Mobile Social Networks: The Cluster Effect

A slightly naive but decent analysis of mobile social networks and what would it take for them to take off…and a rip against Helio’s high pricing. “Successful social technologies requires cluster effects. Cluster effects require everyone within a particular social cluster to be able to play. If 20% of your friends can’t play because their phone/carrier won’t let them, the end result is often that NO ONE plays. Of course, there’s a tipping point where people buy a new phone or switch carriers, but that tipping point is hefty and right now, it’s for things like SMS not neuvo apps. Switching carriers is even uglier – it requires a huge drop in price.”

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