Mobi PCS: Defying the “Laws” of Wireless

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Simplicity is not a word you’d think to use when talking about technology — especially wireless phone service technology. But “simplicity” is a mantra that extends to every part of the business for “new kid on the block” Mobi PCS, the only locally operated wireless network in Hawaii.

When company president and CEO Bill Jarvis formed Mobi PCS four years ago (formerly known as Coral Wireless), he knew that they would never have as many resources as the competition. He knew that his competition — national in scope — had a head start of nearly two decades and outspent them by a huge margin.
Jarvis recalls the early days of Mobi PCS as being rather lonely.

“I remember sitting at my kitchen table (before we had an office), working on the project and wondering how I was going to build a wireless telephone company from the ground up in 12 months or less with several national carriers who wanted to kill me,” he says.

And still, Jarvis persevered to create a company that focuses on a better way to provide telephone service by using innovative communication solutions that address the needs of local people. The bottom line was Mobi wanted to make things simple and easy.

“No one wakes up and says, ‘I’d like more complexity in my life today!’” says Jarvis. “In hindsight, the real revelation [about starting Mobi PCS] was that I wasn’t going to build a company by myself, our team was,” he says. “That was hard to see in the beginning. As I started thinking about switches, billing platforms, stores, etc., it was all rather intimidating, but at the same time, very stimulating.

“Instead of pondering the seemingly impossible timeframe we gave ourselves, I found the best remedy was to just start and see where the path took us.”

It seems it was the right path to take. Mobi PCS today has the most advanced all-purpose wireless system in the state, offering unlimited local, long distance and Web-access wireless calling plans to anywhere in the U.S. with no contracts, overage charges, credit checks or limits on inter-carrier calls.

“Mobi was conceived with a belief that the market was ripe for a change that would never occur with incumbent service providers,” says Jarvis. “After being in the industry for 20 years, my observation was that customers were tied into contracts and endured a lack of customer service that often comes with those long-term contracts. Additionally, customers were tired of being forced to count minutes and hate unexpected surprises like huge overage charges for calls or text messages.”

Jarvis says Mobi is a company willing to earn their customers’ business every day. But how is it that Mobi can offer customers such value while their competitors catch you with all sorts of additional charges?
Jarvis says there are multiple factors that allow Mobi to do what it does. First, the company has the latest technology in Hawaii, which gives them a built-in cost advantage.

Second, Mobi doesn’t send out 20-page bills to customers. In fact, they don’t send out any bills at all. Instead, an automatic electronic withdrawal from a checking account or credit card is made monthly. Since the charge is a fixed rate, there are no surprises.

“We also drive down costs by being fanatical about simplicity,” explains Jarvis. “Complexity costs money and rarely adds value for our customers. An example is our rate plans. Every plan offers unlimited use so customers rarely call us to change plans or to question their bills. We don’t have contracts so our customers don’t have to figure out when their contract is expiring or what the cancellation penalty is.”

Jarvis explains that over 80 percent of the population in Hawaii has a wireless phone, so carriers are hard pressed to find new customers.
“Growth is difficult without differentiation,” he says. “Many carriers are faced with legacy infrastructure that makes delivering cost-effective service a challenge. Surviving in markets with four to seven competitors is difficult for those not willing to change and evolve. We at Mobi believe that’s our opportunity.”

Perhaps one of the other ways that Mobi PCS stands out from the competition is its focus on the local customer.
“At Mobi, all of our employees, from the very top to the most entry-level position, live here,” he says. “We have pride in the community and want to help make it a better place to live. We pass our customers in the supermarket, see them at a restaurant or down at the beach. We live the way they do, and share their interests.

“I talk with customers on a nearly daily basis and what they tell me is, in Hawaii, they want ‘localized’ services. They want to know what is happening at UH and about local events. They want a surf report or information about what’s happening at Blaisdell Center or in clubs this weekend. National carriers face a big challenge in this area as it is very difficult to customize content for each market.”

But for Mobi, customizing for the market they live, work and play in is what it’s all about. When Mobi PCS launched their data service in September, they launched it with a host of local downloads like exclusive ring tones from award-winning local performers like John Cruz. They have a local surf report and local-themed wallpapers.
“We will never lose sight of who our customers are and we likely will never expand outside of Hawaii,” says Jarvis. “To me, the fascinating part of all of this is that we can offer the best value in wireless today and do so profitably. It is quite rewarding to offer a service that makes people so happy and be able to do so in a way that keeps us healthy.”
According to Jarvis, today’s customers are smarter and more aware of the wireless technology landscape. They have higher expectations and they have choices.

Technology has changed as well. “Customers are more data oriented,” explains Jarvis. “Text messaging is huge in the youth markets. Picture messaging is growing by leaps and bounds. Video is starting to emerge a bit, but in the end, the user interface and simplicity will be key to harnessing great technology and its benefits. In the future, it will be all about applications that are friendly, intuitive and useful. We will pioneer great applications that are of interest to our customers here in Hawaii.”

Mobi PCS uses the latest CDMA (Code Division Multiple Access) technology as its wireless radio interface. They also employ state-of-the-art IP (Internet Protocol)-based switching systems to form the core of the Mobi network. These systems are integrated with advanced data and messaging platforms.

This, says Jarvis, allows Mobi to provide a complete catalog of high-quality wireless services to their customers at reasonable prices. He recalls many customers who have told him ways in which Mobi has helped them stay in touch with long-distance loved ones when they previously couldn’t afford to speak over the phone.

Mobi also offers a “Lifeline” service to low-income households so they too can afford to keep in touch with friends and family.

Mobi has big plans for 2008, including the launch of neighbor island services for Oahu residents and the expansion of services for neighbor island residents.

“A customer who has Mobi service on Oahu today will be able to enjoy service while traveling to the Big Island, Maui and Kaui in December,” Jarvis says. “Next, we will launch commercial service for residents on each island. The real highlight will be that the service will come at no extra cost! This is a huge undertaking for us and it was in response to requests from customers to expand our services. We’ve invested millions of dollars in the expansion and it is our belief that we will see the same rapid acceptance we saw here on Oahu in the neighbor islands.”

Jarvis, who previously served as president and CEO of GoBeam, a leading provider of hosted PBX communication services, and who also worked for Nextel Communications and McCaw Cellular Communications, believes it’s more fun to be loved, not hated.

“There have been times earlier in my career, working for large wireless service providers, when I’ve not always been proud of how we do things,” says Jarvis. “At Mobi, if we’re doing something I’m not proud of, shame on me as the leader of this organization. Having the ability to create a company that is the collective output of the conscience of our team is very rewarding. Developing people who are committed to our cause is also extremely rewarding.”

“I want all of us here at Mobi to look back some day and say this was the most rewarding professional experience of our careers and that it somehow made the rest of our lives a little richer. I also want our customers to be happy with us and say we defied the trend in business today. The greatest compliment would be for our customers to say we are honest, straightforward, friendly, and that they are glad we’re here.”