T-Mobile Germany “Reconsidering” VoIP Strategy; Skype Stripped From N97

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T-Mobile Germany “Reconsidering” VoIP Strategy; Skype Stripped From N97

When the iPhone application for voice over IP provider Skype was released in late March, T-Mobile Germany vowed to block the app, both physically and contractually. But it looks like the carrier is rethinking its entire approach to VoIP, according to the FT Deutschland, which reported that both Vodafone (NYSE: VOD) Germany and T-Mobile Germany were considering offering special VoIP plans. A T-Mobile Germany spokesperson confirmed with us that the carrier is indeed “looking at different ways of dealing with VoIP,” but said it was “too early” to say if that would include VoIP-specific monthly plans. He also said that despite earlier threats, T-Mobile Germany was not blocking Skype or any other web clients.

Still, its clear that the carrier is unsure how to tackle VoiP. T-Mobile Germany plans to launch Nokia’s flagship smartphone the N97 sometime this summer, but while Nokia (NYSE: NOK) has a deal with Skype to preload its client on to the new devices, the app will not appear on the T-Mobile Germany versions. The carrier’s spokesperson said, “The deal is between Nokia and Skype, but it is up to us to decide what is on the [device].” He added that it would be up to subscribers to decide if they wanted the app, and if they did, they would be able to download it to their phones as the N97 is VoiP compatible. He added by not putting Skype on, subscribers could choose from a number of VoIP apps, and not be limited to just one.

Of course, much of the battle with most mobile apps is getting it on the phone. Consumers are much more likely to use a pre-loaded app once its already on there, rather than hunting it out and installing it. Judging from the backlash the carrier got, its efforts to “reconsider” VoIP is more likely a more finely-tuned PR message around consumer choice, than real support for it. It certainly is a better message than their earlier stance on cutting off VoIP users: “Those who violate their contracts can expect to have them cancelled. It’s the same with any contract. If you rent a no-pets apartment and expect no one to notice your little dog, you can’t be surprised when your landlord comes knocking.”

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Dianne See Morrison May 14, 2009 6:11 AM ET

Posted In: Companies, Nokia, T-Mobile, Vodafone, Countries, Europe, Germany

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Robert Syputa

Voice has been dwindling in importance in 3G networks as packaged and unlimited plans have gained prominence and as 3G data and SMS have provided expansion of ARPUs.

The VoIP issue focuses attention on the major difference between current generations of wireless and NGNs. Either LTE or WiMAX institute open development platforms and IP communications to mobile networks that are impossible for operators to restrict in the face of competition that pushes top-side applications and bandwidth. To coin Marshall McCuen famous montage: "The media is the message… but its important to understand that the mobile network it is being sublimed into the personal experience".. people are the network. IP that has facilitated open communications, a proliferation of applications, and has provided the platform to spawn viral networking, cloud computing, and anywhere on-line search, supplants the importance of the discrete technology network.

This is a juggernaut that is inevitable because it is more efficient and empowering, not because the physics work right. That is the means. People communicating is the ends. The limitations on VoIP will be met by competitors who figure out how to get around them or who offer alternative plumbing of networks. While the state-sanctioned monopolies on spectrum remain a major advantage, there becomes more motivation to exploit the new paradigm than obstinately try to maintain the old.