Verizon Opens Up, Follows Google

Open platform and now Open Network. Off late, I have been hearing only Open, Open and Open! Today Verizon announced that they are going to open up their network to support any device, any app on its network. This is something revolutionary in the telecom world. I guess Google can no more claim that they are the only ones to support Open world. So, did Verizon open up their network because of the pressure from Google’s open handset alliance or the upcoming 700 MHz auction? It’s too early to conclude anything here. Just couple of months back Verizon sued FCC over open access (later withdrew the lawsuit). A better part of me still feels this is more of a PR stunt. Why in the hell would Verizon want to be a dumb pipe? In addition, open API's access for third party developer coming from an operator is something way too much to digest. All that said if they can deliver what has been promised, it’s going to be great start for innovation in telecom world.

Here are the highlights of Press release from Verizon

In early 2008, the company will publish the technical standards the development community will need to design products to interface with the Verizon Wireless network. Any device that meets the minimum technical standard will be activated on the network. Devices will be tested and approved in a $20 million state-of-the-art testing lab which received an additional investment this year to gear up for the anticipated new demand. Any application the customer chooses will be allowed on these devices.

This is a transformation point in the 20-year history of mass market wireless devices – one which we believe will set the table for the next level of innovation and growth,” said Lowell McAdam, Verizon Wireless president and chief executive officer. “Verizon Wireless is not changing our successful retail model, but rather adding an additional retail option for customers looking for a different wireless experience.

So what’s in store for consumers:
• Consumers are free to buy phone from any distributor and use it with Verizon network. Freedom to choose from different handset model.
• No more blocking of video or mobile VoIP calls from mobile. Good news to all the mobile 2.0 and mobile VoIP startups.
• Consumers may have to live without the subsidized version of mobile phones that were given by the operators for almost free of cost, off course with a 2 year agreement. I never had an issue with that; I love the free phone option. Don’t really care about the agreement, as long as the service and network coverage is good. ( not sure if the subsidized version of phones shall be scrapped )
• For all those iPhone freaks, this is good news. Apple are u listening! Please, we want iPhone for CDMA network.

So what’s in store for developers and startups:
• Build innovative applications and market directly to the users. No threat from the operator. It’s a direct sell between startups/developers and the consumers. If consumers like your product, you win. You don’t need operators blessing to launch your app. I guess this is a huge opportunity. Operator’s acceptance cycle usually takes somewhere between 12-18 months.
• Using the API’s, developers shall get access to most of the operator’s network resource. ( I’m still skeptical on this, only time will tell the other side of the story)

I’m still wondering where does this leave QualComm? They have to open up their platform for this entire open network strategy to become reality. Boy,u need their blessing to develop apps on handset. CDMA is Qualcomm.
Check out Om’s Insight on this whole Verizon open network. I love the way Om brings out certain points.