Is Disney the next MVNO casualty?

Oh Disney. You thought you had such a great idea: Market mobile phones to our target audience! Brilliant! Except it appears that little thought went into the overall process, and the company’s CEO, Tom Stagg, is now expressing concern over the service. This must have flabbergasted the folks at Disney, who probably assumed they could crap on a stick and sell it to children. But, you know, some thought and research has to go into creating an MVNO. Disney will tell you they did their homework, but it’s becoming more and more apparent that they didn’t.

“We’ve continued to get really strong critical acclaim for the product, and really strong response from subscribers,” Stagg said. “Parents have really embraced the features of the phone.”

What critical acclaim? Every review we’ve read of it is rather lukewarm. But hey, everyone needs to pump up their own product, right? It’s not like Stagg was going to say “yeah, we were received fairly well by the industry, but they like other companies better.”

He said that Disney continues to be excited about its MVNO product, but understands the challenges related to scale and distribution.

Excited. Yeah. What a buzz word.

Honestly, we think they’re folding. According to Stagg, they’re “in the process of evaluating where we sit.” That never bodes well. We’re assuming that the endeavor isn’t profitable, and if it’s not profitable, it’s going to get the axe. We’ll sing a swan song when the time comes.

[RCR Wireless News]

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