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The continuing lure of free phone calls

Verizon just made an announcement that they’re going to be offering free Skype-to-Skype phone calling on its 3G phones starting March, 2010. Even my lame Curve 8330 will be able to make those calls. Similarly, AT&T/iPhone has backed down in its argument against Google Voice and they’ve even opened up the platform for the SlingPlayer to stream video over the device.

Are we living in a topsy turvy world? Carriers are willingly allowing applications go after their core revenue model (phone minutes) or eat up their bandwidth (streaming video). For years, in the age of the “anybody can do anything” Internet, carriers have done an excellent job controlling their network: what goes on it, how people use it, and how they charge for it. With the proliferation of smart phones with direct Internet access that can use VoIP services, access to calling plans that undermines the carriers’ pricing (even free) is just an application download away.

In an app-enabled mobile world how long can carriers hold onto their old pricing mechanism for consumers? They can only block Google Voice and Skype for so long. You remember the old adage, the customer is always right? Well, in this new mobile world, the customer is calling the shots. And if you want to keep them, you better revise your revenue model.
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