FreedomPop’s latest funding, valued at $50 million, is good news for international travelers who rely on mobile data to do business. The startup’s going after major carriers that charge astronomical roaming fees for data use by offering a hotspot for $49 with 200 free megabytes of high-speed data each month. Currently, FreedomPop’s has hotspots in 25 counties, with more on the way.
California-based FreedomPop is gaining a great deal of attention by offering free basic voice, text and 4G mobile broadband data service in the United States and the U.K., with options to buy more minutes as needed. By using Sprint’s infrastructure for its cellular network and partnering with several companies for Wi-Fi, FreedomPop gives users extensive, reliable coverage in the U.S., with more mobile hotspots on the way.
FreedomPop spends very little on promoting itself, unlike other major carriers, who spend millions each year on advertising. Instead, the innovative mobile phone company relies on word-of-mouth advertising, which is working out very well. People love free services, especially when they can add extra minutes at a very low cost, and they love telling others about it. FreedomPop does not tie users into expensive, long-term contracts; they even sell refurbished phones, therefore everyone, regardless of their income, can have mobile service.