Big changes afoot - how will DR telcoms respond?

Golfer

New member
Apr 7, 2002
255
8
0
On a recent trip to the DR I noticed a quiet revolution taking place, and like most game changers it's happening from the bottom up. Most of the ubiquitous texting going on in the DR is now done on the WhatsApp application and more significantly calls are being placed outside the telecoms on MagicApp. These are internet based systems that are free to download and use making them extremely attractive to young Dominicans. With the dramatic increase in mobil internet pods people are carrying around they are constantly connected. Picture messaging and texts are completely free on WhastApp and are displayed in a vastly superior format compared to the cell phones generic texting. With MagicApp Dominicans can call the US or Canada for free from their cells and cell to cell in the Dominican Republic is also free. With WiFi zones and personal WiFi' growing at a rapid rate the loss of revenue to the DR telcoms will be devastating. I don't know if someone from the US or Canada can use MagicApp to call WiFi connected DR cellphones for free but, if not, I imagine it won't be long in coming. The DR telcoms have been pushing internet access in the DR market as an additional source of income but it looks like it's coming back to bite them. With all these years of the DR having the highest telcom rates in the Caribbean maybe their chickens are coming home to roost. Ain't the free market great!
 

barker1964

Silver
Apr 1, 2009
3,413
2
38
In Google play store Magicapp already has more than 10 million downloads. Must be something to it. Going to try it out.
 

Jaime809

Bronze
Aug 23, 2012
1,152
0
36
It simply means they shift the revenue streams to those with DSL or other landline internet connections. Claro won't miss a beat on this, but Orange may have issues. Tricom... who knows.
 

chic

Silver
Nov 20, 2013
4,305
1
0
my bud has a stick for internet...pays monthly....do they sell these ...and how much...
 

Expat13

Silver
Jun 7, 2008
3,255
50
48
It simply means they shift the revenue streams to those with DSL or other landline internet connections. Claro won't miss a beat on this, but Orange may have issues. Tricom... who knows.

Are you saying Claro will up the fees for DSL and landline to make up for this cell revenue loss? If so that would be very Dominican, if you lose most your customers, you double the prices for the loyal customers that stay with you! That doesn't work for long,,,,
 

RV429

Bronze
Apr 3, 2011
1,574
1
36
Whatsapp is a godsend. Can stay in touch and send photos/text/voicemails both ways for free to anyone in your Contact List. I love it!
 

josh2203

Bronze
Dec 5, 2013
1,572
527
113
my bud has a stick for internet...pays monthly....do they sell these ...and how much...

At least Orange, Claro and Viva sell these (personal experience). You can have a prepaid stick where the rates differ, or monthly contract. Seems that Orange has also introduced a new "capless" internet, whereby you pay only for speed, not for quantity of data. Otherwise you purchase data packages, whereby you might have x Gb for x days. If you consume a lot, capless is obviously better.

Based on my experience, you should always try to figure out the reception where you live. Some people on this forum have had very negative experience with Orange, especially with "Flybox", whereas I used that professionally for a few years with excellent speeds. Claro usually has the best reception, but the pricing might be more expensive. Viva was unknown for me until I tried it, can recommend as well, but again, depends 100 % of your location if you get any reception.
 

Jaime809

Bronze
Aug 23, 2012
1,152
0
36
Are you saying Claro will up the fees for DSL and landline to make up for this cell revenue loss? If so that would be very Dominican, if you lose most your customers, you double the prices for the loyal customers that stay with you! That doesn't work for long,,,,

More than likely, or less-profitable DSL plans will be cut. American companies do it all the time. Ever notice that you don't get 1lb of coffee in the pre-packaged containers anymore? The price didn't go down, but what you got was less over time. That's the exact same as a price increase.
 

Celt202

Gold
May 22, 2004
9,099
944
113
Whatsapp is associated with a phone number which means you still have to top up a prepaid card at the minimum.

Maybe you can let a prepaid card lapse and keep the Whatsapp but what happens if the telcom company gives the phone number to someone else and they sign up for Whatsapp?

I have Magicapp on my Android phone and to activate it I had to sign into my magicJack account. I renewed the mJ account for 5 years for 99 dollars a few years ago. The app doesn't cost any more for me.

I believe if you have the app alone you still have to pay for an account.

9971f40f6ad8ac1ce54d96b08b3cc0dd2d2650a87c42cb6a7913fe3ffd153ef0.jpg
 
Feb 7, 2007
8,005
625
113
They will experience what all mobile companies worldwide are experiencing ... a shift of revenue from voice to data, simple as that. They will not be affected revenue-wise at all.
 

Fredo

Member
Mar 17, 2013
215
0
16
Ever notice that you don't get 1lb of coffee in the pre-packaged containers anymore? The price didn't go down, but what you got was less over time. That's the exact same as a price increase.

hidden inflation... all the large food companies have done it. result of the money printing bonanza