You Say Goodbye, I Say Helio

June 28, 2008 in Industry News

If Helio had a theme song for a 2008 Soundtrack it would be the altered Beatles song mentioned in the title. With “You” being Helio Customers and “I” being Virgin Mobile. Virgin Mobile has just acquired Helio for $39 Million Dollars.

Helio was one of the most popular MVNO’s and considered to be the most innovative. MVNO stands for Mobile Virtual Network Operators - the actual carriers like AT&T and Verizon Wireless are MNOs. The difference? Helio purchased service from carriers and resold it to customers, making them “virtual” operators.

MVNOs are short lived and dying breed with Virgin Mobile being one of the last well known brand standing. There are some smaller ones out there but the future may not be too bright giving Helio’s fate.

One thing that could possibly revive these MVNO’s would be a willingness to adopt the open source phones such as Android, Limo Foundation phones and Open Source Symbian phones. If the put the user before the agenda of profits, as the main carriers will seemingly do, they may be able to gobble enough interested onlookers. But how long would that last before the big guys pull a simple switcheroo and cut them right back out?

BGR got a hold of a few Question and Answers about the aquisition from an internal e-mail that was leaked. Apparently customers will not lose service during the transition - it will be seamless - and it will take place over a gradual phasing out period.

Here is the email:

Q: What does this mean for current HELIO members? Can I still use my HELIO device, while keeping my HELIO service plan and number?

A: Current service plans will continue without interruption. HELIO members are at the center of this transaction and we’ll continue to bring them the innovative mobile services they’ve come to expect.

Q: Can new members still sign up for HELIO service?

A: Absolutely. HELIO will continue to offer exclusive, high-end devices and our innovative All-In plans.

Q: Will the HELIO brand be retained, or will everything migrate to Virgin Mobile USA?

A: Over time, we expect that all aspects of the customer experience will be integrated under the Virgin Mobile USA brand.  Integration of the direct sales channel will begin immediately, and we expect that existing HELIO products and services will soon be offered through the Virgin Mobile USA website at www.virginmobileusa.com.

Q: So what’s next?

A: We’re excited by the possibilities our new, combined team offers. We have some big ideas, but as you can imagine, a little bit of housekeeping is in order before we share them. Stay tuned!

Q: Does this affect my current contract with HELIO in any way? When Virgin Mobile USA does acquire HELIO, can I end my current contract without paying an early termination fee (ETF)?

A: HELIO contracts remain in effect and unchanged by this transaction. HELIO members who wish to end their contract early will still be subject to an early termination fee (ETF).

[Via BGR, Engadget]

Enjoy this post? Subscribe to the RSS Feed!

Related Articles:

Comments:

(0) comments | Add your comments