Carrier Wrap: FreedomPop Rides VC Funds Towards Expansion – Episode 17

This week we have a featured interview with Stephen Stokols, CEO and co-founder of MVNO FreedomPop to get some insight into its operations and recent expansion.

But first let’s look at some of the top carrier news from this week:

The FCC this week leveled a nearly $1.4 million fine against Verizon Wireless connected to the carrier’s since discontinued insertion of a so-called supercookie into its customers’ mobile Internet traffic without their knowledge or consent.

The undeletable identifiers were inserted into Web traffic and used to identify customers in order to deliver targeted ads from Verizon and other third parties.

Verizon Wireless announced last year that it would allow customers to disable the targeted advertising program following the launch of a federal probe into the initiative.

Also this week, T-Mobile US garnered another $2 billion in financing ahead of its planned participation in the upcoming 600 MHz incentive auction scheduled to start later this month.

T-Mobile US parent company Deutsche Telekom said it would offer the additional funds as part of a purchase of T-Mobile senior notes. T-Mobile US has over the past several months been accruing funds geared towards its participation in the spectrum auction.

Analysts have forecast T-Mobile US could spend up to $10 billion on spectrum license in the auction proceedings, with CEO John Legere previously stating the carrier would be aggressive in the auction. That aggressiveness will be enhanced by T-Mobile US ability to bid on the so-called reserved spectrum that the FCC placed outside the reach of industry heavyweights Verizon and AT&T.

DT last week said it planned to not pursue a sale of its 65% stake in T-Mobile US during the spectrum auction, which is expected to last into the later part of this year.

Finally, RootMetrics this week released a market-by-market comparison of cellular network performance, taking measurements from the company’s testing during the second half of last year.

Atlanta topped the list in overall available cellular performance, followed by Chicago, Indianapolis, Sacramento and Rockford, Illinois. Atlanta and Chicago topped the list from testing conducted during the first half of 2015.

The five worst performing markets were perennial last-place finisher Hudson Valley, New York; Omaha, Nebraska; Lancaster, Pennsylvania; Santa Rosa, California; and Denver.

For our featured interview this week we spoke with Stephen Stokols, CEO and co-founder of mobile virtual network operator FreedomPop.

The MVNO, which domestically runs on cellular service provided by Sprint, has over the past year snared tens of millions of dollars in VC funding that has been used to fuel extensive domestic and international expansion plans. The cash infusion has also allowed the company to remain an independent entity following rumors last year of a potential acquisition.

Stokols provided insight into the company’s business model, its ability to compete in an incredibly competitive market and plans for the future.

Thanks for watching this week’s Carrier Wrap, and make sure to check us out again next week for a new episode.

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