Amp’d Mobile Inc. is ramping up its reach, with new distribution plans and content aimed at furthering its ambition of “liberating the digital tribe,” in the words of Doug Dobie, the mobile virtual network operator’s chief marketing officer.
Amp’d launched online in December, following months of hype and an irreverent advertising campaign with the tagline, “Try not to die. Amp’d Mobile is coming.” The MVNO operates on Verizon Wireless’ CDMA2000 1x EV-DO network and has an impressive lineup of content partners, including ABC, NBC, the Cartoon Network’s Adult Swim, and CBS. MTV contributed $50 million in venture capital to the wireless startup late last year and wants to develop short “mobisodes” of video content exclusively for Amp’d, Dobie said.
Amp’d plans to expand its distribution reach this year. Along with sales through the Amp’d Web site, the company has a distribution arrangement with the American Wireless dealer network, and other deals are in the works with companies including what Dobie described as a “large American electronics retailer.” Amp’d also plans to open a few flagship stores in places such as New York and Los Angeles, with an emphasis on a unique store experience.
“We like the Apple concept. We might not go that far, but in that spirit,” Dobie said.
Although Amp’d is not yet making subscriber numbers public, Dobie said the service has been doing well in metro areas such as New York, L.A., Chicago and Dallas, as well as the suburbs of such cities. He acknowledged that Amp’d is “still pretty low relative to where we want to be” in terms of customer numbers, but predicted that would change as the company widens its distribution to an estimated 700 stores by the end of 2006 and adds prepaid services. Amp’d services are currently only postpaid, with an 18-month service agreement.
As far as the data services Amp’d offers, Dobie said that about 60 percent of its users are on its $15 Overload plan, and the other 40 percent are on its $20 Overdose plan. The most popular voice plan, he said, is the $50 per-month plan that includes 1,000 minutes. Amp’d is currently offering a promotion with three months of unlimited calling for customers who sign up for its Overload plan and voice plans of at least $50 a month.
Amp’d offers plans ranging from $30 per month for 500 minutes to $150 monthly for unlimited service. The MVNO offers push-to-talk service for $1 a day, or unlimited use with the unlimited plan.
Amp’d recently streamed its first live concert, in a move reminiscent of the Bon Jovi concert streamed by Sprint Nextel Corp. in December. The concert featured full sets from three bands, including Grammy-nominated rock band Fall Out Boy, and was offered free of charge to Amp’d Mobile subscribers. Additional content from the concert is featured on the Amp’d music channel.
Amp’d also has its own camera crew for capturing exclusive video at events and a recording studio that could be used for having artists record exclusive tracks to make available to Amp’d subscribers, Dobie said.
Amp’d also plans to assemble what Dobie called a “mag-alog,” or a printed catalog that showcases the various games and entertainment programming that Amp’d offers. The catalog would be distributed at points of sale. The operator also is exploring the idea of offering bundles of services and accessories, Dobie said-for example, a music bundle could include high-quality stereo headphones and an allowance of full-length track downloads, which Amp’d offers for $1 apiece.
“We’re really pushing toward being more of an entertainment company and a media company, and we’re proving that end by doing a lot of these firsts,” said Dobie.
Amp’d has a line-up of three handsets, each one EV-DO and PTT capable: a pair of Kyocera Wireless Corp. slider phones that differ only in color (the “Jet” model is black, and the “Angel” version is white) and a black Motorola Inc. E815 flip-phone, dubbed “Hollywood.” However, as of last week, the $149 Hollywood handset was listed as temporarily sold out on its Web site and slated to be back in stock April 1. The two Kyocera phones are offered for $99 apiece, down from the $129 price point where they started in December. Amp’d had originally stated that its goal was to offer entry-level handsets for $99. Dobie said that Amp’d plans to add another three or four phones to its line-up.
