large Hadron Collider.

Here are some apps that caught our eye.

Winners - St John Ambulance and GoCatch

St John’s Ambulance (overall winners): Developers from GoCatch created a handy tool for volunteer paramedics on the road to help treat emergencies and communicate back with base in real time. GoCatch team are the brains behind an award winning taxi location app and they used these skills to develop an intuitive route management program for the St John’s paramedics.

2 Bob’s worth: Mobile app designed to encourage impulse volunteering. People with a bit of free time can use this app to scan their surroundings for volunteering opportunities on a map and lend a hand at their own convenience. Great idea but the developers weren’t able to run their demo for lack of time.

Star Dash: A simple game to keep kids happy and engaged while they battled illness while admitted in a hospital.

OzHarvest (overall runner up): Very useful tool to digitize the process of taking leftover food from restaurants and feeding it to the hungry. In 48 hours the developers created a mobile app for the restaurant owners to schedule pickups and a web-based backend for managing the pick ups.

Leukemia Foundation: A handy app to remotely monitor for patients undergoing treatment and help them report on how they are responding to various drugs.

There were many others and the judges were impressed with the quality of apps produced in a mere 48 hours.

“The concepts produced for App Aid were so impressive considering they only had 48 hours to come up with an idea. St John Ambulance proved to our panel that their idea could assist in saving lives on a state and a national level. The passion from the winning team was clearly demonstrated through their inspiring and convincing pitch.”

- Guy Kawasaki, on first place App

The only gripe with this otherwise well run event was that the teams did not get enough time to fully showcase their ideas. After 48 hours of non-stop effort they deserved more than 5 mins to describe and demo their creations.

 

New: Australian iPhone 5 plans announced

As promised Australian carriers started accepting iPhone 5 pre-orders today. Most carriers have chosen to keep prices in line with iPhone 4S plans from last year though overall plans have become a bit more expensive across the board.

The iPhone 5 pre-orders will be available in stores on the 21st of September depending on stock.

Telstra was the first carrier off the block to announce their pricing – premium pricing on Australia’s premium 4G network. On Telstra plans for the 16GB version start at $67/month on the $60 plan for a 2 year contract. The plan comes with $600 included credit and 1 GB data. This is a full $20 more than comparable plans with other carriers.

As you can see in this screenshot, iPhone 5 16GB is free on higher plans. The 32GB version costs $11 on the S ($60) plan, $6 on the M ($80) plan and free on L ($100) and XL ($130) plans. M, L and XL plans come with 1 GB bonus data for the first 12 months. 64GB iPhone 5 is $17 on Small, $12 on Medium, $8 on Large and $7 on XL plans.

For the past couple of years Telstra has run an aggressive customer acquisition program with very competitive pricing. But now that phase appears to be well and truly over as they move back into a premium pricing model. Plans with bundled phones start at $60 and the included value on the new plans has reduced by nearly 20% compared to what it was six months ago. The iPhone 5 is not available on any of the old ‘grandfathered’ plans and users must sign up to one of the 4 new (more expensive) plans to get it on Telstra.

Optus plans started from a more reasonable $48/month for iPhone 5 16GB. Best suited to light users, this $30 plan comes with just $200 credit and 200 MB data. At the other end is the $129 Plan similar to Telstra’s XL plan with unlimited calls and 4 GB included data.

Plans for the iPhone 5 32GB start at $52/month on the lowest $30 plan going upto $82/month on the $80 plan before becoming free on higher plans. The 64GB version will set you back $57/month on the lowest $30 plan going upto $108/month on the $99 plan before becoming free on the top plan.

Optus are still in the process of rolling out their 4G networks so users may not enjoy the advertised 25 Mbps download speeds initially. However new cellsites are going live at a very decent clip. Just today Optus announced that the Melbourne 4G network is now live, bringing the Victorian capital at par with Sydney and Perth ahead of the new phone release.

Vodafone plans are at par with Optus and Virgin, though we did expect them to be cheaper given the lack of a 4G network. Vodafone made some changes to their plans across the board – monthly costs increased by $1 on most plans, included data reduced for mid range plans, new bonus options like infinite text and free on-net calls on some plans and some changes to the SIM only plans. Overall the changes appear to match the overarching Australian trend of lowering value in mobile plans.

iPhone 5 16GB on Vodafone starts at $48/month on the $30 Plan, again best suited to light users, and goes to $60/month on the $50 Plan before becoming free on higher plans.

32GB iPhone 5 plans start at $52/month on the $30 Plan going to $58/month on the $40 Plan, $64/month on the $50 Plan, $70/month on the $60 Plan and $82/month on the $80 Plan.

Vodafone are the only carrier to offer 12 month iPhone 5 plans. This 1 year option does not come cheap but offers more flexibility; you could potentially be out of contract by the time the iPhone 6 comes around! The 16 GB version costs $78/month on the lowest $30 Plan – a full $30 more per month than the 24 month contract. At the top end it costs $120/month to get the iPhone 5 on the $100 Plan on a 12 month contract.

Finally we get to iPhone 5 plans from Virgin. As Virgin uses the Optus 4G network, users will be able to high speed data as the 4G network is rolled out to more regions in coming months.

Virgin have the best value plans – 16GB plans start at $47/month on Big Plan 29 and go to $89 for the unlimited plan with 4GB data. Unlike other carriers, the lowest plan is decent value with $450 included credit and 250 MB data.

None of the smaller carriers will be carrying the new iPhone, though we may start to see the 4S becoming available through other channels as the price comes down.

 

Rumour: iPhone 5 slated to launch on 12 September

Its that time of the year again. The silly season is here as we all speculate about the nitties and gritties of all things iPhone. On September 12 Apple CEO Tim Cook will play Santa and roll out the all new iPhone. It could be named iPhone 5 or go the iPad route as just the ‘New iPhone’.

Amongst other things the new iPhone is rumoured to have a 4 inch screen in a taller and thinner form, a ‘nano’ SIM and smaller 9 pin connector. The smaller connector is expected to be incompatible with all existing docks, so be prepared to shell out a bit for new dock adapters.

And if there is still room in your stocking a smaller 7 inch iPad is also on its way in mid October. More on that as it unfolds.

Update: Carriers have already announced their plans for iPhone 5. We’ve compiled a list of all plans here.

All your base are belong to us: Apple lists 8 Samsung devices it wants banned

Apple provided judge Lucy Koh with a list of 8 Samsung devices it wants taken off the US market as the biggest patent infringers.

  • Galaxy S 4G
  • Galaxy S2 AT&T
  • Galaxy S2
  • Galaxy S2 T-Mobile
  • Galaxy S2 Epic 4G
  • Galaxy S Showcase
  • Droid Charge
  • Galaxy Prevail

Apart from Galaxy S2 and S2 4G, none of the other models were ever available in Australia.

Interestingly the latest Samsung flagship smartphone Galaxy S3 didn’t make the list, possibly because it went into design after the legal murmurs first started. As we’ve said before Galaxy S3 is one of the best phones out there today and the one to beat for upcoming iPhone 5.

Samsung has already announced Galaxy Note 10.1 to replace the Tab 10.1 which was banned in an earlier ruling. Samsung sales may not be impacted by much at all even if the 8 devices are taken off the market, except it will be left without a 4G model.

And 1 billion isn’t that much to pay to be positioned solidly as the number 2 mobile company in a very crowded market. The fight is a long way from over between the two tech giants – both in the courts, and on the ground.