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Friday, 24 June 2011

Movirtu rolls out a Cloud Phone aimed at low-income users: first market is Madagascar, others will follow

Right at the bottom of the pyramid are phone users who can’t afford the minimum cost for a SIM to share in someone else’s phone. Movirtu has produced a cloud-based, login account which will enable anyone who has access to a GSM phone to share it but still retain their own number. Russell Southwood spoke to the CEO and founder, Nigel Waller about the potential market for this low-cost telephony product.

Nigel Waller used to work in telecoms back-end infrastructure and during this time, an African operator asked him how it would be possible to deliver a phone service more cheaply in rural areas: just getting a SIM card to someone costs the operator around US$7 in markets without high taxes. He was driving on a snowy road in Moscow when the idea came to him: why not make the mobile service for the user based on a login like e-mail and then they could share phones?

The product was being tested in 2010 and started being deployed as a pilot with several operators in Africa. Two weeks ago it went live with Airtel Madagascar. But as Waller told us:”We’d like to see it rolled out across all the Airtel territories”. To back its expansion it raised US$5.5 million from London-based TLcom Capital at the end of last year.

To read the full article please go to: http://www.balancingact-africa.com/news/en/issue-no-560/top-story/movirtu-rolls-out-a/en

To see the interview please go to: http://www.youtube.com/user/BalancingActAfrica#p/u/6/PmAAeAdEgPc