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America’s number three cell phone provider, Sprint Nextel, has
just become the first U.S. carrier to offer a GPS-based child tracking system,
with the launch of its Family Locator Service.
Although the technology to track a child’s movements using cell phones has
been freely available for some years, the service has so far only been offered
by third-party GPS tracking services, rather than mainstream wireless
carriers.
The software for Sprint’s new service is being provided by WaveMarket Inc. It
can be downloaded on 17 existing Sprint and Nextel branded phones, and used for
a price of $9.99/month.
In addition to being a basic location tool, the new service also allows a
parent to set automatic alerts to warn them if their child isn’t where they’re
supposed to be (e.g. School) at a specific time of day. This function has raised
no shortage of privacy concerns, with many saying that it is over-intrusive, and
could be used for the wrong purposes. The company, however, insists that it
isn’t designed to be a “Big Brother” tool.
“It’s not about tracking. It’s not about monitoring,” claimed Sprint’s
marketing manager of location-based services, Dan Gilmartin. “It’s about giving
parents and caregivers peace of mind that they’re able to find their children’s
location,” he said noting that the service could also be used by those who want
to keep tabs on elderly parents.
Rightly or wrongly, there is little doubt that demand for these
location-based offerings has skyrocketed in recent years. A number of
third-party services, including Wherify, Teen Arrive Alive, and Disney have already entered the market, while CATS Communication Inc. is
planning an even more comprehensive service that will automatically warn parents
if their child goes near the home of a registered sex offender
Nextel caters mostly to business users, and offers unique services such as the
"walkie-talkie" Direct Connect push-to-talk feature.
Nextel uses iDEN technology, which is based on TDMA. They use
mostly the 800 MHz (cellular) frequency band. They offer Motorola
phones exclusively, since Motorola is the only manufacturer of
iDEN phones.
Nextel Communications, based in Reston, VA, is a leading provider
of fully integrated, wireless communications services on the
largest guaranteed, all-digital, wireless network in the country.
The Nextel 4-in-1 service—Nextel Digital Cellular, Direct
ConnectSM, Nextel Mobile Messaging and Nextel Online®—covers
thousands of communities across the United States.
Nextel and Nextel Partners, Inc., currently serve 198 of the top
200 U.S. markets. Through recent market launches, Nextel and
Nextel Partners service is available today in areas of the United
States where approximately 240 million people live or work.
Nextel is traded on the NASDAQ National Market under the symbol
NXTL. Nextel Partners is a separate company traded on the NASDAQ
National Market.
Domestic Revenue
$8.7 billion (2002)
Domestic Digital Subscribers
11.7 million (Q2 2003)
Total Employees
Approximately 15,000 in the U.S.
Technology and Service Differentiation
Nextel uses a packet-based platform, the integrated Digital
Enhanced Network (iDEN™) technology, developed by Motorola. This
all-digital technology provides exceptional sound and transmission
quality, using state-of-the-art methods that deliver these
unparalleled Nextel services:
- Digital Cellular
Customers experience crystal clear calls and guaranteed
message delivery in a secure environment, no matter where they
travel within the Nextel National Network.
- Direct ConnectSM Service
This digital walkie-talkie service lets customers get right
through to business associates, family and friends without
placing a phone call.
- Nextel Mobile Messaging
The untethered power of the Internet keeps customers connected
to clients, co-workers and family with text, numeric and
two-way messaging.
- Nextel Online® Service
Ranked #1 in wireless Internet service satisfaction since
January 2002, according to In-Stat/MDR Group, Nextel Web-based
services provide anywhere access to office or personal email,
wireless-enabled Internet sites and company databases.
Product Innovation
In 2001, Nextel (in conjunction with Motorola) introduced the
first Java™ technology-enabled wireless phones in the United
States. Mobile professionals can personalize and enhance their
phones with the latest business tools and network
applications—and improve the quality of their professional and
personal lives.
Nextel launched the Motorola iBoard™ in 2001, allowing customers
to compose email, manage address books and calendars, and use
Java-enabled applications—all from a wireless phone and
fold-away, full-sized keyboard.
In late 2002, Nextel successfully launched the only wireless,
handheld BlackBerry™ device, created by Research in Motion
(RIM), that offers the full suite of Nextel wireless mobile
solutions: all-digital cellular, Direct ConnectSM
digital walkie-talkie service, text and numeric messaging, email,
Java technology and Nextel Online service.
International customers travel the globe with Nextel Worldwide™
service. Nextel Internet-ready global phones operate on the iDEN
network in the United States and seamlessly move to GSM in more
than 80 countries.
Target Audiences
The varied products and services of Nextel offer unrivaled drivers
for success in key business segments and verticals.
- Enterprise
Nextel serves more than 80 percent of America's Fortune 500
companies, helping corporations and government enterprises add
value through Nextel Wireless Business Solutions and Customer
Network Solutions.
- General Business
Demonstrating value and return on investment is another
hallmark of the dedication of Nextel to business customers in
the wireless world. In fact, more than 90 percent of Nextel
customers are business users.
- Vertical Markets
The Nextel 2.5G nationwide network provides an unparalleled
advantage over other wireless competitors, making it possible
to run custom data applications for specialized industry
segments. The focus on key industries enables Nextel to
pinpoint customer needs. Collaboration with market-leading
partners—such as IBM, EDS and Microsoft—also enables
Nextel to offer unique solutions and improve the way business
gets done.
- More information, visit Nextel.com
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WorldCom, Nextel in wireless talks
By DANA CIMILLUCA
BLOOMBERG NEWS
WorldCom, the No. 2 long-distance phone company, and Nextel have held talks to form a partnership allowing WorldCom to sell mobile services.
"We have had some conversations with WorldCom," Nextel CEO Timothy Donahue said in an interview in Washington.
Linking with Nextel, the top seller of walkie-talkie wireless service, would help WorldCom catch up to other phone companies, which are offering more products to retain customers.
WorldCom CEO Michael Capellas said last week that his firm was in talks with mobile-phone providers to add the service. He declined to name potential partners.
Long-distance and local phone companies, burned by large acquisitions in the 1990s that proved unprofitable, are turning to alliances to help broaden their product ranges.
WorldCom, which considered buying Nextel four years ago, filed for bankruptcy in 2002 after uncovering an accounting fraud that reached $11 billion.
"The name of the game in telecom is bundled products," said Patricia Lee, an analyst at CreditSights, a bond research firm. "For the wireless guys, it gives them access to another distribution channel, so it makes sense all around."
Nextel's service is used by construction crews, public-safety teams and other professionals who work outside offices. The company's quarterly sales jumped 27% to $2.89 billion, boosted by the industry's highest revenue per customer and lowest turnover rate. Subscribers rose to 12.3 million.
AT&T, the biggest long-distance company, in May agreed to sell customers mobile calling from AT&T Wireless, which it spun off in 2001.
WorldCom, with 20 million customers, already sells local-phone service and Internet access in addition to long distance.
"The Internet world is one about formulating partnerships," Capellas told reporters. "Wireless, local, long distance and Internet access, the bundle, becomes the dominant play."
T-Mobile is another candidate for a WorldCom alliance, say analysts. A T-Mobile spokesman had no comment.
WorldCom plans to change its name to MCI upon exiting creditor protection.
Originally published on November 15, 2003
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