Friday, September 17, 2010

ChaCha Says They?ll Bail On T-Mobile

The big SMS startups like 4INFO, ChaCha and others are seething at T-Mobile's plans to charge $.0025 per SMS sent over it's network. Currently these services generally pay a third party a set fee per month to send SMS messages, and their business model is dependent on fixed pricing.

At least one service, ChaCha, says they'll stop sending messages through the T-Mobile platform when the charges begin. It's 12% of their total traffic, says CEO Scott Jones, or 125,000,000 messages per year on T-Mobile. In terms of where ChaCha stands competitively, they are sixth on the list of U.S. SMS senders, after Twitter, Facebook, ESPN, 4INFO and Fox.

EASTMAN KODAK CO EARTHLINK DST SYSTEMS

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