A Premium Nightmare – A critical look at the US mobile VAS-industry

An analyst at Strand Consult has claimed that the European model for Premium VAS is far better than the Japanese one, and goes on to say that the US is following the Japanese model (in fact, he states a content provider in the US is currently enjoying the same level of freedom as the editor of a North Korean newspaper). The writer prefers the open garden approach to the walled garden approach – as do I. Telcos are designed specifically to connect people with other people, or with other businesses. They’ve never been in the business of connecting customers to themselves, and the Internet experience has shown that while they might be able to offer portals customers are willing to go to, most people spend a vast majority of their time in the free Internet. Why do telcos think their mobile operations should be any different?

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