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The Wireless Outpost Newsletter Issue #12 Vol. 3

Wednesday, July 18, 2001

Another issue of the Wireless Outpost Newsletter. This newsletter is for the soon to be educated cellular phone user community. If you know of anyone else that may have an interest in our newsletter, make sure to forward them a copy. Now we move forward at Mach II speed!

[Note: This newsletter is delivered Bi Weekly on Wednesday.]

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TRACFONE CUSTOMERS READ AND BE ADVISED - IMPORTANT NOTICE
NEW YORK STATE POLITICIANS JUMPING THE GUN ON CELL PHONE BAN?
CELLULARPHONENEWS.COM ALMOST READY TO ROLL OUT
PREPAID CELLULAR TECHNOLOGY PATENT INFRINGEMENT SUIT!
CELL PHONE SHOPPING SERVICE TAKES A PLUNGE INTO DARKNESS
FCC's ONLINE BROCHURE FOR CELLULAR PHONE USERS
REGISTER YOUR CELL PHONE IN CASE IT IS LOST OR STOLEN
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TRACFONE CUSTOMERS READ AND BE ADVISED - IMPORTANT NOTICE

We have been informed that carriers have told Tracfone that they will no longer activate new analog phones as of September. Existing customers may be affected if you fail to keep your airtime cycles valid. If you are a Tracfone customer read this notice in its entirety.

Carriers have informed Tracfone that they will now only activate digital phones come September of 2001. If you are an existing customer, your analog phone will be a paperweight should you fail to activate airtime within the required airtime cycle which is generally 60 days.

Our understanding is that if your phone becomes inactivated because you didn't activate airtime per the 60 day policy then the burden will be on you to purchase a new digital phone with Tracfone service. We don't know how strongly this will be enforced but we do not anticipate any mercy. We would not recommend that you test the boundaries on this one.

First, make a calendar of when you need to have your airtime activated so you do not miss out on the renewal date. If your phone is inactivated, the carriers will not reactivate your analog phone. This means that you will have to pay full price for a new "digital" phone which is going to cost more than a standard analog phone.

The other option you have is to purchase the annual airtime card. It will save you the hassle of having to keep track of when airtime should be activated. You can purchase these cards from us at a discount of $97.00 per card (EVC Price) or from a local retailer at $100 per card.

This notice gives you about a month and a half, possibly two months before you will be directly impacted by this change. The changeover is going to have a major impact on distributors of these phones for approximately 4 months. That means that many of us won't be able to secure them for direct sales.

We are in the process of securing alternate sources of prepaid cellular phones and services. We purchase our inventory directly which will give us a priority over many of our competitors. The advantage being that we will probably have inventory available before most can hope to even see it as being a part of their product offerings.

Our intention is to continue offering the airtime cards and accessories for the analog phones offered by Tracfone. If you haven't already noticed, we added the accessories for all analog phones that have been offered to Tracfone customers. By the way, this will have an impact on our accessory inventory for the Nokia 252. Meaning that we will have excess inventory that we will have to move. We expect to do a clearance sale on the accessories. We will announce that in a separate email to our subscribers.

However, if you are an existing Tracfone customer and want to keep your service, then make sure to heed our warning. If you know of others who are a Tracfone customer then you should be neighborly and forward a copy of this newsletter to them so they can site the source of this information.

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NEW YORK STATE POLITICIANS JUMPING THE GUN ON CELL PHONE BAN?

Politicians are notorious for their campaign gimmicks. The ban on cell phones in New York State appears to be one of those. Why do we think that? Take a look at a study on cell phone driver distraction and where it ranks in distractions to drivers.

Top Causes of more than 32,000 traffic accidents analyzed by the UNC:

Specific Distraction/Percent of Distracted Drivers

  • Outside object, person, event: 29.4% 
  • Adjusting radio, cassette, CD 11.4% 
  • Other occupant in vehicle 10.9% 
  • Moving object in vehicle 4.3% 
  • Other device/object brought into vehicle 2.9% 
  • Adjusting vehicle/climate controls 2.8% 
  • Eating or drinking 1.7% 
  • Using/dialing cell phone 1.5% **** 
  • Smoking related 0.9% 
  • Other distractions 25.6% 
  • Unknown distraction 8.6% 
  • TOTAL 100.0 %

At 1.5% of all causes of cell phone distraction, you have to really wonder about the motive. Maybe to get some good PR with the voters of New York and the rest of the country? Being in the spotlight is a powerful drug to politicians.

One good thing that New York State did was to add email to their do not call lists though. That includes sending unsolicited email to wireless devices and cellular phones. Sending an unsolicited email could cost the spammer a $2000 fine per incident. Ouch!

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CELLULARPHONENEWS.COM ALMOST READY TO ROLL OUT

We have been working on it although it isn't quite ready when we said it would be. We have big plans for the website which should be fun. How does having a Mayor of CPN sound?

The Mayor will be the one who will answer general questions for the visitors to the CPN site. We will have a button on the website that says "Mayor's Office".

Questions, suggestions, and complaints can be sent to the Mayor's office. There will be four email addresses available to our visitors.

The Mayor's Office:
The Mayor supervises the overall function the CPN Webcity. You can send general inquiries, suggestions, comments, and even complaints about our webcity to this office. The Mayor is a busy person so allow for a couple of days for a response to be sent back to you.

City Planner:
The city planner is responsible for the technical details of CPN. If you have questions, find a broken link, or experience any technical difficulties, you can send your email here.

Sales Ambassador:
Looking for a key to the Great CPN Webcity? This is the place to contact. The Mayor would probably end up giving away the key to the webcity for a nickel so we opened the Ambassador's position instead. We only accept button ads which are offered on a monthly basis.

CPN Editor:
All other inquires regarding publishing, content, and anything else not covered in the above should be sent here. The editor loves to hear about new stories, suggestions, and comments that you may have to offer.

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PREPAID CELLULAR TECHNOLOGY PATENT INFRINGEMENT SUIT!

We were kind of wondering if and when something like this may happen. Freedom Wireless has filed for their second patent on prepaid cellular technology. They have sued some of the bigger name wireless carriers for infringement on those patents.

The crux of it is that Freedom claims that they developed the necessary technology to allow for customers to prepay for service rather than paying at the end of each month. Freedom claims that because they developed these technologies that they are owed royalties from wireless carriers using this type of technology.

The lawsuit has named Verizon, Cingular, AT&T Wireless, Cellular One in SF, Western Wireless, and Boston Communications Group. A total of 400 companies were sent letters by Freedom informing them that they are infringing on a patent.

BCG stated that they felt the patent was invalid and unenforceable. They have stated that they have identified hundreds of pieces to their technology that predates the patent filed by Freedom Wireless. Based on our own experience, we would have to say that BCG may have a valid case there.

The lawsuit was filed in Dec 2000 and should go before the courts in October 2001. That should be very interesting to see the end result. If Freedom Wireless wins then that may change how prepaid cellular phone services are being offered by many carriers.

The best part is that BCG has offered a $60,000 reward for any information that will Freedom's patents to be tossed out as invalid. If anyone has some time on their hands and is looking to make $60K for their time, you should look into it and make a comparison of the patent against existing technologies prior to Freedom's patent.

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CELL PHONE SHOPPING SERVICE TAKES A PLUNGE INTO DARKNESS

Shopping online with your cellular phone spells very bad news for those companies who were hoping to make a go of it as a business model. A recent study done by Cambridge University's Judge Institute showed consumers are significantly less like to use a cell phone to make purchases.

At one point it was as high as 34% last year here in the US as those being potentially interested. This year it has fallen off a cliff to only 3% of US consumers may be interested. This survey was conducted in Japan, Europe, and the US for a total of eight countries.

Overall, interest was at 32% last year by respondents in last year's survey. It has dropped to a dramatic 12% this year. The survey seems to suggest that the woes for WAP technology have not even started yet.

Out of everyone who was surveyed, not a single consumer in the US who had WAP capabilities purchased online with their cell phone. A total number of less than 1% of WAP users actually made a purchase online using their phones and the ones who did were in the UK, Finland, and Japan.

Quoting William's favorite saying, "Only fools rush in," has some applicability here. The US is notorious for having the slowest adoption rate of new technologies for cell phones. We believe that part of the reason for that is the sheer size of the US consumer base.

A note was added for WAP oriented enterprises to work together to get this technology more in line with consumer expectations. To do otherwise is to create a much higher risk of consumers not embracing WAP services being made available.

Our interpretation of the above. Stop and think. See what consumers really want and then move forward with trying to address those needs instead of trying to create the "Wow factor" out of thin air. At some point, these companies may remember that they need to follow the basic business principles if they expect to get anywhere. Until then they are just burning money on a grand illusion.

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FCC's ONLINE BROCHURE FOR CELLULAR PHONE USERS

We found a link to the FCC which has a sensible brochure available to cellular phone users. Nothing like the garbage we have found at the FDA site. This is one is refreshingly objective in its content.

It references a website which we mentioned in our newsletter as no longer being in business so disregard that and do a search using www.google.com for companies who may be able to provide coverage areas.

The brochure is called "Helping Consumers Make Sense of the Market." It covers a brief summary of facts and fiction. It also has a toll free number you can call to request information available to the public.

Keep in mind that the brochure covers only the basics and if you are a veteran of the cell phone industry, it is going to have a big yawn factor in there. If all you know about cell phones is how to dial and place a call then you should probably take a look at it.

FCC Cell Phone brochure 

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REGISTER YOUR CELL PHONE IN CASE IT IS LOST OR STOLEN

You know that given a little time we are going to snoop around and find it. This service allows you to check to see if someone has found a lost phone or reported one as lost or stolen. As far as we can tell it is a free service so you may as well.

The really crazy part is that they beat us to it. We were planning on rolling out a service of this type in September. Well, the early bird gets the worm as they say. All we got was a beak full of dirt. Nevertheless, we are good sports.

The website is very easy to navigate but you must register to use the service. We plan on supporting them by putting up a link on our website for visitors to come in and drop in their info too. We hope that you find this service to be helpful.

Register your Phone 

See there. We aim to please our website visitors to the highest degree we can offer. Where have you found a more proactive cellular phone newsletter than this one? I think I will proclaim myself King of the CPN Webcity! (With the mayor's permission of course.)

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PLEASE TELL YOUR FRIENDS, FAMILY, AND ASSOCIATES ABOUT OUR NEWSLETTER. WE APPRECIATE YOUR SUPPORT AND ASSISTANCE IN MAKING OUR NEWSLETTER A SUCCESS.

If you want your name to vanish from our list because our newsletter is just too boring or someone else signed you up, let us know. We will reluctantly take you off of our newsletter list. And we still reserve the right to make faces at you when you aren't looking. If you want your name to vanish from our list because our newsletter is just too boring or someone else signed you up, let us know. We will reluctantly take you off of our newsletter list. And we still reserve the right to make faces at you when you aren't looking.

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