Tuesday, August 22, 2006

Making the Dream Happen

Bill Gates became the richest man in the world largely because of the contract Microsoft had with IBM to bundle MS DOS with every PC sold.

Now consider what it means for ItsYourNet and Affiliates to be contracted to be the exclusive resellers of this wireless service.

When the IPO happens, many will financially benefit through owning stock in the WiFi Corporation. However, the most fortunate people will be those ItsYourNet Affiliates who realize and understand what they are a part of - and act NOW.

The Global Wireless Internet is being formed through a Network of Affiliated Members. The Mobile Internet is literally being formed through the power of word-of-mouth and the Internet's viral marketing capability.

A good way to understand this Affiliate Network is to think in terms of Television or Radio Networks.

It is common practice for local TV or Radio Companies to maintain ‘Affiliate’ relationships with National Broadcasters as this arrangement is mutually beneficial.

Smaller markets get access to quality programming which helps to attract greater commercial revenue from local advertisers. The National Companies get program proliferation without the infrastructure cost and this garners commercial revenue from advertisers willing to pay for national exposure.

However, the monopoly these Networks enjoyed in days past is eroding because of Cable, Satellite and the Internet. The democratization of information and programming is dictating what CAN survive in this brave new world where the power of an informed consumer is being liberated like never before.

Most Cable Companies do not produce their own product but exist because of a mutually beneficial dynamism between viewer demand and the 3rd party program supplier. They thrive on the ability to offer diversity of product to accommodate the wide range of consumer interests. Satellite TV has the added advantage of reaching consumers beyond the reach of cable.

Although the Internet has proliferated throughout the world at a phenomenal rate, most users are still limited to ‘Dialup’. Challenges such as access, security, functionality, standardization and mobility have prevented the Internet from a being a serious threat to the other mass media modalities.

However, now that these issues have been resolved the implementation of the Mobile Internet will have an even greater impact upon Cable, Satellite and the present Internet than they did on Television and Radio.

Look at what CD's did to the Vinyl Record Industry and what DVD's are doing to VHS. Now think about what VoIP (Voice over Internet Protocol) is doing to the Telephone Industry and the changes happening in the Recording Industry with MP3 technology - the list could go on.

The ability to deliver a product or service directly to the consumer or end-user is critical to any enterprise.

One only has to think of Wal-Mart to appreciate this dynamic.

The following outlines why this technology, disseminated through affiliated subscribers, will have a profound impact in the world:

The base price for the WiFi service will be around US$20. This will provide a Wireless Internet connection delivering the slowest public speed - which will be better than a T1 connection.

This makes it about 3 to 9 times faster upstream/downstream speed than the average DSL broadband connection and about 30 to 90 times faster than the average dialup connection. The top speed provides T3 connectivity @ about 44 Mbs which is 28 times faster than T1 - (between 840 and 2,520 times faster than Dialup).

This technology will be able to deliver speeds at the T-3 level for a higher cost - but the pricing hasn't been announced yet. This is where ultra high speed/density data streams - such as High Definition Television - would be accessed.

Now, imagine XYZ Cable Company set up their marketing strategy similar to ItsYourNet 2-Tier Free Affiliate Program.

The ‘Affiliate’ status is absolutely free and is only required if someone wants to financially benefit from the arrangement. There is no commitment to buy or an obligation to do anything because of this affiliate relationship.

To keep this simple, let’s say 10 people registered as XYZ Cable Company ‘Affiliates’.

These 10 affiliated subscribers now have the right to affiliate others with XYZ Cable Company.

Let’s say a monthly cable subscription is US$20.

So, let’s say you are one of these affiliates and you referred 10 new affiliates to XYZ Cable Company and these 10 then subscribed to XYZ cable service.

As an XYZ Cable Company Affiliate, you would be paid $4 residual each and every month your referred affiliates maintained their monthly subscription (the same as what ItsYourNet is expecting to pay from the WiFi subscription).

That would mean if all 10 subscribers maintained their subscription, XYZ Cable Company would send you a cheque for 10 * $4 = $40 each month.

Let’s say each of your referred subscribers also referred 10 subscribers.

Now, since this is a 2-Tier Free Affiliate Program this would mean you would have 10 * 10 subscribers in your 2nd Tier and XYZ Cable Company would pay you 100 * $4 = $400 on that 2nd Tier.

So, you would receive $440 in residual payments from XYZ Cable Company each month your referred affiliates and their 1st Tier (your 2nd Tier) affiliates maintained their subscription.

In case you're thinking this is some kind of pyramid scheme, please consider the following:

Why would a mainstream company (let alone a mainstream Cable Company) market their service this way

Could you ever imagine them incorporating such a program?

Of course not!

There are many reasons why not.

Why would they? - is the first reason that comes to mind.

Why would they market this way when they are limited by a geographically and technologically imposed number of potential subscribers to profit from?

How far can they extend their cable network anyway?

Would they have a subscriber base in an urban center 100 miles to the north or south, to the east or west?

Of course not! The expense to lay cable at those distances would be prohibitive. They could never realize a profit. Even if they set up operations in other centers, it still would not be economically feasible to service residents in rural areas.

Why would they employ such incentives to increase their subscriber base when they can get away with lotto-like promotional incentives?

People are not conditioned in their minds to expect a mainstream company to act in any other way.

However, what kind of impact would it have on people if it became clear that a mainstream company DID act that way?

It couldn't be just any kind of mainstream company - it would have to be an exceptional company with a unique product and universal appeal - and no competition.

Are you beginning to see how a marketing program, such as I've described, could instantly be perceived as mainstream in short order? Especially when you consider that the entire world’s population is our market place!

There is a 3 year window to establish this Network. We know that, in this three year period, there will be no one with the technology and resources to compete with us.

Now three years isn't a lot of time - but it is long enough for the phenomenon of viral marketing to take hold.

The Internet is already established to facilitate this kind of marketing. Word gets around fast when there's something extraordinary to share.

Once a Network Operations Center (NOC) is established in an urban center - then the Repeater Tower array will extend the network via the geographic density of the ItsYourNet Affiliate base.

The central hub will probably consist of one core and 4 towers (N-S-E-W) surrounding the city. This would provide an initial broadcast radius of over 100 km.

Now going south, the people in the next major center would see they are next in line to extend the array in that direction and as the ItsYourNet Affiliate base reflects the demand for coverage by the residents of that area - then a Repeater Tower would be built there.

So this scenario will be carried out in a contiguous fashion until one Repeater Tower Broadcast footprint intersects with another until the whole Continent is covered.

As the Internet community gets wind of what's happening the Affiliate base will expand in anticipation of service. The dynamics of supply and demand will dictate the Network expansion rate and sequential direction.

Again, consider the uniqueness and exclusivity of what ItsYourNet Affiliates have been given the right to share with the world… and recognize something that truly is an opportunity of a lifetime!

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