I-Mode from MTS - a little reflection about technology

I-Mode from MTS - a little reflection about technology Official announcement of the launch I-Mode in the MTS network took place on September 14, at the same time on sale there and the telephone. As an anticipatory publication, an article appeared Basil Kuzicheva, Development Director of MegaFon-Moscow ", which is on the run I-Mode in the Russian reality puts an end and in the process a little promoted innovation in MegaFon. You can read the material here. From the perspective of business ethics publication of such material against competitors is only possible on the company's internal resources (intranet is generally a collection of such harsh sentences and correctly configured for each company). But the mass mailing of articles to all the journalists looks extremely questionable move and shows that the launch of services still Megaphone touched a nerve. Voluntarily or involuntarily, but the material Kuzicheva caused a storm of debate, which in all its glory manifested themselves as supporters of the technology and its opponents. Especially taking a little time to reflect on the arguments on both sides, forced to admit that there is a rational core, and there, and there, but vce fixated on the technology itself and not pay attention to how I-Mode will be fed a normal user. After all, those who discusses i-mode today, wittingly or unwittingly are relevant to the field of mobile communications and the same article Kuzicheva aimed at a professional audience, or a keen interest in communication. However, to see the hot debate is enough to go into cells, where the whole spectrum of opinions.

We have repeatedly written about the i-mode, so that regular readers could form their opinions, we recall our stories:

  • i-Mode: What you did not know, but hesitated to ask
  • MTS i-mode: Dinner is served, or an egg on a plate Samurai Mobile-Review
In the latter material Sergei Potresov reached conclusions about whether it would be in demand this technology and that will affect its perception. I will not repeat those thoughts and try to go the other way.

Advertising I-Mode. MTS company plans to promote the technology I-Mode, as such, promote the convenience of services, promote them as innovations. Fixing on the technology, marketers address a MTS advertising to technical, advanced audience already knows what I-Mode, ever heard the name. At the same time, they face the challenge to advance technology for all customers, creating massive demand. Ordinary man in the street of the advertising message does not recognize the need to purchase a new vehicle, and if they read the text in small print, it does not understand what the need and the deep meaning of the change of mobile phone that it already has. With a focus on convenience services, MTS own hands create the effect of "trick" the user. Consumer and would like to try the service, but the change of the phone makes it too easy solution. Venture to suggest that, faced with the inefficiency of advertising services, MTS will transfer focus to the promotion of specific phones, will advertise the quality of the screen, camera, etc., plus services to I-Mode.It is safe to assume that the second phase will begin in December, when the first has exhausted itself.

Phones I-Mode. All phones with i-mode are sold only in the offices of MTS or at retail Svyaznoi. There are currently 5 models available (two NEC, two Samsung, an LG), and 4 of them are made in the clamshell. Variation in prices from 5,290 rubles to 11,990 rubles (Samsung, of course, the most expensive). Oriental roots services necessitate the use of appropriate origin phones. For example, Motorola found it unprofitable to supply phones to the MTS, although the manufacturer has always differed a reasonable price policy and was ready to negotiate with customers. It can be concluded that the phone providers put in unequal conditions. For example, NEC is the main supplier of the respective terminals. Indeed the company has the most experience in the field of i-mode, and it became a major partner of MTS, with the help of compatriots from NTT DoCoMo. The share of NEC in the Russian market to the cooperation with MTS as high as 0.01 percent, which can be compared with the position of Sharp (vanishingly small player). After the start of cooperation the company without spending will reach 0.05 percent of the total number of terminals sold. Given that all infrastructure equipment and software also comes NEC, it becomes clear - the terminals are nice supplements to the basic sales and more.

Samsung participation can only be explained by one fact, the company needed a project carried out with Russian operators. Those volumes of supplies that go to the MTS does not justify the cost of localization phones, launch them into production for a single operator. Plus, we can mention the exorbitant appetites of MTS on joint advertising (up 30 percent of the unit). Distributors such deductions on advertising does not even dreamed of, and willingness to pay the producer reveals his fundamental interest in the project (but not in the long run, but only in a specific implementation - a sort of line in the record). Suffice it to say that in the end, Samsung will act as a supplier of phones for a competitor of MTS, with entirely new services and tariff plans. There is also at the forefront desire to get implemented the project, not to sell a small number of telephones for the manufacturer.

LG is aggressively trying to increase its presence in the market and is ready for this to go on a very large concessions. Actually, since the company was caught in a pool of providers i-mode solutions.

Now let's think together about what is a constraint for the development of i-mode in Russia? The first is the presence of the terminal, without them you can not use the service. What makes the MTS for the saturation of the market such terminals? The answer - nothing. Of course, the president of MTS Vasily Sidorov at the press conference noted that his company is investing in the purchase of significant amounts of terminals. But there is always a little wickedness: for MTS significant amount relative to the terminal, probably, considerably less than the usual turnover of distributors that sell GSM-phones. Expanding the range of phones is possible due to production NEC, other manufacturers with an increase in purchases (same as Samsung) will not play by the same rules and give the appropriate amount to the promotion of devices. Especially because instead of promoting specific phones MTS plans initially to spend money on promoting the service that does not suit manufacturers (except, again, NEC).Would be justified even sharp decline in the cost of handsets due to advertising money and donations (30-40 percent), then the model would be interesting to GSM-analogues and would buy them primarily as telephones, and secondly accustomed to i-mode service . Problems otvyazki phone from the home network in case of i-mode does not exist, because then the user is deprived of all communication facilities (WAP No, GPRS-only MTS, set to be another network). You can also recall that for the NEC at the moment there is no means for unlocking devices to the network of another operator, that is, once sold the unit will still be used in the MTS. It turns out that the unit i-mode is an ideal carrier-phone, but realize that in the MTS for some reason could not.

No phone traffic growth on the i-mode resource will not, obviously. MTS company has already established itself as the "experts" expectations of ordinary consumers as to the terminals. It suffices to recall the experience of MTS with their phones late last year. Scope of delivery to the MTS was 30,000 vehicles, and PR-service companies to report on sales by year's end, hundreds of thousands of pieces (I'm afraid to make a mistake, but fixed number of 300,000 pieces). Merrier was observed throwing Market MTS managers who have tried to attach unsold phones distributors. Eventually, the phones were given on consignment, batch size from 100 pieces. Experience is negative, and, apparently, the company strives not to repeat it, and therefore gave the sale at the mercy of the network "The Messenger". Forecast sales until the New Year from MTS is one hundred thousand terminals. In my opinion, is to divide the purchase of the company, which is equal to this number, and retail sales, which will be considerably less.

Vicious circle. No phones no service, no service no traffic and no traffic no money. MTS company in the chain could not keep even the first point, any further action, in my opinion, will attempt to correct the initial assumptions and errors. By the time the realization that service is not for sale, as planned, users have already formed a negative opinion, for the overcoming of which require the use extraordinary measures, and investments.

About i-mode. Apologists technology stiffened its novelty, convenience, unlike anything that existed until now. One of the experts MTS couple of months ago for an hour to convince me that i-mode is "our everything". Proposes to open a forum on the site to experts MTS could preach there technology, post your thoughts. Proposal to open a forum as a section of the MTS (forums companies this type of advertising), understanding is not found. The argument was terrible: "They understand [the readers] that it is advertising." As the saying goes, no comment.

Differences from a wap service i-mode purely external information is more streamlined, readable, more applicable in practice. To do the same for the wap-site no problems, it is a question of desire and time. Given that the wap-site operators have evolved as a residual, and without an understanding of "who cares", then the i-mode-one wins. The question arises only in how i-mode is necessary today? After the appearance of the second version of wap enabled read xHTML-pages, and use Opera Mini or a similar utility does need wap-browser doubtful (full Internet on your phone screen is a very powerful thing).Based on the total transition operators on the EDGE, the emergence of mass exploitation phones with wide screen displays, the normal Java support and as a result, programs in the style of Opera Mini, the need for a stripped-down Internet disappears. Number of resources i-mode does not play a role: logos, images and melodies is quite possible to find a free online and then save to phone, synchronize with your PC has become common place (in Japan is really small personal computer, and the work of messing with the phone number is not accepted, We also are the norm). Hence, in the Russian realities need to build a business of providing exclusive information not available through other channels. Can you think of such services of more than 5? Personally to me it's hard to do.

All of the above points to the fact that i-mode service is a good alternative is gradually retreating into the background wap, but not revolutionary technology. Invest the money in the product yesterday, MTS will have PR-activity proving its attractiveness and justification. For investors, the same PR-statements do not play a role, their interests lie in the figures. I sincerely do not believe that those actions that are taken today, MTS, will lead to an increase in the popularity of i-mode in Russia. MTS company arranged her expensive PR, but in the long run - the need to explain to customers why i-mode is not taken root in Russian soil.



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