In an interview on Mobile World Live, Nicholas Constantinopoulos, President of FreedomPop, talked to interviewer Kavit Majithia about his company’s recent launch into the UK, a second test market after the launch in the US. Majithia was curious about how this launch was received by other operators in European markets. Constantinopoulos explained that the successful launches alleviated worries by some 25 markets in Europe; now that FreedomPop has proved it can make a profit, it is no longer looked at with suspicion.
In the United States, there has been a 48% conversion of free customers to paying customers. In the UK, this conversion rate is approximately 45%. This conversion proves the company can be profitable giving its customers free data; profits are made by selling equipment. Constantinopoulos’s feeling is that now that he has shown his company’s plan can work in developed markets, the company can move into undeveloped markets. For the complete interview, please see: http://www.mobileworldlive.com/mwc16-wednesday/interview-freedompop-president/
FreedomPop is an MVNO or mobile virtual network operator, a wireless communications service provider that has contracted with a mobile network operator (a wireless company) to obtain access to network services at wholesale prices. The MVNO then sets its own prices. In the US, the first commercially successful MVNO was Virgin Mobile, hosted by Sprint Nextel. https://en.wikipedia.org/wiki/Mobile_virtual_network_operator
FreedomPop was founded in 2011, and began selling 4G only hotspots in October 2012. In April 2013, the company partnered with Sprint. By October 2013, FreedomPop launched its beta free mobile phone plan that included voice, text, and data with your own device (had to be Sprint compatible). FreedomPop offers free phone service and makes its money from selling its own phones, tablets, and other devices. In 2015, FreedomPop started a nationwide WiFi program, which sells customers unlimited voice, text and WiFi for $5/month. In 2016, they launched a roaming SIM for free data abroad in the US and Europe. There are plans to expand into Southeast Asia and Latin America by the end of 2016. https://en.wikipedia.org/wiki/FreedomPop