Ann: Norwood signs MOU with Major National Telco Operator, page-190

Proz - I used to think that, however if you look deeper (I recommend trying the app) you will see why:

1. This isn't traditional VOIP - the differentiating factor is that most of the call is routed over traditional telephony networks, increasing the reliability of the call. I've tried using Skype while travelling and it sucks.

2. When you are travelling you can lease a local number with World phone in country that you can be contactable on - another differentiating factor.

3. To achieve 1 and 2, NOR has had to build relationships with telcos all over the world for access to their networks. What does this mean? It means that they are (as they keep saying) building an 'over-the-top' network which routes traffic through multiple networks, bypassing all the usual bilateral agreements between traditional telcos which attract significant roaming rates.

Putting all this together I see the value here, and that makes it easier to understand the popularity of the app, the revenue they are already achieving and the prospective interest from telcos.

Why haven't other telcos done it first? Not sure, you would have to ask them, however I expect the answer would be something along the lines that they prefer to maintain the traditional roaming rates revenue model that makes them a much higher margins. NOR is trying to disrupt that. IF it pays off it will be big business. So I've made the decision to invest.

All IMO.