magicjack selling your data?

[berrycorp]

ok this is a mystery.... i have been scratching my head for a long time now trying to figure out how thing guy.. is making money...!!

see the site...

http://www.magicjack.com/1/index.asp

the services he is offering are more than $120 extra that what he is charging..

i found this discussion while searching online....

http://www.dslreports.com/forum/r20422967-MagicJack-sales-reach-350000-growing-at-25-per-week

they suggest he is selling your data...

but i doubt if anybody will pay $120 for your data.... people dont even pay that for sales... paying that per client is crazy...

then i thought about maybe the guy is putting ads in calls... and no there are none...

now there gotta be something blackhat he is doing...

help me figure this out..... this is driving me crazy!

according to me he should be loosing millions!!

 

[berrycorp]

i think i figured it out

After thinking about the situation for a bit I figured something out. They advertise free phone calls. When the device is registered you are given the option to select free outgoing calling. What this means is that you can call free to any other Magic Jack device anywhere. So if you want free calling your friends and relatives will also have to buy a Magic Jack.

found it on

http://www.ripoffreport.com/reports/0/332/RipOff0332317.htm

excellent marketing.. if its true!! hats off to this blackhatter!!

correct me please if i am wrong!

 

[crunch]

ummm, cant be bothered to read all those links, but ive been using MJ for over a year with no problem. i call landlines, cell phones, 800 numbers all for less than $20 a year.

 

[invisioned]

i think i figured it out

After thinking about the situation for a bit I figured something out. They advertise free phone calls. When the device is registered you are given the option to select free outgoing calling. What this means is that you can call free to any other Magic Jack device anywhere. So if you want free calling your friends and relatives will also have to buy a Magic Jack.

found it on

http://www.ripoffreport.com/reports/0/332/RipOff0332317.htm

excellent marketing.. if its true!! hats off to this blackhatter!!

correct me please if i am wrong!

Wrong, I have a magic jack. You can call anywhere within USA, Canada and puerto rico. Dont try figuring it out. No one has. Focus on making something as bad ass like magicjack and distributing it. Something with loads of value and low cost.

 

[berrycorp]

ummm, cant be bothered to read all those links, but ive been using MJ for over a year with no problem. i call landlines, cell phones, 800 numbers all for less than $20 a year.

Wrong, I have a magic jack. You can call anywhere within USA, Canada and puerto rico. Dont try figuring it out. No one has. Focus on making something as bad ass like magicjack and distributing it. Something with loads of value and low cost.

what you guys dont get is "IT IS IMPOSSIBLE TO SELL AT THIS PRICE"

i am in the voip industry and even if i give a monthly commitment of 10million minutes nobody will offer me below... $0.006/min

there gotta be a catch somewhere!

and i am trying to figure this out because i need to know my competitors and who knows knowing his secret might even make you guys tons of money too!

he is really doing something very smart that nobody else has figured out yet!

 

[DrJekyll]

you should have the average usage. Like me they would make out. if I send 30 minutes on a phone in 1 month I had some problems.

between me and my wife its about 1 hour a month max.



I have lingo, and can call i think its 21 countries free, unlimmited, but I heard if you use it alot they bump you up to a business plan automatic.

 

[crunch]

its so simple guys, lets say he has 1 million customers, each MJ costs $20. Thats $20 mill right there. I would say that at least 10% of em will lose thier MJ, break it or the dog will chew it every year. so thats another 2 mill. easy when u know how!!

 

[berrycorp]

you should have the average usage. Like me they would make out. if I send 30 minutes on a phone in 1 month I had some problems.

between me and my wife its about 1 hour a month max.



I have lingo, and can call i think its 21 countries free, unlimmited, but I heard if you use it alot they bump you up to a business plan automatic.

i was calculating with a average usage of 600 min per month!

keeping the dog in mind...!

now even at a measly 600min/month its making HUGE losses!!

it should still cost atleast $6/month to them and $10 for the number!

thats something close to $82/year at 0 profit!!

and it would be above 600min.. i am sure!

anybody please help me figure out how this guy is working.... or i will go bald soon!

 

[valwardon]

Do not go bald lol . I was talking to Sean Hannity about it on his talk show about 6 months ago before I bought it. He had to revolutionize something. He had to of . I talk to my relatives in Florida and in Indiana all the time with it with no problems.

Might wanna call him and find out I am sure he knows the workings of it as he knows the creator of the device.

 

[berrycorp]

Do not go bald lol . I was talking to Sean Hannity about it on his talk show about 6 months ago before I bought it. He had to revolutionize something. He had to of . I talk to my relatives in Florida and in Indiana all the time with it with no problems.

Might wanna call him and find out I am sure he knows the workings of it as he knows the creator of the device.

please do... because i am putting in a LOT of money on a product similar to this but better....

but its impossible for me right now to reach this price point!

there has to be something i am missing!

its been 5 months now i have been working on this... and if i too make it this price point and still make money its gonna be golden!

 

[sehs33]

OK it is really cheap, too good to be true, but it is true (I have one next to me) so it is normal that you are suspicious.

A probability is that they might be losing money now, some companies are ready to lose money/break even in the beginning in order to increase the customer's base (either to increase the prices later, provide additional paid services, or even attract investors willing to buy the whole thing). This is my own theory on how the Magic Jack can afford selling the service for this price:
1. They make good profit from international calls, this is enough to cover the loss from customers who don't make long distance calls.
2. They own good part of the infrastructure they are using (not leasing it like the others) and this is what they state here (read the last paragraph):

hxxp://service.liveperson.net/hc/s-73335289/cmd/kbresource/kb-907537299536193744/view_question!PAGETYPE?sc=20&sf=101133&documentid=334190&action=view

3. They make tons of profit from the hardware, creating such a thing in mass costs nothing.
4. They have millions of users so their cost per minutes is mostly much cheaper than you would think.

My $0.02

 

[valwardon]

OK it is really cheap, too good to be true, but it is true (I have one next to me) so it is normal that you are suspicious.

A probability is that they might be losing money now, some companies are ready to lose money/break even in the beginning in order to increase the customer's base (either to increase the prices later, provide additional paid services, or even attract investors willing to buy the whole thing). This is my own theory on how the Magic Jack can afford selling the service for this price:
1. They make good profit from international calls, this is enough to cover the loss from customers who don't make long distance calls.
2. They own good part of the infrastructure they are using (not leasing it like the others) and this is what they state here (read the last paragraph):

hxxp://service.liveperson.net/hc/s-73335289/cmd/kbresource/kb-907537299536193744/view_question!PAGETYPE?sc=20&sf=101133&documentid=334190&action=view

3. They make tons of profit from the hardware, creating such a thing in mass costs nothing.
4. They have millions of users so their cost per minutes is mostly much cheaper than you would think.

My $0.02

Wrong I just cracked the code and provided proof to Berry they are using Bell south as a backend. I have a copy of the agreement.

[url]http://cpr.bellsouth.com/clec/docs/all_states/802140ab.pdf[/url]

 

[sehs33]

Wrong I just cracked the code and provided proof to Berry they are using Bell south as a backend. I have a copy of the agreement.

hxxp://cpr.bellsouth.com/clec/docs/all_states/802140ab.pdf

I didn't read the whole document, but isn't it possible that they are using
Bell south as part of their backend, if their usage costs a little or a flat fee than I guess my point is still valid.

 

[sehs33]

I found this:

MagicJack's success can be attributed to excellent marketing, as it has avoided the pitfalls that befell many me-too VoIP players by making VoIP "a thing." By selling a tangible device that enabled VoIP calls, Moffatt thinks Borislaw and MagicJack were able to succeed, while other consumer VoIP players like Vonage got creamed by "digital voice" offerings from cable companies.

Source:

hxxp://fiercevoip.com/story/analyst-magicjack-causing-landline-loss/2009-02-03

 

[sideriden]

Here is the answer:

By operating its own network, Magic Jack has a much more favorable business model, Burns said. ?We were in the SunRocket process ? the unwinding ? as a potential suitor, and we saw what they were paying,? he said. ?We found that for every telephone number they purchased, which was $4 a month, to terminate their calls, they paid $3.80 a month and $1.25 per customer for 911 service. With our own captive CLEC network in 31 cities, you actually make money on originating calls through the assessment and collection of access charges ? balanced out by what we pay to terminate calls. For what [SunRocket] was paying $7, our costs are nothing.?

http://telephonyonline.com/voip/technology/magic_jack_voip_091707/index.html?imw=Y