Blockchain startup Nova Labs has introduced the launch of a brand new cellphone plan that provides customers limitless textual content, speak, and knowledge at simply $5 per thirty days.
In a Tuesday press release, Nova Labs mentioned that the plan will initially be accessible solely to residents of Miami or those that have obtained an invite to entry the product.
Initially established in 2013 with a spotlight on the “Web of issues,” Nova Labs aimed to develop a decentralized wi-fi community catering to units akin to pet-tracking collars and environmental sensors.
Nonetheless, in 2018, the startup pivoted in the direction of cryptocurrency, introducing rewards in the type of branded tokens.
Beforehand often called Helium, Nova Labs confronted criticism for falsely claiming that firms like Salesforce and Lime had been utilizing its wi-fi community providers.
In April final yr, Nova Labs secured $200 million at a valuation of $1.2 billion from distinguished traders together with Tiger International Administration and Andreessen Horowitz.
Thus far, the startup has raised over $250 million from varied enterprise capital companies, as per PitchBook knowledge.
How Would Nova’s $5 Phone Plan Work?
Nova Labs goals to make use of 5G hotspots owned by people and companies to energy its $5 cellphone plan.
Customers who join the providing will have the ability to join to those hotspots utilizing their cellular units, together with each iPhones and Android smartphones, with assist from the Helium Community.
In response to the firm, there are over 7,000 hotspots accessible throughout the United States.
The telecom trade has lengthy grappled with customer support points and pricing wars, which has paved the means for rivals to supply extra attractive options.
T-Cell, as an illustration, gives an infinite plan for $40 per thirty days. Nonetheless, these plans have encountered difficulties in gaining widespread adoption.
In a recent interview, Nova Labs CEO Amir Haleem mentioned that their providing represents a shift in the economics of constructing wi-fi networks.
“There’s usually this sense of discontent with telecom firms, whether or not it’s dwelling broadband, or whether or not it’s cell telephones.”
The Helium Community, which permits owners and companies to buy hotspots starting from $1,500 to $7,000, rewards hotspot homeowners with crypto tokens for each gigabyte of information they supply to prospects.
Telecommunication Corporations Discover Blockchain Know-how
Nova Labs isn’t the solely firm exploring the integration of telecommunications with blockchain and cryptocurrencies.
In 2018, Sirin Labs introduced a blockchain smartphone that is still accessible for buy.
Likewise, Solana Labs, one other blockchain developer partnering with Nova Labs, launched a mobile phone in Might and lately decreased its value from $1,000 to $599.
It’s price noting that Nova Labs has established a partnership with T-Cell, one among the largest US wi-fi carriers, to supply a “crypto-powered cellular service.”
When telephones utilizing the Helium Cell plan are out of vary of a hotspot, they may routinely swap to T-Cell’s wi-fi community.
Though Nova Labs gives cheaper providers in comparison with T-Cell, Haleem admits that the partnership with the service stays essential.
“We’re not deluding ourselves into considering that the community is usable at the second solely — it’s nonetheless too small and too spotty, and too patchy,” Haleem mentioned.
