Re: Orange & Facebook

From: Daniel Laeng <daniel_at_laeng.org>
Date: Thu, 28 May 2015 13:34:13 +0400

Hi Ish,

> ​ It is always good to get free stuffs. I would be happier with free
> unlimited Internet :-)
Yes, but "free" comes with strings attached.

> Is Orange really choosing what should be free for us? Well, Orange
> needs to make profits in order to sustain its existence. I do not
> think Orange is really choosing what should be free for us. It is
> rather partnering around for a win-win agreement.
>
Yes, it's a win-win for for Orange and Facebook. Orange gets paid twice
- once by the internet user, and a second time by websites. Facebook
gets to be the number one social media platform. It's also a win for
consumers who use Facebook. So nobody loses right?

I'd argue that there are a number of problems with this concept:


1. It gives Facebook an unfair advantage over local competition

Yes, there isn't much local competition anyway, but if it was Amazon
instead of facebook you might see things differently. Also keep in mind
that even if it doesn't hurt any existing companies, it makes it harder
for somebody to create new competition.

2. It's not (as far as I am aware) transparent

Facebook is presumably paying Orange for this service. What are the
terms of this deal? Have they specified that other social networks are
not allowed to get the same deal? It feels like orange is in a
comfortable position where they can market segments to the highest bidder.

3. It's a slippery slope

Currently there is one company paying Orange to be unlimited. Maybe
next year there will be 5, and the year after 100. Eventually, all big
companies will pay Orange to make their website more available than
other websites. This will be great for everybody, except small
companies who can't afford to pay Orange.

In summary, this is the opposite of net neutrality.

> Won't you be happy if Orange gives you 100Mbps unlimited access to all
> local websites/applications?
How is this relevant? I fail to see how the Facebook deal will lead to
this.


Dan.





On 05/28/2015 12:44 PM, Ish Sookun wrote:
> Hi Nadim,
>
> On Thu, May 28, 2015 at 1:33 AM, Mohammad Nadim
> <nadim.attari_at_gmail.com <mailto:nadim.attari_at_gmail.com>> wrote:
>
>
> 1. Do you think this is a good thing?
> 2. Why is Orange choosing what should be free and what not for us?
> 3. Can we call this free service from Orange a
> "zero-rating[3][4]" service (joint market agreement)?
> 4. What if I want zero-rating service for another app (e.g.
> FamilyWall, or Twitter, etc), rather than Facebook?
> 5. Who is benefiting from this? Is Facebook "sponsoring" this
> free internet to kill competition (from other social
> networking services, or from startups rising)?
> 6. Is it in our advantage?
> 7. What if they give (zero-rating) "preference" to another
> service/application in the future (decided by them, and not
> us, the users)? Will it be a disadvantage to local startups?
>
>
>
> ​ It is always good to get free stuffs. I would be happier with free
> unlimited Internet :-)
> Is Orange really choosing what should be free for us? Well, Orange
> needs to make profits in order to sustain its existence. I do not
> think Orange is really choosing what should be free for us. It is
> rather partnering around for a win-win agreement.
>
> Won't you be happy if Orange gives you 100Mbps unlimited access to all
> local websites/applications?
>
> This is not the first time Facebook[1] has tried offering a "free
> Facebook" service. Facebook tested it's 0.facebook.com
> <http://0.facebook.com> service in Kenya[2].
>
> I see that Facebook has been tricky by not making facebook.com
> <http://facebook.com> free but rather making a specific service called
> m.facebook.com <http://m.facebook.com> free with partner mobile
> operators.​
>
> ​ Which local startup will be at disadvantage if Orange provides a
> similar service to another application in the future?
>
> [1]
> http://www.zdnet.com/article/orange-bringing-facebook-to-all-phones-in-africa
> ​
> ​ [2]
> http://www.orange-tkl.co.ke/index.php?option=com_content&view=article&id=220:facebook-zero-on-orange&catid=56:voice-offers&Itemid=130
>
> Regards, ​
>
> --
> ​Ish Sookun
>
> - Geek by birth, Linux by choice.
> - I blog at HACKLOG.in.
>
> https://twitter.com/IshSookun ^^ Do you tweet?

-- 
Daniel Laeng
Software Developer
+230 5775 1037
Received on Thu May 28 2015 - 09:34:30 PST

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