A VoIP Triple-Play? Is this a Joke?
Alarm.com has caught the attention of a few folks by signing a deal to bundle its wireless alarm service with SunRocket's VoIP service. Some people such as Garrett Smith are suggesting VoIP players could thrive/survive by offering service bundles (including video) rather than being pure voice plays. In theory, it seems like a practical idea given bundles are apparently all the rage with consumers - even though carriers and cablecos seem far less enthusiastic these days about offering deep discounts to customers who purchase bundles. In practice, however, I don't think it really matters much from a competitive angle if VoIP players such as Vonage and SunRocket get into the bundle business. Why? Because any bundle Vonage, for example, could offer would easily be matched by the carriers and/or cablecos, which have deeper relationships with consumers. That said, VoIP service providers have little to lose by offering other Web-based products if it generates revenue. Why stop at security? If they really want to emerge as more than one-trick ponies, why not offer video, anti-virus and anti-spam protection and entertainment services? The bottom line is that at the end of the day, Vonage, SunRocket, et al can offer all the services want but it won't matter unless they also offer competitive prices, high-quality services and great customer service as well.
October 23rd, 2006 at 11:01 pm
The last line of your post is the most important - price and quality. That's what sells VoIP these days, not bundles with alarm services or toaster ovens. VoIP providers would be wise to concentrate on the basics first.