If 5 years ago, someone would have told me that they were building a new mobile operator in France, I would have though they were crazy.
It takes an amazing amount of resource, energy, money and time to build an infrastructure that supports modern technologies.
On top of that, you need to get the license from the French regulatory authority (ARCEP).
But that is the exploit that Xavier Niel, CEO and owner of Free, #2 ISP in France, has achieved last week.
In launching Free Mobile, Xavier has not only created the 4th mobile operator in France, but he as also put on the market the best offer possible:
Less than 20€ for:
- Unlimited calls to 40 countries (USA & Canada) included
- Unlimited SMS
- Unlimited MMS
- Unlimited Internet (3GB on 3G/4G and unlimited on Wifi)
Their offer is 2.6x cheaper than the cheapest comparable offer, and without any contract!
Xavier has, once again, disrupted the market!
Once again because Free has been disruptive since day 1.
Offering free landline internet connection without surcharged number in 1999, Free moved towards ADSL and in 2002 was the first worldwide to launch the “triple play” offering with the Freebox.
Since then, Free has been pushing the boundaries both in terms of business model and technology.
We’ve heard a lot about “social media” and other ways to “engage” the consumers.
Well, Free has been betting everything on providing the best product at a price way below their competitors.
It’s been paying off and it created a lot of “following” from their users.
And of course, Free rewards their Freenauts (name used for Free users), with a free mobile connection (60mins+60sms) and a rebate of 4€ on the full package.
Now that Free opened the “pandora’s box” in France when it comes to the real costs of mobile, it will be hard times for other operators in France.
The interesting thing is that it seems that the French market has been quite isolated and international media have kept fairly quiet about the company until their mobile announcement.
Being featured in international magazines such as The Wallstreet Journal will definitely bring more spotlight on the French company.
Interesting times for the global mobile ecosystem!
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“you need to get the license from the French regulatory authority”.
The telecom license isn’t a problem, it’s receiving frequencies ranges from the french governement which was hard ! (and is even harder now).