RingPlus
RingPlus (Ring+, R+) is a Mobile Virtual Network Operator that runs on the Sprint Network. RingPlus provides low-cost and free cell phone plans subsidized by Ringback Tone Advertising.
History
RingPlus was founded in 2006. The current CEO is Karl Seelig. In a December 2015 report, RingPlus showed 44% monthly growth (880% for all of 2015,) but did not state the number of paid vs free enrollments.[1] In 2008, RingPlus began testing the RBT and IRRBT technology with 40,000 users under the direct supervision of its CEO and Founder Karl Seelig and its new CTO, Evan McGee.
The initial development of RingPlus was a test platform using VoIP technologies as a basis for providing free international calling. This is when RingPlus won several awards for its patented technology invented by Karl Seelig and his wife Anita Seelig (Erickson), (e.g. Best Free VoIP provider; No. 6 of 10 Best Innovations of 2008). The beta test was successfully concluded in January 2010.
In 2006, RingPlus fought a long-lasting, multi-million dollar legal battle against RingPlus and AT&T (indemnified by Ericsson) began, delaying the commercial launch of free cellular service for a number of years. The validity, scope, and enforceability of RingPlus’ intellectual property was put into question threatening the company’s vision of successfully monetizing the RBT platform.
In 2007, RingPlus was licensed to multiple carriers in the US over a third party and implemented only for RingBack Tone music.
In August 2010, RingPlus’ General Counsel, Jerry Mowery, successfully defended the enforceability of the 7,006,608 Patent in front of the Court of Appeals for the Federal Circuit in Washington DC.
In 2011, a second lawsuit against Preferred Voice, Inc. for infringement of the same patent was successfully settled, after which Preferred Voice ceased offering any RBT services and operations.
In 2012, RingPlus began operating on the Sprint network and started enabling two other MVNOs on the Sprint Network.
Cancellations
RingPlus has twice cancelled free plans leading to a great outpour of anger with subscribers back in September 18, 2014, and November 14, 2016.[2][3][4] RingPlus had offered customers ad-based free Sprint-based phone, text, and data service, but on September 18, 2014, and on November 14, 2016, RingPlus informed users it would be canceling multiple free plans effective immediately.[5] Customers have indicated they have felt misinformed, and misled after spending hundreds of dollars, and abruptly told their services would be significantly downgraded and/or cancelled. Ringplus had made multiple assurances that their business model was profitable, and that they could easily offer the large allotments of minutes, text, and data they promised.[2]
On November 14, 2016, RingPlus e-mailed subscribers that their plans would be cancelled[3][6] Users on the company's support forums have expressed outrage that no warning was given considering the CEO, Karl Seelig, had indicated merely on October 27, 2016, that their legacy plans would not be cancelled.[7] RingPlus will be cancelling all free plans prior to the significantly reduced plans of November 20, 2016 by December 1, 2016.
On November 20, 2016, RingPlus announced new free plans with significantly reduced minutes, messaging, and data. These plans cost another $10-20 for current users despite many users being forced off their old plans, free voicemail was removed and became an add-on feature for $1.50/month, and direct calling through Sprint was handicapped requiring users to use a third party dialing app to make phone calls.[8] Even though RingPlus abruptly terminated current users' plans, many users were required by RingPlus to spend another $10-20 before they could switch, a sign, many have taken as unprofessional and unethical by RingPlus.
Business model
RingPlus uses a patented reverse ringback tone technology to place music, news, and advertisements (RingPlus Radio) into every outbound call. Only RingPlus subscribers hear the radio - all inbound calls hear a standard ringtone. This allows for monetization of the space currently occupied by the standard ring sound.
RingPlus provides AdVoice - a full end-to-end audio advertising platform - that allows both small advertisers and large advertisers to target consumers with direct, specific interactive audio messages. The average length of an AdVoice advertisement or message is 15 seconds, and represents the average ringback period of a normal call. Advertisements can be interacted with via the keyboard during playback. This form of micro-advertising and preroll media is similar to the video preroll employed by sites like YouTube, Hulu.
Member interaction rates with media (including research, coupons, and advertisement) averages 2.5%, with more tailored and specific content reaching up to 7.5% interaction rate. Fraudulent CPM or CPC is virtually eliminated as interactions are recording only during a call, require a live person to interact, and are difficult to automate.
The stated goal of RingPlus is to provide free service financed by alternative revenue streams to offset the global decline in telecom revenues. RingPlus Radio income is derived from the advertisers, local advertisements and content sales as well as independent commissioned research in addition to overage charges and licensing incomes for their technology.
Additional revenue is generated from the highly visible presence of value added services (VAS) and In-Call Apps available to each subscriber. These include advanced parental controls, in-call cloud translator, call transcript, enhanced voicemail-to-email, live Twitter read out, per-account SIP dialing (FluidCall), an open APIs for developer, and simplified access to network carrier functions like device swapping, phone number swapping, etc...
RingPlus also heavily relies on its social media community and bills itself as the first telecom with an "Ethical Committee," elected by fellow subscribers to protect other subscribers. The ethical committee has direct access to the RingPlus Board and advises them on various decisions. Moderators are also selected from existing members to help coordinate and oversee the RingPlus Social forums, and provide transparency into day-to-day operations at RingPlus. RingPlus utilizes their Social forums to help provide guidance, information, and a sense of community to new members while both increasing customer satisfaction and nominally reducing the overall support cost.
RingPlus has also announced a variety of upcoming technologies, including the use of your wireless device as a for-pay public hotspot and options for the monetization of mobile data in new ways.
Subscriber growth
Subscribers growth in 2015 was a robust 1,820% and currently represents a sizable percentage of overall Sprint prepaid additions in 2015 and early 2016.
Sprint wholesale and its affiliates grew by 514,000 (including all Sprint MVNOs,) of which RingPlus contributed 7.3%.
In addition, RingPlus leads amongst all Sprint MVNOs in acquiring new subscribers bringing their iPhone & Nexus devices to the Sprint network, with most such devices coming from T-Mobile followed by Verizon.
See also
- List of United States mobile virtual network operators
- List of United States wireless communications service providers
References
- ↑ "Ringplus Reports 880% Annual Growth". Prepaid Phone News.
- 1 2 "RingPlus Ending Free Service For Most Users". Retrieved November 16, 2016.
- 1 2 "RingPlus Discontinuing Some Free and Paid Plans". Retrieved November 16, 2016.
- ↑ "RingPlus, Discontinued Plans & Free Holding Plans Notice". Retrieved November 16, 2016.
- ↑ "RingPlus discontinuing free plans". Retrieved November 16, 2016.
- ↑ "RingPlus Discontinuing Plans". Retrieved November 16, 2016.
- ↑ Seelig, Karl. "RingPlus Forum". ringplus.net. Second Post. p. 5. Archived from the original on November 16, 2016. Retrieved November 16, 2016.
- ↑ "RingPlus Downgraded Plans". RingPlus. Retrieved 20 November 2016.