Polar Wireless Records First Revenue - Analyst Blog

Polar Wireless Records First Revenue

Polar Wireless (BCDI) is a mobile virtual network operator (MVNO), which intends to monetize its proprietary technology. The firm's SIM cards work in conjunction with current providers to eliminate roaming charges without the hassle of changing phone numbers or customer behavior. Fast growing mobile phone technology combined with the uptick in global travel has made the world a very small space, however high costs and hassles still exist.

Eliminating Roaming
This solution requires an easy, one-time insertion of a micro thin wafer SIM (the "Global Key") between the carrier SIM and the handset. The Global Key is invisible while the user is in the home market and only activates when the user travels outside the home network. While outside the home network, the Global Key activates, allowing friends, family and associates to call the current mobile number which will ring customers wherever they are in the world. Additionally, the traveling customer can seamlessly make and receive calls in every country without paying his or her mobile operator back home. In effect, every use of the customer's mobile device outside the home network becomes local.

Polar's micro SIM is less than .45mm thick, and slides behind the primary SIM. The chip enables subscribers to travel the world and take advantage of affordable rates along with free incoming calls in over 40 countries. Every call becomes local.

We feel the key is that consumer behavior does not have to change. Customers will continue dialing directly with the cell phone as they usually do. No need to change the user habit, no need to learn new buttons and menus, no need to dial local access numbers and pin codes. According to the number dialed, Polar Wireless will choose the most cost effective voice route to place the call through.

Polar has been on a tear since mid April, signing distribution agreements in Pakistan, the UAE, and North America, implementing a back up call center, and completing system build outs.  Polar could see revenues in 1-2 quarters from the distribution agreements. This week marked the first recorded revenues for the company.  Our estimates and outlook remain unchanged.

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